Ted has always had difficulty saving money, so on June 1, Ted enrolls in a Christmas savings program at his local bank and deposits $750. That money is totally locked away until December 1 so that Ted can be certain that he will still have it once the holiday shopping season begins. Suppose that the annual rate of interest is 10 percent on ordinary savings accounts (that allow depositors to withdraw their money at any time). How much interest is Ted giving up by precommitting his money into the Christmas savings account for six months instead of depositing it into an ordinary savings account?[Hint: If you invest X dollars at an annual interest rate of Y percent, you will receive interest equal to X × Y, where the interest rate Y is expressed as a decimal.]
$.___________.
Answers
Answer:
Ted is giving up an interest of 37.5 by pre-committing his money to a Christmas savings account
Explanation:
Step 1: Determine interest amount
The formula for calculating interest is as follows;
I=PRT
where;
I=interest
P=principal
R=annual interest rate
T=number of years
In our case;
P=750
R=10%=10/100=0.1
T=From June 1 to December 1=6 months=0.5 years
replacing;
I=(750×0.1×0.5)=$37.5
Step 2: Determine total amount Ted will have for the two scenarios
case 1
Christmas savings program=750
Ordinary savings account=(750+37.5)=787.5
Ted is giving up an interest of 37.5 by pre-committing his money to a Christmas savings account
Related Questions
Dr. Osorno was served with a malpractice lawsuit based on allegedly removing the wrong organ. Following discovery, it becomes clear that the plaintiff has no credible evidence against the doctor, and that no reasonable jury could rule in the plaintiff's favor. How should Dr. Osorno's lawyer proceed?a. The lawyer should make a motion for summary judgment.b. The lawyer should make a motion for additional discovery.c. The lawyer should make a motion to amend the answer in order to make a motion to dismiss.d. The lawyer should file a motion for judgment on the pleadings.e. The lawyer should proceed to trial.
The following cost data relate to the manufacturing activities of Chang Company during the just completed year: Manufacturing overhead costs incurred: Indirect materials $ 17,000 Indirect labor 150,000 Property taxes, factory 10,000 Utilities, factory 90,000 Depreciation, factory 147,000 Insurance, factory 12,000 Total actual manufacturing overhead costs incurred $ 426,000 Other costs incurred: Purchases of raw materials (both direct and indirect) $ 420,000 Direct labor cost $ 80,000 Inventories: Raw materials, beginning $ 22,000 Raw materials, ending $ 32,000 Work in process, beginning $ 42,000 Work in process, ending $ 72,000 The company uses a predetermined overhead rate of $20 per machine-hour to apply overhead cost to jobs. A total of 21,700 machine-hours were used during the year. Required: 1. Compute the amount of underapplied or overapplied overhead cost for the year. 2. Prepare a schedule of cost of goods manufactured for the year.
Label each of the following scenarios with the correct combination of price change and quantity change. In some scenarios, it may not be possible from the information given to determine the direction of a particular price change or a particular quantity change. We will symbolize those cases as, respectively, "P?" and "Q?". a. On a hot day, both demand for lemonade and supply of lemonade increase. b. On a cold day, both demand for ice cream and the supply of ice cream decrease. c. When Hawaii's Mt. Kilauea erupts violently, the demand on the part of tourists for sightseeing flights increases but the supply of pilots willing to provide these dangerous flights decreases. d. In a hot area of Arizona where they generate a lot of their electricity with wind turbines, the demand for electricity falls on windy days as people switch off their air conditioners and enjoy the breeze. But at the same time, the amount of electricity supplied increases as the wind turbines spin faster.
The bonds of Lapeer Airlines, Inc., are currently trading on the market at $1,119.34. They have a par value of $1000, make semi-annual coupon payments with a coupon rate of 6.4%, and a YTM of 4.6%. How many years until these bonds mature?
B. the government makes collusion unnecessary with government-imposed barriers to entry because monopolies enhance economic efficiency.
C. the government encourages collusion with subsidies because resulting profits can be used to develop new products.
D. the government promotes collusion with the Federal Trade Commission because perfectly competitive markets enhance economic efficiency.
E. the government makes collusion illegal with antitrust laws because monopolies reduce economic efficiency.
Answers
Answer:
The correct answer is letter "E": the government makes collusion illegal with antitrust laws because monopolies reduce economic efficiency.
Explanation:
Antitrust laws regulate competition between companies. To protect consumers from price manipulation and unfair competition by making sure trade remains unrestrained. When businesses conspire to turn competition to their favor, they violate antitrust laws.
Those regulations prohibit business practices such us monopolies since those types of organizations take control over a certain market, making almost impossible the entry of competitors and consumers have fewer choices and higher prices.
b. may receive patent protection for two years by filing a simpler, shorter, cheaper provisional patent application while he is working on his complex, regular patent application.
c. is entitled to a patent over someone else who invents the same product if he is the first to invent it.
d. may sell his product for up to five years to see how well it sells before going through the complex process of filing a patent application with the PTO Office.
Answers
Answer:
a. must apply for a patent within one year of selling the product commercially.
Explanation:
As the product is the novel and also useful at the same time so he himself wants to try for the commercial purpose for reaping the benefits and the same should be used for a patent within one year for selling the product commercially manner
So as per the given situation, the option a is correct
And, the rest of the options seems incorrect
B) Productivity
C) Earning potential
D) Human capital
Answers
Answer:
earning potential
Explanation:
Earning potential refers to the potential gains from dividend payments and capital appreciation shareholders might earn from holding a stock. In other words, it reflects the largest possible profit that a corporation can make
Final answer:
The top salary one can make is tied to their earning potential, which is influenced by their human capital, including education and skills. Human capital boosts productivity, leading to higher earnings. Investments in human capital can hence increase the long-term earning potential of individuals.
Explanation:
The top salary one can make is often referred to as their earning potential, which is linked to several factors including education, human capital, productivity, and the career path one chooses. Human capital represents the accumulation of knowledge, skills, and experience that a worker possesses, which directly influences their productivity and, consequently, their earning potential. Investing in education and skills development can increase one's human capital, thereby raising their productivity and the ability to earn a higher salary. This can shift a family's budget constraint, allowing them to improve their standard of living, as shown by an increase in hourly wage from $7.25 to $12 in one hypothetical scenario.
An investment in human capital, similar to other forms of investment, includes an upfront cost but can lead to greater benefits in terms of increased productivity and earnings over time. The role of education in enhancing human capital is significant, impacting not only the career one can pursue but also the performance and income one can expect from their labor. Employers value the performance that comes with enhanced human capital, thereby providing more significant benefits and higher wages in line with the increased productivity.
Answers
Answer:
Allocated MOH= $274,850
Explanation:
Giving the following information:
Estimated manufacturing overhead cost $238,900
Estimated machine hours 20,000
Actual machine hours 23,000
First, we need to calculate the predetermined overhead rate:
Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Predetermined manufacturing overhead rate= 238,900/20,000
Predetermined manufacturing overhead rate= $11.945 per machine-hour
Now, we can allocate overhead:
Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base
Allocated MOH= 11.95*23,000
Allocated MOH= $274,850
Answers
Answer:
$3,200,000
Explanation:
The net income after taxes (NIAT) is determined as the product of the basic earnings per share (EPS) by the number of shares outstanding.
Since Peak Performance Sporting Goods has an EPS of $0.80 per share and 4,000,000 shares outstanding, their net income after taxes, for this period is:
Net income after taxes for the same period = $3,200,000.
Answers
Answer:
Explanation below.
Explanation:
The recommendation that I will give or propose is that the agreement must have a legal backing.
This is the best recommendation that a wise person can proposes. It is a show of height of stupidity when an individual go into conjunction with another person without any written agreement that is backed legally. This because, when there is a problem in the future, the documents will be a way to solve it.
The other secondary option is written and signed agreement with video recording. This is not as good as the one mentioned above, but can still be considered as an alternative.