Select the correct answer.

The government of Happyland collects $100 million in taxes each year and currently has a public debt of $1.2 billion, which it f

DanielleElmas [232]

Answer:

No, the debt is not manageable because interest payments equal $96 million per year.

Explanation:

Annual interest payment for debt = 0.08*1.2B = $96 million

Only the interest payment is about 96% of government revenue, so its not manageable.

5 0

2 years ago

Fifteen years ago, Mr. Fairhold paid $50,000 for a single-premium annuity contract. This year, he began receiving a $1,300 month

marusya05 [52]

Answer: $1091.61

Explanation:

From the question, we are told that fifteen years ago, Mr. Fairhold paid $50,000 for a single-premium annuity contract and that this year, he began receiving a $1,300 monthly payment that will continue for his life and based on his age, he can expect to receive $312,000. The amount of each monthly payment is taxable income to Mr. Fairhold goes thus:

Based on the question, Mr Fairhold will have a tax free return of the $50,000 paid. The exclusion ratio will be the investment divided by the expected return. This will be:

= $50,000/$312,000

= 0.1603

Since he received monthly payment of $1,300 and exclusion ratio is 0.1603, the tax free return on investment will be:

= $1,300 × 0.1603

= $208.39

Taxable annuity payment will now be:

= $1300 - $208.39

= $1091.61

6 0

2 years ago

Wolfpack, Inc.provides goods and services to customers during the year totaling $100,000. Also during the year, customers are gr

inna [77]

Answer: $75000

Explanation:

Net revenue is simply defined as the total amount of money that an economic entity such as an individual or firm makes from sales minus the direct expenses. The net revenue accounts for the refunds, price reductions, and the direct expenses.

From the question, we've been informed that Wolfpack, Inc.provides goods and services to customers during the year totaling $100,000 and that during the year, customers are granted discounts, returns, and allowance of $20,000. Lastly, Wolfpack estimates that an additional $5,000 in discounts, returns, and allowances will occur next year.

The amount of net revenues Wolfpack will report in its current-year income statement will be:

= $100,000 - $20,000 - $5,0000

= $75,000

7 0

2 years ago

Sela traveled from her home in Flagstaff to San Francisco to seek specialized medical care. Because she was unable to travel al

egoroff_w [7]

Answer:

The total medical expenses deductible before the 10% limitation is 2090

Explanation:

Solution

Recall that:

The Total expenses included is stated as follows:

Th Hotel room is = $150 * two rooms * three nights

Mileage of = $900,

Miles = 1000

Doctor's bill ins an Francisco = 1,600

Now,

To next step is to find the total medical expenses deductible before the 10% limitation is given as follows:

Doctor's bill = 1,600

The total expenses i hotel room is calculated as :150 * 1 *3 = 450

So,

The total = 1600 + 450 = 2050

It is also important to know that only 10% of the expense stay for the accompanied person is permitted

Therefore,

450*10% =45

Total 2050+45 = 2090

5 0

2 years ago

You are implementing a new server that will connect 10 client computers to the Internet to access a company application. None of

jekas [21]

Answer:

Explanation:

Within the context of the project risk management system, performing these risk analyses are two different processes. Effective risk analysis and management are the basis of any project's success.

These two methods dominate the risk analysis technique

In almost all risks and for all projects, qualitative risk analysis is performed but quantitative risk analysis is more limited and they are based on the type of project or the risk involved.

The major difference between these two methods is their approach to the process.

Qualitative risk analysis is more biased and focuses on finding the risks which will measure the occurrence of a specific risk event during the project life cycle and also its impact on the overall process.

In qualitative risk analysis, the goal is to ascertain the severity, and then those data are recorded in a risk assessment matrix or any form of an intuitive graphical report can be used and these matrices are valuable to communicate the outstanding hazards to the stakeholders.

In Qualitative risk analysis, method risk is measured in terms of low moderate-high and extreme.

Quantitative risk analysis is unbiased as it needs verified data to analyze the risk effect in terms of money, resource consumption, and any delays in schedule.

Quantitative risk analysis assigns a numerical value to an extent risk.

If risk X has a 40% chance of happening based on the quantifiable data and 15% chance of causing a delay of A number of days. Hence it is totally dependent on the quantity and accuracy of data.

Since we look into the process and approach of both the methods and when it comes to choosing any one method for handling risk and considering your example:

I can say that in terms of assessing probability and prioritizing risk in very simpler terms which is easy to understand and to implement, qualitative risk analysis is better.

This method is easier to approach as we can easily identify areas that need special attention and can be employed at any stage of the project to handle risk.

Conclusively, I believe if you need to adopt one method (for your case and in general), go for qualitative. Although both methods are similar and which one is better cannot be clearly stated. Hence both analyses should be conducted in tandem which will give us the best possible insight into the risk involved and their possible impact.

Therefore, whatever is the size or the complexity of your project you will have everything with you that is best for your organization.

7 0

2 years ago