To fund a trust that pays $200,000 per year forever starting 11 years from today with an annual return of 3.9%, your grandparents need to deposit $3,374,935.85 today.
The formula for the present value of a perpetuity given an interest rate r is PV = PMT / r. When the first payment is deferred for T years, the present value today is calculated as PV = (PMT / r) / (1 + r)^T.
In this case, PMT is $200,000 (the annual payment), r is 3.9%, and T is 11 years (the number of years until the first payment). Putting these values into the formula, we get:
PV = ($200,000 / 0.039) / (1 + 0.039)^11
PV = $5,128,205.13 / (1.039)^11
PV = $5,128,205.13 / 1.52023
PV = $3,374,935.85
Therefore, your grandparents need to deposit $3,374,935.85 today to fund the trust.
When you eat out and have $25 to spend, what information do you need to maximize your utility?
please help 100pts!!!!!!!!!!!!!!!
1.
Your parents are discussing when they are eligible to take out money from their 401(k) plans. Based on current tax laws, what financial advice could you offer?
a.They can withdraw money beginning at the age of 59 ½, but will face penalties.
b.They have to wait until they are 62, before withdrawing any money in order to avoid penalties.
c.They can withdraw money beginning at the age of 59 ½, without receiving any penalties.
d.They can take out their money anytime, without facing penalties.
2.
In the future, you and your friends plan to receive Social Security after you retire. At what age can you currently plan to receive full benefits?
a.59 ½
b.62
c.65
d.67
3.
What should be included in your retirement plan?
a.The amount of social security you expect to earn
b.The amount of money you have in other accounts
c.Pension amounts from your former employers
d.All of the above
4.
Your spouse is a teacher at the local elementary school. Which retirement plan would she most likely have?
a.Roth IRA
b.Traditional IRA
c.401(k)
d.403(b)
5.
Your local minister has spoken to you about his retirement plans. Which account would he probably be discussing?
a.Roth IRA
b.Traditional IRA
c.401(k)
d.403(b)
6.
Your grandpa has an account in which he must make minimum withdrawals starting at 70 ½. Which account would you assume he has?
a.Roth IRA
b.Traditional IRA
c.401(k)
d.403(b)
7.
Which type of individual retirement account are you typically able to make withdrawals tax-free?
a.Roth IRA
b.Traditional IRA
c.401(k)
d.403(b)
8.
Social Security is supplemental retirement income and should not be the only thing a retiree relies on.
a.True
b.False
9.
IRA stands for Important Retirement Assets.
a.True
b.False
10.
A Roth IRA is beneficial because your withdrawals are tax-free.
a.True
b.False
__________ represents a proactive approach to satisfying customer needs that is based on gathering data about our customers to learn their needs and preferences and then providing products and services that satisfy customers.
Don knows that one of the reasons people do not return to his electronics store is because of the slow service. how would a swot analysis classify the slow service at don's electronic store?
SWOT analysis would classify the slow service at Don’s electric store as a weakness in which is the main or source of problem that prevents his business from rising or to be able to develop into something more greater. SWOT analysis is being taken by organization in order to identify the strength and weaknesses that the organization has and as well as the opportunities and threats that may be present.
Conservatives and liberals have very different views on healthcare reform. A news station places a story featuring the conservative point of view at the top of its newscast, while placing a short story on the liberal point of view at the end. This is an example of _____.
bias by placement
bias by spin
bias by omission
bias by labeling
You want to make a 35% ROI on your skateboards It costs you $25 to make and market each unit How much should you charge the retailer for each unit?
Flying high manufacturing produces frisbees using a threeminus−step sequential process that includes molding, coloring and finishing. when the frisbees and associated costs are transferred from the molding process to the coloring process, which account is credited?
Answer: WIP Inventory
Explanation: WIP stands for work in progress inventory. WIP, is part of the inventory asset accounting process to balance numbers on the balance sheet. WIP is all raw materials, labor, and overhead costs that come from the production of goods or services.
Christopher is looking at a lighted sign on which a rapid succession of a row of lit bulbs appears as a "moving" arrow pointing toward a store. this visual effect is called _______.
The visual effect is called apparent motion. Apparent motion is being defined as an appearance in which the objects in the night sky are likely to move against the motion’s typical direction. In psychology, this is an optical illusion of which the objects viewed are in a quick succession.
Final answer:
The visual effect described is known as apparent motion. It is an optical illusion where a sequence of static images, when viewed in rapid succession, give the observer the perception that motion is occurring.
Explanation:
Apparent motion is a phenomenon where the brain interprets a series of rapidly changing static images as continuous movement. This occurs when the images change slightly, and quickly enough, that our visual system cannot process them as individual separate events. Instead, our brains connect these images in a fluid sequence, creating the illusion of motion. This is the principle behind motion pictures and animated signs like the one Christopher is looking at, where a row of bulbs light up one after the other in a pattern that suggests movement, directing attention to the store. The effect is so convincing that our brains perceive it as actual motion, despite knowing that it's just a series of lights.
Of the world's population of 6.7 billion people, _________ are scraping by on incomes that average less than $2 per day.
Answer:
2.6 billion people are scrapping by
The rule that says do not go faster than is safe for conditions is known as the
The rule that states do not go faster than is safe for conditions is known as the 'ideal speed'. This term refers to the maximum safe speed at which a vehicle can navigate a curve without depending on tire-road friction. Safe driving guidelines typically reflect this to prevent skidding under various conditions.
The rule that says do not go faster than is safe for conditions is known as the ideal speed. The ideal speed refers to the maximum safe speed at which a vehicle can navigate a curve without relying on the friction between the tire and the road. This speed ensures that the vehicle can turn safely under various conditions, taking into consideration factors like road wetness, visibility, and tire condition.
For example, if a curve is marked with a recommended speed of 30 mph, going at a higher speed, especially if the road is wet or the tires are worn, can significantly increase the risk of skidding. The safe driving guidelines usually reflect these considerations and help drivers maintain control of their vehicles under different conditions.
Key Points to Remember:
Ideal speed is the safest speed for turning a curve.
Conditions like wet roads and worn tires can affect the maximum safe speed.
Always adhere to posted speed limits and recommended speeds for safety.
wirte 7,895,003,049 in expanded form.
You might have heard your grandmother say, “When I was your age, candy bars cost a nickel.” Like candy bars, the price of fast food has increased over time. In 1957, the year Burger King introduced its Whopper, the price was $0.37. In 2015, a Whopper costed $3.99.
Suppose the CPI in 1957 was 28, and the CPI in 2015 was 240. The base year for the CPI is 1983.
If the price of a Whopper had kept up with the rate of inflation, its price in 2015 would have been $
If the price of Burger King Whopper had increased at the same rate as the general inflation, the price in 2015 would be $3.17
Consumer Price Index (CPI) is used to measure inflation by measuring the price of certain household goods overtime.
When using it to calculate the price of something in a year, use the formula:
= Price in year of interest x CPI of current year / CPI in year of interest
The price in 2015 would therefore be:
= 0.37 x 240 / 28
= $3.17
In conclusion, the price of the Whooper in 2015 would be $3.17.
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When alice spends the day with the babysitter, there is a 0.6 probability that she turns on the tv and watches a show. her little sister betty cannot turn the tv on by herself. but once the tv is on, betty watches with probability 0.8. tomorrow the girls spend the day with the babysitter?
Chronic bronchitis results in the production of what substance
Define why change control management is relevant to security operations in an organization
Change control management is relevant to security operations in an organization as it minimizes risks associated with changes in IT infrastructure, reduces potential security vulnerabilities, and ensures a clear audit trail for future reference.
Explanation:Change control management is highly relevant to security operations in any organization. Change control management provides a structured approach when changes are made to the IT infrastructure. This helps to minimize negative impacts like system downtime, disruption of services, and reducing risks associated with changes.
For example, if a new software patch is to be implemented, change control management ensures that the patch has been thoroughly tested before it's rolled out. This helps to avoid potential security vulnerabilities that could be exploited by malicious threats.. Further, it also ensures that all changes are properly documented, providing a clear audit trail for future reference. Thus, change control management plays a key role in maintaining the organizational security posture and ensuring the smooth running of IT operations.
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The relationship between interest rates with differing times to maturity is known as the ________ ________ of interest rates.
Easy money policy is _____.
the belief that the money supply is the most important factor in macroeconomic performance
monetary policy that increases the money supply
the time it takes for monetary policy to have an effect
monetary policy that reduces the money supply
Easy money policy is "monetary policy that increases the money supply".
An easy money policy refers to a financial policy that expands the cash supply as a rule by bringing down premium rates. It happens when a nation's national bank chooses to permit new money streams into the saving money framework. Since financing costs are lower, it is less demanding for banks and moneylenders to credit cash, in this way prompting expanded monetary growth.
Easy money happens when a national bank needs to make cash stream between banks all the more effectively, on account of lower loan fees. At the point when banks approach more cash, loan costs to clients go down on the grounds that banks have more cash they need to contribute.
When quantity demanded is greater than quantity supplied, the resulting shortage causes the price to fall?
Under _____ uncertainty avoidance employees are willing to change jobs more frequently
Centralized it departments no longer produce reams of printed ____ reports.
You decided that it's time to start saving for your retirement. to do this, over the next 25 years you will invest $1,000 a month in a stock account and $700 a month in a bond account. the return of the stock account is expected to be 11 percent, and the bond account will pay 7 percent. when you retire, you will combine the accumulated money from both accounts into one account with a 10 percent return.
The executive directors oversee the operational side of the organization, manage the budget, and secure more _____.
A. funding (the only logical answer)
When the needs of individual consumers in a target market for a specific product are similar and the organization can satisfy most customers with a single marketing mix, the best approach to use may be the ____ strategy?
Cad cream inc., an ice cream company, has collaborated with bite snack inc., a food manufacturing company, to come up with a third company, cream bite inc. this new company manufactures energy bars with a variety of flavors. in this context, cream bite inc. is a _____.
Base on this context, Cream Bite Inc., is considered to be a joint venture. A joint venture is considered to be a business entity that occurs when the two or more parties are involved in one business in which they have a share ownership with the business.
Final answer:
Cad Cream Inc. and Bite Snack Inc. have formed Cream Bite Inc., a new company that manufactures energy bars. This collaboration is known as a joint venture, bringing together their expertise to create a unique product line.
Explanation:
Cad Cream Inc., an ice cream company, has collaborated with Bite Snack Inc., a food manufacturing company, to come up with a third company, Cream Bite Inc. This new company manufactures energy bars with a variety of flavors. In this context, Cream Bite Inc. is a joint venture.
When two distinct businesses come together to create a new entity for a specific purpose or project, it is known as a joint venture. This allows both companies to bring their expertise and resources to the table, creating a product or service that benefits from the strengths of each parent company. In the case of Cad Cream Inc. and Bite Snack Inc., they have combined their backgrounds in ice cream and snacks, respectively, to manufacture and introduce innovative energy bars to the market through Cream Bite Inc.
Which marketing objective was used because the Fruit Bowls were new to the market?
At a consumer's optimal choice, the consumer chooses the combination of goods such that the ratio of the marginal utilities equals the ratio of the prices.
a. true
b. false
A risk ____ plan is a proactive effort to anticipate a risk and describe an action plan to deal with it.
a. identification
b. response
c. balancing
d. management
which statement best describes lifetime income
Final answer:
An increase in expected income over one's lifetime affects one's intertemporal budget constraint by shifting it outward, allowing for a higher level of consumption and saving. This decision is known as the consumption/saving decision, where individuals balance their current consumption against saving for future consumption.
Explanation:
An increase in expected income over one's lifetime would shift the intertemporal budget constraint outward, allowing for a higher level of consumption and saving. As expected income increases, individuals may choose to consume more in the present, knowing that their future income will also be higher. This decision is known as the consumption/saving decision, where individuals balance their current consumption against saving for future consumption.
After the financial crisis that hits the country of cinfuria in 2008, 1 million people become unemployed. if 35 million individuals are lucky to keep their jobs, what is the unemployment rate? please specify your answer to two decimal places.
The unemployment rate in Cinfuria in 2008 was approximately 2.78%, calculated by dividing the number of unemployed people (1 million) by the total labor force (36 million) and multiplying by 100.
Explanation:The subject of this question relates to the computation of an unemployment rate, which is a common topic in economics and mathematics. The unemployment rate is calculated as the number of unemployed people divided by the total number of individuals in the labor force (employed and unemployed), multiplied by 100. Therefore, to compute the unemployment rate for the country of Cinfuria in 2008, you add the number of unemployed (1 million) to the number of employed (35 million) to get the total labor force, which would be 36 million. Then you divide the number of unemployed (1 million) by the total labor force (36 million) and multiply by 100 to get the unemployment rate in percentage.
In this case, (1,000,000/36,000,000) x 100 = 2.78%. After rounding to two decimal places, the unemployment rate in Cinfuria in 2008 was therefore approximately 2.78%.
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Mr. smith has saved $1,200 each year for 20 years. a year after the saving period ended, mr. smith withdrew $7,500 each year for a period of five years. in the sixth and seventh years, he only withdrew $4,500 per year. in the eighth year, he decided to withdraw the remaining money in his account. if the interest rate were 8% per year throughout the whole period, what was the amount he withdrew at the end of the eighth year?