Suppose you will receive payments of $8,000, $5,000, and $9,000 in 3, 5, and 8 year(s) from now, respectively. What is the total present value of this stream of payments if the interest rate is 9%?
Enter your response below rounded to 2 decimal places.
Answers
To calculate the present value of a stream of future payments, we need to discount each payment to its present value using the given interest rate.
Given:
Payment in Year 3: $8,000
Payment in Year 5: $5,000
Payment in Year 8: $9,000
Interest rate: 9%
To find the present value of each payment, we use the formula:
PV = CF / (1 + r)^n
Where:
PV is the present value
CF is the cash flow in the future period
r is the interest rate
n is the number of periods
Calculations:
PV (Year 3) = $8,000 / (1 + 0.09)^3 = $6,289.26
PV (Year 5) = $5,000 / (1 + 0.09)^5 = $3,596.60
PV (Year 8) = $9,000 / (1 + 0.09)^8 = $5,466.18
To find the total present value, we sum up the present values of all the payments:
Total Present Value = PV (Year 3) + PV (Year 5) + PV (Year 8)
= $6,289.26 + $3,596.60 + $5,466.18
= $15,352.04
Therefore, the total present value of the stream of payments is $15,352.04.
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Related Questions
Kaydee Young had an open-end lease for a station wagon for the senior center. The lease cost $239 per month for 48 months. She paid a deposit of $550, a title fee of $65, and a license fee of $120. At the end of the lease, she can buy the station wagon for its residual value of $8,860. a. What is the total lease cost? b. What is the total cost if she buys the car?
Answers
a) 14,352
B)15,224
2008 1 Mar Started business with $1,000 cash.
credit or debit
Answers
Answer:
The cash a/c is debited as it is an asset for the business and the capital a/c is credited as it is a liability for the business according to the business entity concept.
What is the difference between the pre-reservation and installment
Answers
Answer:
is that reservation is the act of reserving, withholding or keeping back while installment is the act of installing; installation or installment can be a portion of a debt, or sum of money, which is divided into portions that are made payable at different times payment by installment is payment by parts at different
after returning home from a trade show, ms. stephenson, the president of a manufacturing company, called a meeting of her production department. ms. stephenson explained the company would attempt to eliminate defects and repeated mistakes in employee performance through
Answers
Miss stephenson explained that policy of quality assurance will be implemented to eliminate defects and repeated mistakes in employee performance.
Quality assurance is a policy which intends to ensure that employees performed at optimal and quality level.
The policy aims to maintain and enhance the level of quality and performance of the employees.Therefore, the goal of Miss stephenson will be implemented through the policy of quality assurance.
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if one commodity drove the economy in the 1920s, it was the radio.group of answer choices true false
Answers
True, if one commodity drove the economy in the 1920s, it was the radio.
The radio was the commodity that drove the economy of the 1920s in the United States. It was the primary form of entertainment, which became an integral part of American lives. With the rise of new technology and an increasing number of radio stations, Americans purchased radios, which in turn fueled the economy. Radio manufacturers such as RCA, General Electric, and Westinghouse Electric Company increased their production, creating jobs and boosting the economy further. The radio not only changed the entertainment landscape but also revolutionized the way people consumed news and information.
Politicians and other public figures found radio to be an excellent platform to reach the masses. The radio industry also brought about the creation of the broadcasting network, which further increased job opportunities and provided more advertising opportunities for companies. Therefore, it is true that if one commodity drove the economy in the 1920s, it was the radio.
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Richard has recently finished college and is about to prepare for his exam to become a certified public accountant. He wants to talk to other accountants to learn how best to prepare for this exam. Which professional organization would be most helpful for him to join?
Answers
Answer:
The accountant federation
Positive economic growth is realized when a country's production possibilities curve
(frontier) shifts outwards, however, can be calculated as the percentage increase in
either the real gross domestic product or the real gross domestic product per capita.
Answers
Answer:
True
Explanation:
It is TRUE that Positive economic growth is realized when a country's production possibilities curve
(frontier) shifts outwards.
This is evident in the fact that the outwards shifts of the production possibilities curve of a country indicate an increase in output or production level of that country.
Also, such production possibilities can indeed be estimated as the percentage increase in either the real gross domestic product or the real gross domestic product per capita.
The map shows gross domestic product (GDP) by country. Which of the following factors best explains a limitation of GDP by country in comparing the level of productivity among countries?
manufacturing output and service industry employment
Different population sizes, such as China, Japan, and the United States
places emphasis on developed nations having less developed nations to exploit for resources
Answers
Different population sizes, such as China, Japan, and the United States explains a limitation of GDP by country in comparing the level of productivity among countries. Option E is the correct answer.
The volume of output divided by the volume of inputs is the standard definition of productivity. In other words, it assesses how effectively labor and capital, two production inputs, are utilized in an economy to create a particular amount of output. Gross Domestic Product (GDP) based on hours worked is one of the metrics for productivity that is most frequently used. Option E is the correct answer.
Compared to production per employee, productivity metric better represents the utilization of labor inputs. The gross domestic product (GDP) of a nation is a monetary indicator of the final products and services—those purchased by the consumer—that are generated during a specific time period. It records all production that takes place inside a nation's boundaries.
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The complete question is, "The map shows gross domestic product (GDP) by country. Which of the following factors best explains a limitation of GDP by country in comparing the level of productivity among countries?
A. Different agricultural outputs, such as Malaysia, Russia, and Greece
B. Similar-sized land areas, such as Germany, Italy, and the United Kingdom
C. Significant petroleum exports, such Iran, Iraq, and Mexico
D. Similar workforces, such as South Korea, Spain, and France
E. Different population sizes, such as China, Japan, and the United States"
Which of the following is considered a common criticism of Hofstede’s (1980) study on cultural value dimensions and was later corrected by Trompenaars and the GLOBE project?
A. Hofstede’s study used only survey data instead of in-depth interviews
B. Hofstede’s study only sampled employees from one MNC
C. Hofstede’s study did not account for contemporaneous shifts in cultural values over the course of his study
D. Hofstede’s study had a relatively small sample size of individual responses
Answers
This criticism was later addressed by Trompenaars and the GLOBE project, who incorporated longitudinal studies and a more comprehensive approach to capture the dynamic nature of cultural values. The correct answer to the question is option C) Hofstede’s study did not account for contemporaneous shifts in cultural values over the course of his study.
This criticism suggests that Hofstede's research failed to consider the dynamic nature of cultural values and how they may change over time. Let's delve into this criticism and how Trompenaars and the GLOBE project addressed it.
Hofstede's study, which surveyed employees from IBM subsidiaries in various countries, provided valuable insights into cultural differences across nations. However, critics argued that the study's findings might not accurately reflect the current state of cultural values, as cultural values can evolve and change over time. They argued that Hofstede's study did not account for these contemporaneous shifts in cultural values.
By incorporating longitudinal studies and considering the dynamic nature of cultural values, the GLOBE project attempted to address the criticism that Hofstede's study did not account for contemporaneous shifts in cultural values. This approach provided a more nuanced and updated understanding of cultural value dimensions across different nations.
It is important to note that both Hofstede's study and the GLOBE project have made significant contributions to our understanding of cultural values. While Hofstede's study laid the foundation, the GLOBE project expanded on it and attempted to rectify some of the limitations identified in earlier research.
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Explain in full sentences why the following statements are either fallacies or valid arguments. Think about it in the following way: as if you are trying to explain to someone (sibling, auntie, grandpa, classmate) but that person is not agreeing easily with what you are saying. So, your explanations and arguments need to be simple yet compelling for the other party to concede you are correct. You could cite rules of equivalence or inference but since your opponent does not know them, you have to explain the rule if using it. To summarize, explain whether a given statement is a fallacy (false) or valid (true, tautology), for each of the following 5 statements.
a) If Ri lands a new account, then she will get a raise. Ri got a raise. Therefore, she landed a new account.
(b) A convertible car is fun to drive. Isaac’s car is not a convertible. Therefore, Isaac’s car is not fun to drive.
(c) Lili likes all action movies. Lili likes the movie Eight Men Out. Therefore, Eight Men Out is an action movie.
(d) All lobstermen set at least a dozen traps. Raj is a lobsterman. Therefore, Raj sets at least a dozen traps.
(e) Everyone enrolled in the university has lived in a dormitory. Mohammad has never lived in a dormitory. Therefore, Mohammad is not enrolled in the university.
Answers
This is not necessarily the case; there are many other factors that contribute to how fun a car is to drive, such as the speed, handling, and overall performance.
a) This is a valid argument. The statement is saying that if one event (Ri landing a new account) occurs, then another event (Ri getting a raise) will follow. Since Ri did get a raise, the first event likely happened, so the conclusion that she landed a new account is valid.
b) This is a fallacy. The statement implies that since Isaac’s car is not a convertible, it must not be fun to drive.
c) This is a valid argument. The statement is saying that since Lili likes all action movies, and she likes the movie Eight Men Out, Eight Men Out must be an action movie. This is a valid conclusion.
d) This is a valid argument. The statement is saying that since all lobstermen set at least a dozen traps, and Raj is a lobsterman, Raj must set at least a dozen traps. This is a valid conclusion.
e) This is a valid argument. The statement is saying that since everyone enrolled in the university has lived in a dormitory, and Mohammad has never lived in a dormitory, Mohammad must not be enrolled in the university. This is a valid conclusion.
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The ratio of the price of two goods on a graphed budget line is measured by its:.
Answers
There are lines in budget. The ratio of the price of two goods on a graphed budget line is measured by the slope of the budget.
What is a budget lineThis is regarded as a two-dimensional graph that shows the various choices one have between two goods given the money one have to spend. It is also known as budget constraint.
The ratio of the price of good X that is found on the horizontal axis to the price of good Y on the vertical axis is known as the slope of the budget.
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For example, residents recycle not only because they care about the environment, but also because there is a strong financial incentive. Recycling is free, but throwing away garbage costs money: each garbage bag has to have a sticker on it, and each sticker costs at least 1 euro (approximately $1. 30 us); that is, the less you throw out, the less you pay. If you have no sticker, then your garbage is left outside your house to rot. What approach best describes what bern uses to encourage reuse and recycling?extensive use of materials-recovery facilitiessource separation approachsource separation approach and use of materials-recovery facilitiesfee-per-bag waste collection systemsuppose that all recycled glass in bern is also collected, reprocessed, and eventually used in reflective paint. This type of recycling helps take used glass and convert it into. This is yet another way that communities can help decrease the consumption of matter and energy resources
Answers
The approach that best describes what Bern uses to encourage reuse and recycling is the "fee-per-bag waste collection system." In this system, residents are incentivized to recycle and minimize their waste by imposing a cost for throwing away garbage. Each garbage bag requires a sticker, which costs at least 1 euro, creating a financial incentive to reduce waste. If residents do not have a sticker, their garbage is left outside. This approach encourages residents to recycle by making recycling free and imposing a cost for waste disposal.
Additionally, the statement mentions that all recycled glass in Bern is collected, reprocessed, and eventually used in reflective paint. This type of recycling, where used glass is converted into new products, helps decrease the consumption of matter and energy resources. It showcases the community's efforts to promote a circular economy and reduce waste by finding alternative uses for recycled materials.
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The degree of a relationship is the number of attributes that are associated with it.
a. true
b. false
Answers
The statement that the degree of a relationship is the number of attributes that are associated with it is FALSE.
What is the degree of a relationship?The degree of a relationship is a measure of how many occurrences in one entity that are considered linked to the amount of occurrences in another entity.
The degree of a relation is the number of attributes that are associated with the entity and not the degree of a relationship.
In conclusion, this statement is false.
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Country b has a gdp of $1 trillion and a gdp per capita of $27,000. its economy is a mix of manufacturing, high tech, services, aviation, agriculture, and mining. it has laws favorable to entrepreneurship and private sector growth. it has multinational corporations that have recently begun outsourcing jobs overseas, resulting in a rise in unemployment. look for factors that will help you determine what type of economy exists in country b. which type of economy does country b have? developed developing transitioning communist
Answers
Based on the descriptions of the economy, the type of economy that country b has is a developed economy.
What is a developed economy?A developed economy is an economy characterised by high GDP, high rate of GDP per capita, high level of technological advancement and favorable laws that encourages the development of businesses.
Examples of developed economies are United States, Switzerland.
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The primary goal of managerial accounting is to provide information to a.investors b.external auditors c.management d.creditors
Answers
The prime objective of managerial accounting is to provide and render information to internal decision-makers which is option (c): "management."
What is the prime objective of managerial accounting?Managerial accounting is a type of accounting that involves the identification, analysis, and interpretation of an entity's data by internal users such as managers in order to achieve the entity's goals and objectives.
Management uses the information provided by managerial accounting to make important business decisions. Budgeting and forecasting are two elements of managerial accounting,
which differs from financial accounting in that it uses historical data and is primarily intended for external users such as creditors and shareholders.
As a result, managerial accounting's major purpose is to offer information to internal decision makers also known as management.
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allows for some flexibility in the budget for unexpected events.
Answers
Answer:
Agile budgeting gives you the flexibility to alter your budget in response to changing market conditions or unexpected events.
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the primary constraint to reit internal growth through retained earnings is the requirement for reits to
Answers
The primary constraint to REIT internal growth through retained earnings is the requirement for REITs to distribute 90% of their taxable income as dividends to shareholders. This requirement is commonly known as the distribution requirement.
What is a REIT?
A real estate investment trust (REIT) is a company that invests in income-producing real estate properties. By law, REITs must invest at least 75% of their total assets in real estate and must distribute at least 90% of their taxable income as dividends to shareholders.
REITs offer an opportunity for investors to participate in the income-generating properties such as shopping malls, apartment buildings, hospitals, and other property types.
REIT Internal Growth through Retained Earnings Retained earnings are the portion of net income that a company keeps for reinvestment into the business.
REITs use retained earnings to finance new property acquisitions and improve their current properties. Because REITs must distribute 90% of their taxable income to shareholders, their ability to retain earnings is limited to only 10%.
As a result, REITs must rely on external capital sources, such as issuing new shares or taking on debt, to finance their growth. This reliance on external financing may restrict their ability to grow their portfolio and limit their flexibility.
However, it also means that REITs typically have lower debt levels than other real estate investors, making them less vulnerable to market volatility.
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Ten years ago, you put $150,000 into an interest-earning account. today it is worth $275,000. what is the effective annual interest earned on the account?
Answers
The effective annual interest earned on the account is 6.25%
What is the future value of $150,000 invested for 10 years?
The fact the initial deposit of $150,000 turns to $275,000 over a period of 10 years, means that the future value of $150,000 deposited over 10 years is $275,000, in other words, using the future value formula of a single cash flow, we can determine the effective annual interest rate.
FV=PV*(1+r)^N
FV=future value=$275,000
PV=initial deposit=present value=$150,000
r=effective annual interest rate=unknown
N=number of years that deposit lasted=10
$275,000=$150,000*(1+r)^10
$275,000/$150,000=(1+r)^10
1.83333333333333=(1+r)^10
(1.83333333333333)^1=(1+r)^10
divide indexes on both sides by 10
(1.83333333333333)^(1/10)=1+r
r=(1.83333333333333)^(1/10)-1
r=6.25%
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The _____________ Party believes the wealthiest Americans and largest businesses must pay their fair share of taxes.
Group of answer choices
Independent
Republican
Third Party
Democratic
Answers
Answer:
The Democratic Party believes the wealthiest Americans and largest businesses must pay their fair share of taxes :3
Explanation:
:3
The Food and Drug Administration sets standards for
O advertising.
O product labeling.
O the environment.
O traffic safety.
Answers
Answer:
B. Product Labeling
Explanation:
From quizlet
The Food and Drug Administration sets standards for product labeling.
What is product labeling?Product labeling is the details information of what a products entails and this is often writing on the product.
Product labeling is an important standards set by Food and Drug Administration as this help the consumer to be know the following:
The product ingredientHow healthy or unhealthy the product are etcInconclusion the Food and Drug Administration sets standards for product labeling.
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Martine developed a filing system to keep track of potential and current customers. Which qualification has she demonstrated?
critical thinking
problem solving
organization
computer skills
Answers
Explanation: she developed the filing system which is a way of organizing the costumers that come in.
I hope this helped! ^^
Answer:
C. Organization
Explanation:
:)
Where scaffolds are utilized they shall
be provided with _ for the entire
length, and shall have
to
prevent slipping.
Answers
Answer:
im not aure
Explanation:
im not aure
The right to receive a proportionate share of any assets remaining after the corporation goes out of business, sells its assets, and pays off its liabilities is the right of.
Answers
The proper to acquire a proportionate percentage of any property ultimate after the business enterprise is going out of business, sells its property, and can pay off its liabilities is the proper of liquidation.
The required details for Liquidation in given paragraph
Liquidation is the manner in accounting with the aid of using which a employer is delivered to an quit in Canada, United Kingdom, United States, Ireland, Australia, New Zealand, Italy, and plenty of different countries. The property and assets of the employer are redistributed. Liquidation is likewise now and again known as winding-up or dissolution, even though dissolution technically refers back to the closing degree of liquidation. The manner of liquidation additionally arises when customs, an authority or agency in a country chargeable for amassing and safeguarding customs responsibilities, determines the very last computation or ascertainment of the responsibilities or disadvantage accruing on an entry. Liquidation can also additionally both be compulsory or voluntary.
The term "liquidation" is likewise now and again used informally to explain a employer in search of to divest of a number of its property. For instance, a retail chain can also additionally want to shut a number of its stores.
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d). Management has decided that those employees whose scores are among the top 10% will be considered for promotion to a better job position. What score must an employee make in order to be eligible for promotion
Answers
Answer
true
Explanation:
An organization's mission statement serves as the basis for:
A. environmental scanning.
B. core competencies.
C. operating procedures.
D. distinctiveness.
E. organizational goals.
Answers
An organization's mission statement serves as the basis for organizational goals. Thus, option E is correct.
What is the purpose of an organization's mission statement?A mission statement for any type of organization is a well-written and concise explanation of the organization's purpose for existence.
It is a term that describes the organization's overall intention as well as its purpose. The mission statement supports the vision and communicates the purpose and direction to employees and others.
Therefore, an organization's mission statement serves as the basis for organizational goals.
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If real economic growth is 3%, the inflation rate is 5%, and the nominal interest rate is 7%, then the real rate of interest is:
Answers
Based on the information given the real rate of interest is:2%.
Real rate of interestUsing this formula
Real rate of interest=Nominal interest rate-Inflation rate-
Where:
Inflation rate=5%
Nominal interest rate=7%
Let plug in the formula
Real rate of interest=7%-5%
Real rate of interest=2%
Inconclusion the real rate of interest is:2%.
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Which statement is true about risk-based financing?
Answers
Which scenario shows an employee working in the Business Financial Management and Accounting pathway? Catherine trains new employees on how to use specific computer programs. Arturo creates a report showing the company’s expenditures for the quarter. Sam analyzes and creates sales goals for a team of sales specialists. Olivia works from home creating new material for an ad campaign.
Answers
Answer:
B
Explanation:
Answer:
B
Explanation:
EDGE
The definition of economics includes
Answers
Answer:
Economics is a social science concerned with the production, distribution, and consumption of goods and services. It studies how individuals, businesses, governments, and nations make choices about how to allocate resources. ... The building blocks of economics are the studies of labor and trade.
Explanation:
the branch of knowledge concerned with the production .consumption and transfer of welth.
the condition of a region or group as regard meterial prosperity
How is the restaurant manager’s experience different from the customer’s experience?
Answers
Answer:
The restaurant Manager has in-depth knowledge of their business, workers, and income. While a customer might know a workers name a restaurant Manager knows their past record, their education level, and connections.
A manager also might deal with the money, meaning counting bills, change, while a customer simply pays.
Explanation:
Sorry if the question is looking for more specifics.