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Leya [2.2K]
2 years ago
4

Amy​ Parker, a​ 22-year-old and newly hired marine​ biologist, is quick to admit that she does not plan to keep close tabs on ho

w her​ 401(k) retirement plan will grow with time. This sort of thing does not really interest her.​ Amy's contribution, plus that of her​ employer, amounts to ​$2,400 per year starting at age 23. Amy expects this amount to increase by 33​% each year until she retires at the age of 57 ​(there will be 35 EOY​ payments). What is the compounded future value of​ Amy's 401(k) plan if it earns 55​% per​ year?
Business
1 answer:
FrozenT [24]2 years ago
8 0

Answer:

FV  324,258.35

Explanation:

We have to solve for the future value of an annuity with geometric progression thus, each time it crease as a given rate In this case, 3%

\frac{1-(1+g)^{n}\times (1+r)^{-n} }{r - g}

g 0.03

r 0.05

C 2,400

n 35

\frac{1-(1+0.03)^{35} - (1+0.05)^{35} }{0.05 - 0.03}

FV  324,258.35

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Elegance Inc. is a large cosmetics company that made an initial small investment in a start-up company, Peace Planet, which was
mr Goodwill [35]

Answer:

B. real-options perspective.

Explanation:

Based on the scenario being described within the question it can be said that this approach to strategic alliance is referred to as a real-options perspective. This perspective refers to the ability of an individual or company to have the freedom to choose between logical financial options in capital investments in order to try and make the best choices and decisions. Which is what Elegance Inc. did when they saw that the company they were supporting was most likely to fail due to their unforeseen problem.

7 0
2 years ago
A local pizzeria sells 500 large pepperoni pizzas per week at a price of $20 each. Suppose the owner of the pizzeria tells you t
kotegsom [21]

Answer: (1) 700 pizzas

(2) Its revenue increases by $2600.

Explanation:

Given that,

price elasticity of demand for his pizza = -4

Percentage change in price = 10%

Initial Quantity,Q_{0} = 500 Pizzas

Elasticity of demand = \frac{Percentage\ change\ in\ quantity }{Percentage\ change\ in\ price }

-4 = \frac{Percentage\ change\ in\ quantity }{0.1 }

\frac{Percentage\ change\ in\ quantity } = -4 × 0.1

\frac{Q_{1}-Q_{0}}{Q_{0}} = 0.4

\frac{Q_{1}-500}{500} = 0.4

∴ Q_{1} = 700

Initial price, P_{0} = $20

Changed price, P_{1} = $18

Revenue at t = 0

P_{0} Q_{0} = 500 × 20 =$10000

Revenue at t = 1

P_{1} Q_{1} = 700 × 18 = $12600

Therefore, from the above calculations it was seen that his revenue increases by ($12600 - $10000)= $2600 and its sales increases to 700.

8 0
2 years ago
To save energy and money, Jackie Smith replaced the 150 Watt incandescent light bulb in her house with a 32 Watt CFL bulb. The e
wlad13 [49]

Answer:

total savings using CFL light bulbs = $47.09

Explanation:

We can compare the costs of 8,000 hours of lighting:

incandescent light  bulbs

  • you need 8 incandescent light bulbs to generate 8,000 hours of lighting = 8 x $0.70 = $5.60
  • they will consume a total of 150 watts x 8,000 hours = 1,200 kWh x $0.05 per kWh = $60
  • total cost = $5.60 + $60 = $65.60

CFL light bulbs

  • you need one CFL light bulb to generate 8,000 hours of lighting = $5.71
  • it will consume a total of 32 watts x 8,000 = 256 kWh x $0.05 = $12.80
  • total cost = $5.71 + $12.80 = $18.51

total savings = $18.51 - $65.60 = -$47.09

8 0
2 years ago
A tiny South Pacific island country produces large quantities of coconut-based products. To protect this industry, the island go
valentinak56 [21]

Answer:

(a) Import Quota

Explanation:

Option B is wrong because import duty is the tax, which is collected from imported products. It cannot restrict any items or protect the coconut-based products industry.

Option C is incorrect because import tariff allows charging imported products at higher prices to restrict import goods. In that case, the company does not increase the imported goods price.

Option D is incorrect because the company does not get a subsidy from the government.

Therefore, option A is the answer because import quota restricts companies from importing goods and services on a limited basis to protect the local manufacturers.

3 0
2 years ago
Anya, sales manager for Pacific Lumber, tells Ricardo, the firm's inventory manager, that the firm's failure to have adequate su
zaharov [31]

Answer:

The correct answer is B

Explanation:

Stockout or OOS stands for Out of Stock, which is event that causes the inventory to be exhausted. It occur with the entire supply chain.

In this case, Firm is facing failure for having adequate or enough supplies on hand, which result in the lost sales amounts to $175,000. It is representing the Stockout in the inventory management costs.

3 0
2 years ago
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