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klio [65]
2 years ago
12

An investment pays $400 in one year, X amount of dollars in two years, and $500 in three years. The total present value of all t

he cash flows (including X) is equal to $1,500. If i is 6 percent, what is X?
Business
1 answer:
k0ka [10]2 years ago
6 0

Answer:

X = 789.70

Explanation:

we solve for X considerign each deposit is discounted at the given rate using the lump sum formula:

\frac{Maturity}{(1 + rate)^{time} } = PV

\frac{400}{1.06}+\frac{X}{1.06^2}  +\frac{500}{1.06^3} = 1,500\\X= (1,500 - \frac{400}{1.06} - \frac{500}{1.06^3}) \times 1.06^2

X = 789.7018868

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QUESTION 8 of 10: You are counting your competitors in town. This number is a(n):
Sindrei [870]

Answer:B; Integer

Explanation:Integer is like a whole number(1,2,3,4, etc) it cannot be decimals. Since there can’t be 2.5 people, the answer is B- Integers

5 0
2 years ago
Lane Company manufactures a single product that requires a great deal of hand labor. Overhead cost is applied on the basis of st
katrin2010 [14]

Answer:

$8 per direct labor hours and $2 per direct labor hours

Explanation:

The computation of the predetermined overhead rate is shown below:

Predetermined overhead rate = Budgeted fixed manufacturing overhead ÷ planned activity level

= $480,000 ÷ 60,000 direct labor hours

= $8 per direct labor hours

And, the budgeted variable manufacturing overhead is $2 per direct labor hours

We simply divide the budgeted fixed manufacturing overhead by the planned activity level

6 0
2 years ago
A real estate analyst has developed a multiple regression line, y = 60 + 0.068 x1 – 2.5 x2, to predict y = the market price of a
Mumz [18]

Answer:

$205,000

Explanation:

With a pricing formula as stated below

y = 60 + 0.068x1 - 2.5x2

where x1 = total number of square feet of the living space

and x2 = the age of the house (years).

When the age of the home (x2) = 10 years, and the home has 2,500 square feet of living area (x1), the price of the home is

y = 60 + (0.068 * 2,500) - (2.5 * 10)

= 60 + 170 - 25

= 205

Since y is in ($1,000s) as given, the price of the home is $205,000.

7 0
2 years ago
Suppose that Allison has an accounting degree, but she lost her job two months ago when her company merged with another firm. Al
torisob [31]

Answer:

underemployed

Explanation:

From the question we are informed about Suppose that Allison has an accounting degree, but she lost her job two months ago when her company merged with another firm. Allison hasn't been able to find another accounting job, so she has taken a part-time job as a sales clerk at a clothing store. The Bureau of Labor Statistics classifies Allison as underemployed. Underemployment as regards Bureau of Labor Statistics can be regarded as one that measure employment and labor utilization in a particular economy which looks the way and how well the labor force is being utilized as regards

experience, skills,l as well as availability to work. People that falls under the classification of underemployed can include high skilled workers that are working in low paying or managing low skill jobs as well as part-time workers even though they who would prefer to work full-time. Unlike unemployment whereby the person is working though not at their full capability.

5 0
2 years ago
Your supervisor has come to you with the following list of expenditures for the year and is asking you whether they should be ca
Trava [24]

Answer:

Capitalized Expenditures:

2. Added a new wing onto the office building.

5. Had an engine rebuilt in one of their fleet cars.

Explanation:

Capitalization is the process of delaying the full recognition of an expense for the acquisition of a new asset with long-term life so that the costs can be treated as an expense gradually over its useful life through an accounting method known as depreciation or amortization.

The criteria for capitalizing expenditure depend on whether the expenditure is necessary to bring the asset to the condition and location where it can be operated as desired by the management.  It must also meet the threshold amount set by management for capitalization.  This is because some assets can be used for more than one year and still they are not regarded as capital assets.  Example is a stapling machine that costs less than a dollar.

6 0
2 years ago
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