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2 years ago

Why does compound interest earn you a higher annual percentage yield

1 answer:

5 0

The reason compound interest earn you a higher APY on savings account is with compounding you earn interest on the money that has already earned interest.

With compound interest, interest is earned on the amount of money that has already earned an interest. On the other hand, with simple interest, interest is earned only on the principal.

Imagine that you deposit $100 in a savings account with an interest rate of 10% and annual compounding.

Value of the account in one year = 100 x (1.1) = 110

Value of the account in two years = 100 x (1.1)² = 121

Imagine that you deposit $100 in a savings account with an interest rate of 10% and simple interest.

Value of the account in one year = 100 + (100 x 0.1 x 1) = 110

Value of the account in two years = 100 + (100 x 0.1 x 2) = 120

To learn more about compound interest, please check: brainly.com/question/7420113

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On-Time Delivery Company acquired an adjacent lot to construct a new warehouse, paying $42,000 and giving a short-term note for

Dovator [93]

Answer:

$377,835

Explanation:

The cost of an assets include Purchase Costs and other costs directly related to place to asset in the location and condition intended for use by the management.

Thus, calculation of the Cost of the Land will be as follows :

Cash payment $42,000

Short term note $307,000

Legal Costs $2,335

Delinquent taxes $11,900

Fees to remove old buildings ($19,800 - $5,200) $14,600

Total $377,835

Conclusion :

Therefore, the cost of the land to be reported on the balance sheet is $377,835

4 0

3 years ago

Which of the following jobs is a career in educational support (2 points)

eduard

1. I believe the answer is:

A. Bus Driver

B. Librarian

Educational support jobs refers to the job that help children to obtain proper education. From the option above, bus driver has the role to transport the students from home to school and vice versa and the librarian help the students to obtain the books that cover their materials.

2. I believe the answer is: B. Guidance Councelor

Guidance counsellor trains the students to have a certain type of mindset that help the students in achieving their goals. They also provide advice/training regarding the habbit that the students need to do in their young ages to be able to obtain the career that they want.

3. I believe the answer is:

A. Bachelor Degree

C. On the job training

To obtain a teaching certificate for a certain subject, the teacher need a bachelor degree and complete a teacher preparation program. They also need to do on the job training. The duration of on the job training differ between states, but on average they are around 120 days.

4 0

4 years ago

Read 2 more answers

A newly formed firm must decide on a plant location. There are two alternatives under consideration: locate near the major raw m

zhannawk [14.2K]

Answer:

Omaha would produce the greater gross profit of

$578,075

Explanation:

revenue per unit $189

two possible locations:

Omaha Kansas City

fixed costs $1,000,000 $1,200,000

variable costs per u. $30 $45

expected sales 9,925 units 10,225 units

expected profits:

Omaha Kansas City

sales revenue $1,875,825 $1,932,525

- variable costs ($297,750) ($460,125)

- fixed costs ($1,000,000) ($1,200,000)

gross profit $578,075 $272,400

3 0

3 years ago

For this situation below , determine the premium will likely increase, decrease , or remain the same. deon chooses a lower deduc

kozerog [31]

Answer:

Increase.

Explanation:

The question above refers to auto insurance premium, which is a system that, through a monthly payment, allows an insurer to provide financial support to car owners as a form of security in case of accidents or injuries during driving. .

Many people do not know, however, under contracts with car insurers, smaller deductibles cause the premium to increase, making the individual responsible for insurance need to pay a higher monthly amount. A higher deductible, on the other hand, would reduce the value of the premium. In this case, we can say that if Deon chooses a lower deductible, he will have the high premium.

8 0

3 years ago

Jenna currently has a job with a corporate company and will not use all of the money in her account before the end of the year.

krek1111 [17]

Answer:

HRA

Explanation:

HRA is health reimbursement accounts (or Health Reimbursement Arrangement). This is a type of employer-funded benefit that reimburse for medical expenses of employees in specific types of cases. Money in this account can be carried at the end of the current to the next year.

So that in the case of Jenna, her current corporate company is the one funding the account. So that, the money would lose when Jenna switches to another job.

8 0

4 years ago