Answer: $3,338.56.
Explanation:
Given, EAR = 11.4 percent =0.114
Weekly interest rate=
Growth rate of price of flowers = 3.3 % per year
Weekly growth rate=
Star Cost (C)= $6
Time period (t)= 25 years
= 25 x 52 = 1300 weeks
Required formula for growing annuity :
![PV=\dfrac{C}{r-g}[1-(\dfrac{1+g}{1+r})^t]](https://tex.z-dn.net/?f=PV%3D%5Cdfrac%7BC%7D%7Br-g%7D%5B1-%28%5Cdfrac%7B1%2Bg%7D%7B1%2Br%7D%29%5Et%5D)
,
where C = Star cost
r = rate per period
g= growth rate
t = time period
![PV=\dfrac{6}{0.00219-0.00063}[1-(\dfrac{1+0.00063}{1+0.00219})^{1300}]\\\\=\dfrac{6}{0.00156}[1-(0.998443408934)^{1300}]\\\\=(3846.15384615)[1-0.13197471131]\\\\=(3846.15384615)(0.86802528869)\approx\$3338.56](https://tex.z-dn.net/?f=PV%3D%5Cdfrac%7B6%7D%7B0.00219-0.00063%7D%5B1-%28%5Cdfrac%7B1%2B0.00063%7D%7B1%2B0.00219%7D%29%5E%7B1300%7D%5D%5C%5C%5C%5C%3D%5Cdfrac%7B6%7D%7B0.00156%7D%5B1-%280.998443408934%29%5E%7B1300%7D%5D%5C%5C%5C%5C%3D%283846.15384615%29%5B1-0.13197471131%5D%5C%5C%5C%5C%3D%283846.15384615%29%280.86802528869%29%5Capprox%5C%243338.56)
Hence, the present value of this commitment = $3,338.56.
Answer:
See explanation Section
Explanation:
See the image to get the appropriate answer.
Answer:
- The balance in the subsidiary ledger will equal the balance of its supported account in the general ledger.
- The account which the subsidiary ledger supports in the general ledger is called a control account.
- It is a supporting ledger that contains detailed information about a general ledger account.
- Two of the most common subsidiary ledgers are for Accounts Payable and Accounts Receivable.
Explanation:
A subsidiary ledger is defined as a supporting ledger that contains details of an account on the general ledger.
It gives a breakdown of the single amount that reflects in a general ledger account.
For example if the accounts payable account has a balance of $50,000, the subsidiary ledger will show the individual transactions that make up the $50,000.
Therefore the balance of the subsidiary ledger will equal the amount in the general ledger account.
Answer:
Personal Selling
Explanation:
The marketing tool illustrated in the question is personal selling. Personal selling is a marketing strategy that involves a sales rep meeting with a potential client for business purpose.
It makes use of 7 approaches as listed: Prospecting ,pre-approach, approach,presentation , meeting and overcoming objection , closing the sale and follow up,
In the question , we can see that Penelope fulfilled some of the approaches in the course of her meeting with the Kims.
<span> The term marginal utility is an economic term that describes and defines how much of an item (product or service) a consumer will buy. It can be positive, negative or zero. </span>
The marginal utility of two goods change with the quantities consumed. The more quantities are consumed the bigger the marginal utility.
