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Firlakuza [10]
2 years ago
5

Your sister just deposited $14,000 into an investment account. She believes that she will earn an annual return of 10.5 percent

for the next 9 years. You believe that you will only be able to earn an annual return of 9.8 percent over the same period. How much more must you deposit today in order to have the same amount as your sister in 9 years
Business
1 answer:
Ilia_Sergeevich [38]2 years ago
3 0

Answer:

You must deposit $14,824.07

Explanation:

Giving the following information:

Sister:

Investment= $14,000

Interest rate= 10.5%

Number of years= 9

You:

Investment=?

Interest rate= 9.8%

Number of years= 9

First, we need to calculate the future value of your sister:

FV= PV*(1+i)^n

FV= 14,000*(1.105^9)= $34,386.55

Now, we can determine your deposit:

PV= FV/(1+i)^n

PV= 34,386.55/ (1.098^9)= $14,824.07

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Answer:

The correct answer is To encourage Julio and listen to his needs but still direct decisions on the goals .

Explanation:

Decision analysis supports all managerial functions. Nothing a manager does is more important than the use of the best information available to make good decisions. The damage caused to an organization by a basically wrong decision cannot be avoided either by the most careful planning or by a basic implementation.

6 0
2 years ago
Troy filed a good faith complaint of discriminatory harassment against his supervisor, Cynthia. One day after receiving notice o
Paraphin [41]

Answer:

Of course this is a retaliatory action. Troy filed a complaint for discriminatory harassment against Cinthia and she answers back by discriminating against Troy even more. All she needed to do was stop discriminating against Troy, she wasn't supposed to increase discrimination against him. This is an example of what shouldn't happen.

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2 years ago
he manufacturer of a light fixture believes that the dollars spent on advertising, the price of the fixture and the number of re
NemiM [27]

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7 0
2 years ago
Healthy Foods just paid its annual dividend of $1.62 a share. The firm recently announced that all future dividends will be incr
Irina18 [472]

Answer:

Option (d) is correct.

Explanation:

P0 = D1 ÷ (ke - g)

Where,

P0 is the price = ?

Currently dividend paid, D0 = $1.62 a share

ke is the required return = 15.70%

g is the growth rate = 2.10%

D1 is the dividend at end of year:

= D0 × (1 + g)

= $1.62 × (1 + 0.021)

= $1.62 × 1.021

= $1.65402

Therefore,

P0 = 1.65402 ÷ (15.7% - 2.1%)

     = 1.65402 ÷ (13.6%)

     = $12.16

Therefore, the price of one share of this stock is $12.16

4 0
2 years ago
Clothing Emporium was organized on January 1, 2021. The firm was authorized to issue 180,000 shares of $7 par value common stock
Angelina_Jolie [31]

Answer:

$846,000

Explanation:

Paid in capital = Par value of shares + Share premium paid or Additional paid in capital

So,

Par value of total issued shares = (54000 + 36000) * 7 = $630,000

Premium can be calculated as

for 54000 shares = 9 - 7 = $2/share

or 36000 shares = 10 - 7 = $3/share

this gives us a total additional paid in capital of

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Paid in capital = 216000 + 630000 = $846,000

Note that capital dividends are deducted from the premium account where as cash dividends are deducted from retained earnings leaving no impact on paid in capital. We are assuming cash dividends.

4 0
2 years ago
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