Answer:
The future value of an annuity (FVA) is $828.06
Explanation:
The future value of an annuity (FVA) is the value of payments at a specific date in the future based on the payments being recurring and assuming a discount rate. The future value of an annuity (FVA) is based on regular cash flow. The higher the discount rate, the greater the annuity's future value.
Where:
FVA is The future value of an annuity (FVA)
P is payment per period
n is the number of period
r is the discount rate
Given that:
P = $195
r = 4% = 0.04
n = 4 years
substituting values
The future value of an annuity (FVA) is $828.06
Answer:
Make no change in Y and Z.
Explanation:
It was assumed that consumer purchases the combination of two goods, Y and Z.
For maximizing the utility of the consumer, the ratio of marginal utilities must be equal to the price ratio of the products.
We can see that the ratio of marginal utilities is equal to the price ratio of the products. Hence, the consumer should not make any changes to the combination of products.
Answer: A. On the curve.
Explanation:
Production possibilities curve (PPC) is simply a graphical representation that is used to show different combinations of two goods which a particular economy can produce when the economy uses the resources it has efficiently.
Points on the curve shows that the resources in an economy are efficiently used, points on the interior of the curve shows that the resources are used inefficiently while the points that are beyond the curve shows are referred to as unattainable.
Therefore, if you are using your factors of production at 100% efficiency, you will be on the curve.
The answer is A.
Answer:
Jacob purchased 10000 shares form Grebe corporation two years ago for $24000
last year Jacob received a non taxable stock dividend of 2000 shares from Grebe corporation
In the current year tax year Jacob sold all stock received as dividend that's 2000 shares for $18000
The gain of the sale of 2000 shares can be calculated by subtracting the basis in the shares from the cost price. the cost of shares = ( $24000 / 12000 ) = $2 per share
profit made from the sales of 2000 shares is calculated as follows ; selling price ( $18000 ) - cost price of 2000 shares ( $2 * 2000) , the profit is $14000 and it is in the long term because the original shares bought has been held for at least 1 year
Explanation:
Jacob purchased 10000 shares form Grebe corporation two years ago for $24000
last year Jacob received a non taxable stock dividend of 2000 shares from Grebe corporation
In the current year tax year Jacob sold all stock received as dividend that's 2000 shares for $18000
The gain of the sale of 2000 shares can be calculated by subtracting the basis in the shares from the cost price. the cost of shares = ( $24000 / 12000 ) = $2 per share
profit made from the sales of 2000 shares is calculated as follows ; selling price ( $18000 ) - cost price of 2000 shares ( $2 * 2000) , the profit is $14000 and it is in the long term because the original shares bought has been held for at least 1 year