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2 years ago

Can someone help pls?

Business

1 answer:

julsineya [31]2 years ago

8 0

1. A credit card lets you borrow money (up to the given credit limit) and pay it back as and when due. When you make a purchase, the amount will be deducted from your credit limit and when you pay it back, the payment will be added back to your credit limit.

Explanation:

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Hart Attorney at Law experienced the follwoing transactions in 2016, the first year of operations:

Korolek [52]

Answer:

I used an excel spreadsheet since there is not enough room here.

Explanation:

Download pdf

6 0

3 years ago

Which one of the following statements best defines the efficient market hypothesis? A. Efficient markets limit competition. B. S

lubasha [3.4K]

Answer:

The correct answer is letter "D": All securities in an efficient market are zero net present value investments.

Explanation:

The Efficient Market Hypothesis (EMH) states that neither public or insider information cannot help in an attempt to beat the market because stocks already show all available information possible. Thus, neither using technical or fundamental analysis could be useful to predict future stock price movement.

<em>In other words, in a market under EMH all stocks are zero Net Present Value (present value inflows minus present value outflows) investment vehicles.</em>

5 0

3 years ago

Suppose you are committed to owning a $215,000 ferrari. if you believe your mutual fund can achieve an annual return of 10.8 per

Pie

Answer: I must invest <u>$85424.14</u> today in order to buy a Ferrari nine years from now on the day I turn 30.

We have

Price of the Ferrari nine years from now (Future Value - FV) $215000

Expected Rate of return on the mutual fund (r) 10.8%

Time until I turn 30 (n) 9 years

We can calculate the Present Value (PV) or the money to be invested today as

$\mathbf{PV = \frac{FV}{(1+n)^{n}}}$

$PV = \frac{215000}{(1+0.108)^{9}}$

$\mathbf{PV = 85424.14022}$

6 0

3 years ago

The problem of _________________ arises when an antique dealer knows more about the quality of an item than the potential buyer,

vlada-n [284]

Answer:

Option (D) is correct.

Explanation:

Imperfect information refers to a situation in which both the parties (i.e buyer and seller) have different information. For example; In a market of second hand car industry, the buyer have less information about the car as compared to the seller. In this type of industry, the seller have more information about the condition and quality of used car.

In our case, the seller of antique have more information about the product, so this will lead to give a disadvantage to a potential buyer of antique.

8 0

3 years ago

Read 2 more answers

You wish to retire in 20 years, at which time you want to have accumulated enough money to receive an annual annuity of $24,000

den301095 [7]

Answer:

$3,286.52

Explanation:

Interest rate per annum = 12.00%

Number of years = 25

Number of compounding per per annum = 1

Interest rate per period (r) = 12.00%

Number of periods (n) = 25

Payment per period (P) = $24,000

PV of $24,000 payments after 20 years = P * [1 - (1/(1+r)^n)]/ r

PV of $24,000 payments after 20 years = 24000*[1-(1/(1+12%)^25]/12%

PV of $24,000 payments after 20 years = $188,235.34

Interest rate per annum = 10.00%

Number of years= 20

Number of payments per per annum = 1

Interest rate per period (r) = 10.00%

Number of periods (n) = 20

Future value of annuity (FVA) = $188,235

Annual contribution (P) = FVA/ ([ (1+r)^n - 1] / r)

Annual contribution (P) = 188235/(((1+10%)^20-1)/10%)

Annual contribution (P) = $3,286.52

5 0

3 years ago