A country's government argued that imports had nearly wiped out the country's steel industry and imposed a tariff on imported steel for a year. The argument in favor of trade protection based on declining industries served as the basis for this trade policy.
Which is a justification for imposing steel tariffs?The argument in favor of the tariffs is that they act as a deterrent to foreign producers of aluminum and steel from flooding the American market, disadvantaging American businesses.
What justifications can be given for a trade protection policy?To safeguard sunrise industries, also known as infant industries, such as those involving new technologies, trade barriers can be utilized. This gives new businesses a chance to grow, develop, and compete globally. They may be able to establish a competitive advantage through the protection of domestic industries.
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, list five important system details you would like to know about in order to manage the system effectively?
The system's backup procedures and disaster recovery plans is crucial in order to minimize downtime and data loss in case of emergencies or system failures.
To manage a system effectively, it is crucial to be aware of the following five important system details:
1. System architecture: Understanding the overall structure and components of the system, including their relationships and interactions, is essential for efficient management.
2. Performance metrics: Identifying key performance indicators (KPIs) helps to monitor the system's efficiency and effectiveness, enabling you to make informed decisions for improvements.
3. Security features: Being aware of the system's security measures and potential vulnerabilities is necessary to ensure the protection of valuable data and maintain the system's integrity.
4. User roles and permissions: Knowing the different user roles and access levels within the system allows you to manage user accounts effectively, ensuring that each user has the appropriate access and permissions.
5. Backup and recovery processes: Familiarizing yourself with the system's backup procedures and disaster recovery plans is crucial in order to minimize downtime and data loss in case of emergencies or system failures.
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. A quadratic polynomial whose one zero is 6 and the sum of the zeroes is 0, is x*2-6
True
False
pls tell fast
Answer:
False
Explanation:
From the question, we can see that a quadratic polynomial is made up of two elements or variables called zeros in this question
From the question, we are told that one variable (zero) = 6
The second variable (zero) = unknown , therefore we can represent the second variable as Y
We are told that the sum of the variables = 0
This means:
6 + Y = 0
Therefore, Y = 0 - 6
Y = -6.
The second variable ( zero) = - 6
Since it is a quadratic polynomial,
The roots of the polynomials are the variables 6 and -6
Hence, we have:
(x + 6) (x - 6) = 0
Expanding the brackets
x² - 6x + 6x - 36 = 0
= x² - 36 = 0
Therefore, a quadratic polynomial whose one zero is 6 and sum of the zero is 0 is x² - 36 = 0
This means the statement made in the question above "A quadratic polynomial whose one zero is 6 and sum of the zero is 0 is x²-6" is false
Providing a monthly security check to the elderly is most closely associated with wich goal ?
1) Economic Security
2) Economic Freedom
3) Price Stability
4) Economic Efficiency
Answer: 1) Economic security
Explanation: Economic security may be explained as a financial or economic concept of attaining a secure, stable or contingency financial source or income geared at ensuring that an individual has the continued capability of maintaining a certain cost or financial standard presently and in years to come. Economic security may occur in terms of personal or workplace strategies or social benefits provided by the government. Economic security is of paramount importance because individuals are prone to suffer from income instability at one point or the other due to job loss, retirement due to age and other causes.
Part of economic security is the social incentives provided by the government to the elderly, incapacitated and those who suffer job loss. This is to aid and support them in maintaining their living standard.
david needleman estimates the fair market value of his law practice including the small building in which it is located, at $2.8 million. he would like to structure a transfer of his law practice and the building to his son tom in a manner that tom could cope with financially and that would provide dave with a retirement income stream. which of the following transfer mechanisms are best for accomplishing this objective?
The best transfer mechanisms for accomplishing the objective of David Needleman transferring his law practice and building to his son Tom in a manner that Tom can cope with financially and providing Dave with a retirement income stream include one of the following: lease agreements, installment purchase, ESOP or outright sale.
Option A: A lease arrangement that would pay Dave a fixed rent and allow Tom to obtain ownership when he could afford it. This would be appropriate if Tom could not afford to purchase the practice and building outright.Option B: An installment purchase agreement in which Tom pays Dave over time. This would be suitable if Tom could not afford to buy the practice and building outright but could afford to pay for it over time with interest. An installment purchase agreement is a contract that obligates a buyer to pay for goods over time. The buyer takes possession of the goods but pays for them in installments.Option C: An ESOP, or Employee Stock Ownership Plan, could be used to transfer ownership of the practice and building to Tom over time. An ESOP would be suitable if Tom was a qualified employee who would benefit from the ownership of the practice and building over time. An ESOP is a type of employee benefit plan that purchases company stock to benefit employees.Option D: An outright sale would be appropriate if Tom could afford to purchase the practice and building outright. The outright sale would provide Dave with cash proceeds that could be used for his retirement income stream.Therefore, to get the fair market value of his law practice, Mr. Needleman can choose the lease agreement as the best transfer mechanism for the required return.
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What are extension strategies?
➣ Extension strategies are marketing techniques that seek to improve sales to extend the life of a product before decline begins.
➥ I hope I have helped you, greetings! Atte: ღTheGirlSadღAnswer:
Extension strategies are marketing techniques that seeks to improve sales to extend the life of a product before decline begins .
I study French so I can talk to my cousin who lives in Paris
Intrinsic or
Extrinsic?
Hey
Answer:
"Intrinsic" would be the correct choice.
Explanation:
Something that has intrinsic value as well as interest, it's indeed worthwhile or significant along with its real existence and appearance, and not just because of the latter's relation with several other kinds of activities.Intrinsic motivation means actions motivated by intrinsic motivators. In several other terms, the motivation comes from inside the person to participate in an activity even though it is inherently rewarding for you.Answer:
Intrinsic
Explanation:
Got it right on Edge 2021
Charles Adams deposited $1,000 in a savings account that earns 4%
interest compounded monthly. He made no other deposits or
withdrawals. What was the amount in the account at the end of 2
months? How much is the compound interest?
$1,006.67 and $6.67
$1,013.67 and $13.67
О. $1,020.10 and $20.10
$1,040.40 and $40.40
Answer:
$1,013.67 and $13.67
Explanation:
The formula for calculating compound interest is as follows
FV = PV × (1+r)^n
Where Fv is the future value
Pv is the present value, $1000
r is the interest rate 4%
n is number of periods= 2 months
Since time is in months, applicable interest rates will be 4% per year divided by 12 months multiplied by 2
=4/12 x 2 =0.67%
Fv = $1000 x (1 + 0.67/100)^2
Fv = $1000 x (1.0067)^2
Fv = $1000 x 1.01344489
Fv= $1,013.44
The amount will be $1,013.44.
Interest will be $1,013.44 - $1000 = $13.44
Which of the following choices incur speculative risk?
a.stocks
b.fire insurance on a house
c.options
d.life insurance
e.high interest savings account
Answer: correct option is A.
Explanation: A speculative risk can be defined as risk that is taken willingly either it results in profit or loss and the stocks involve in probability of gain and loss making it a speculative risk.
Stocks incur speculative risk. Therefore option A is correct.
What are Stocks?A stock usually referred to as equity, is a type of investment that denotes ownership in a portion of the issuing company. Shares, also known as units of stock, entitle their owners to a share of the company's assets and income in proportion to the number of shares they possess.
Common stock and preferred stock are the two primary categories of stocks.
Owners of common stock are entitled to dividends and the right to vote at shareholder meetings.
Common stockholders often do not have voting rights, while preferred stockholders typically get dividend payments ahead of time and are given preference over common investors in the event of a firm bankruptcy and asset liquidation.
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Question 1
All of the below are examples of noteworthy news that could generate positive media mentions, EXCEPT
Hiring a new employee
A partnership with a local nonprofit that you donate to
Growth of your business into new markets or product lines
A new product or service rollout
Answer:
A new product or service rollout
Explanation:
While a new product or service rollout can be important for a business, it is not necessarily noteworthy news that would generate positive media mentions. Positive media mentions typically come from news that is unique, impactful, or of significant interest to the public, such as a partnership with a local nonprofit or growth of a business into new markets or product lines. Hiring a new employee is also noteworthy news, as it can demonstrate growth and success for a business.
APR, a rate advertised by ___ is typically ___ than APY
A) lenders; higher
B) borrowers; higher
C) borrowers; lower
D) lenders; lower
answer: D
APR, a rate advertised by lenders is typically lower than APY. The correct answer is D.
What is APR?APR is an acronym for annual percentage rate, it is considered as a cost of borrowing money which is calculated on a percentage that any individual pay each year on their loan. It does not only include the rate of interest but also the fees you must pay to obtain the loan.
APY is an acronym for annual percentage yield, which is considered the actual rate of return on the investment after considering the effect of investment returns.
APR is a rate advertised by lenders that is typically lower than APY as the cost of overall borrowing is lower, and the accounts of APR are also lower. If the difference between APR and APY is higher, the frequency with which interest compounds also increases.
Therefore, option D lenders and lower is the appropriate answer.
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5 Jin Li, an employee of ETrain.com, leases a car at O'Hare Airport for a three-day business trip. The rental cost is $468. Prepare the entry by ETrain.com to record Jin Li's short-term car lease cost
The journal entry to record Jin Li's short-term car lease cost by ETrain.com would be as follows
Date: [Date of the transaction]
Expense - Car Lease: $468
Cash (or Accounts Payable): $468
Explanation:
The journal entry increases the Car Lease expense account by $468, representing the cost of the car lease. On the other side, the Cash account is decreased by $468, reflecting the payment made for the lease. If ETrain.com is not paying in cash immediately, but instead using accounts payable, the second account would be Accounts Payable.ETrain.com debits the Car Rental Expense account to increase the expense and credits the Accounts Payable account to reflect the liability created for the car lease cost. By recording this entry, ETrain.com recognizes the cost incurred for Jin Li's short-term car lease as an expense on their financial records.
It's important to note that the specific account titles may vary depending on the chart of accounts and the accounting practices of ETrain.com.
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In order to retain certain key executives, Jensen Corporation granted them incentive share options on December 31, 2017. 50,000 options were granted at an option price of €35 per share. Market prices of the shares were as follows:
December 31, 2018 €46 per share
December 31, 2019 51 per share
The options were granted as compensation for executives' services to be rendered over a two-year period beginning January 1, 2018. The Black-Scholes option pricing model determines total compensation expense to be €500,000. What amount of compensation expense should Jensen recognize as a result of this plan for the year ended
December 31, 2018 under the fair value method?
Under the fair value method, Jensen Corporation should recognize compensation expense for the year ended December 31, 2018, equal to the fair value of the options granted on the grant date, adjusted for any forfeitures.
The fair value of the options can be determined using the Black-Scholes option pricing model, which takes into account the option price, market price of the shares, time until expiration, volatility, and risk-free interest rate. In this case, the fair value of the options granted on December 31, 2017, is €500,000, which should be recognized as compensation expense for the year ended December 31, 2018.
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what percanetage of my income will likely got o taxes
Answer:
about 22% for federal taxes
why is self-representation important in the corporate world?
The correct answer is A. It determines the kind of interaction you have with your coworkers.
What is self-representation?Self-representation is the word used to describe people's conceptions, ideas, and beliefs about themselves and how these ideas, beliefs, and conceptions affect the way they present themselves to others.Additionally, one's self-perception affects attitudes, behaviors, and interactions with others. For instance, if you think of yourself as superior to others, you probably have arrogance, which will negatively affect your dealings with others. This is especially important in the business environment because it may have an impact on relationships with colleagues. This states that self-representation is crucial because "it controls the interactions you have with your coworkers." A is the right response. Your interactions with coworkers are influenced by it.The complete question is,
Why is self-representation important in the corporate world?
a. It determines the kind of interaction you have with your coworkers.
b. It determines the percentage of salary increases during appraisals.
c. It shows that you are an honest person with strong work ethics.
d. It shows your self-management abilities.
e. It helps you avoid conflicts
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If Chinwe owes $2,164.00, what would her quarterly payments be?
Answer:
$541.00
Explanation:
2164 / 4 = 541
Based on the calculation, Chinwe's quarterly payment would be equal to $541.00.
What is a quarterly payment?A quarterly payment can be defined as a cumulative total of monthly payments that are made by an individual or business organization, four (4) times in a year or an annual basis. This ultimately implies that, a quarterly payment would be paid in four (4) installments only.
Given the following data:
Debt = $2,164.00.
Quarterly payment = 2,164.00/4
Quarterly payment = $541.00.
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Inline Content: Site 1
lick to review the online content. Then answer the question(s) below, using complete sentences. Scroll down to view additional question
ive an example of a process that may need flowchart to clarify procedures. Provide details to help explain your answer.
One example of a process that may need a flowchart to clarify procedures is the customer complaint resolution process in a retail store.
This process typically involves multiple steps, such as receiving the complaint, assessing the issue, escalating it to the appropriate department, investigating, and providing a resolution to the customer. By creating a flowchart, the various steps and decision points in the process can be visually represented, including who is responsible for each task and the communication flow between departments.
This helps clarify the sequence of actions, potential bottlenecks, and areas for improvement. The flowchart provides a clear and standardized guide for employees, ensuring consistent and efficient handling of customer complaints.
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Companies that are employee-owned are commonly thought to be more profitable than are publicly-owned companies or companies with a single owner. If employees have a financial stake in the company, it is in their interest to work harder. If profit goes primarily to stockholders or a small group of owners, employees have less incentive to work hard. Yet, in a comparison of airline companies, Wingspan Airlines, which is entirely employee-owned, has recorded losses for the previous three quarters, whereas Longflite Airlines, which is owned by billionaire Martin Pearson, has recorded record profits for the previous three quarters.Which of the following, if true, best supports the conclusion that employee-owned companies are more profitable than are non-employee-owned companies?A. Wingspan Airlines has recently initiated routes to New Zealand, Australia, and Tahiti.B. Longflite Airlines has been owned by Martin Pearson for only six months.C. A cosmetics company that is entirely employee-owned has, in the last year, increased its market share by 18 percent.D. Profits recorded by Longflite Airlines include profits earned by a subsidiary that manufactures airplane parts, and because of a nationwide drop in airplane travel, all airline companies have chosen to repair their older planes rather than spend dwindling revenues on new planes.E. The employees of Wingspan Airlines voluntarily took pay cuts to give the company a chance to recover, and the employees of Longflite recently went on strike to protest poor working conditions.
Answer:
D. Profits recorded by Longflite Airlines include profits earned by a subsidiary that manufactures airplane parts, and because of a nationwide drop in airplane travel, all airline companies have chosen to repair their older planes rather than spend dwindling revenues on new planes.
Explanation:
In the given instance it is stated that Wingspan Airlines, which is entirely employee-owned, has recorded losses for the previous three quarters, whereas Longflite Airlines, which is owned by billionaire Martin Pearson, has recorded record profits for the previous three quarters.
This is in conflict with the fact that employee-owned are commonly thought to be more profitable than are publicly-owned companies or companies with a single owner.
The option that justifies this in the given instance is if every company is suffering and making losses but Longflite Airlines (which is owned by billionaire Martin Pearson) is making profit from a subsidiary that manufactures plane parts.
This will give Long life Airlines a clear advantage over other companies including the employee owned Wingspan Airlines.
Question 7: All results must be numeric and rounded to the nearest hundredth X = 17914. 1. When you round off to the hundredth digit, you look at only the thousandth digit i.e. you focus only on the next digit. Say z=4678.4546 When you round it to the nearest hundredth digit, you get z = 4678.45 2- When you have a percent transform it into decimal number. Say T = 35% you get T = 0.35
When rounding off to the nearest hundredth digit, focus on the thousandth digit and round up if it is 5 or greater.
To convert a percent to a decimal, divide the percent value by 100.
The given question has two parts, and I will address each part separately:
Rounding to the Nearest Hundredth Digit:
When rounding off to the hundredth digit, you look at the thousandth digit (the digit immediately after the hundredth digit). If the thousandth digit is 5 or greater, you round up the hundredth digit by adding 1; otherwise, you leave the hundredth digit unchanged.
For example, let's consider the value of z = 4678.4546. When rounding it to the nearest hundredth digit, we focus on the next digit (the thousandth digit), which is 5 in this case. Since 5 is greater than or equal to 5, we round up the hundredth digit, resulting in z = 4678.45.
Converting Percent to Decimal:
To convert a percent to a decimal, you divide the percent value by 100. This is because a percent is a ratio out of 100. By dividing the percent value by 100, you convert it into its decimal equivalent.
For example, if we have T = 35%, to convert it into a decimal number, we divide 35 by 100: T = 35/100 = 0.35.
So, to summarize:
When rounding off to the nearest hundredth digit, focus on the thousandth digit and round up if it is 5 or greater.
To convert a percent to a decimal, divide the percent value by 100.
Please note that these guidelines should be followed when rounding and converting in the context of the specific question provided.
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kevin sells roman coins. he knows jen is a coin collector, and he sends jen a letter stating that he collector, and he sends jen a letter stating that he has a julius caesar coin he is willing to sell for has a julius caesar coin he is willing to sell for $2500. jen signs and returns the letter but adds $2500. jen signs and returns the letter but adds nothing more than her signature. kevin mails the nothing more than her signature. kevin mails the coin to jen and requests payment, but jen sends coin to jen and requests payment, but jen sends the coin back claiming they do not have a contract. the coin back claiming they do not have a contract. what standard will the court use to determine what standard will the court use to determine whether they have a contract?
Reasonable Person Standard will the court use to determine whether they have a contract.
A contract is a legally enforceable settlement that creates, defines, and governs mutual rights and responsibilities among its parties.[1] An agreement normally involves the transfer of goods, services, money, or a promise to transfer any of these at a future date. In the event of a breach of settlement, the injured birthday party may also are trying to find judicial treatments together with damages or rescission.[2] contract law, the sphere of the regulation of obligations worried to contracts, is primarily based on the precept that agreements must be honored.
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Tasha has foam blocks stored in a box that measures 3 1/4 feet long by 3 feet wide by 1 feet tall. Each foam block is a cube with 1/4 -feet edge length. How many blocks can fit into the box?
A. 156 blocks
B. 312 blocks
C. 624 blocks
D. 2496 blocks
There are 624 blocks can fit into the box.
The correct option is (C)
Tasha has foam blocks stored in the box
And the measurement of the blocks are:
Length of the box (l) = 3 1/4 feet
Width of the box (w) = 3 feet
Height of the box (h) = 1 feet
We know that the volume of the box:
The volume of the box is:
Volume = l × w × h
Volume = 3 1/4 × 3 × 1
Volume = 39/4
We have to find the how many blocks can fit into the box ?
The volume of each block:
V = 1/4×1/4×1/4 = 1/64
Number of blocks that the box can fit:
39/4 ÷ 1/64 = 39/4 × 64 = 39 × 16 = 624
The correct option is (C)
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In considering whether to take action to delay the recognition of revenue until fiscal year ended September 30, 2019, Madison should be most concerned with her:
originally processing plants were in the cities and drovers had to drive the pigs to the plants true or false
True. Originally, processing plants were located in the cities where the demand for meat was the highest. Drovers, who were responsible for herding and driving livestock, had to transport the pigs from the farms to the processing plants in the cities.
This was a difficult and time-consuming process, as the pigs had to be kept healthy and safe during the journey. Drovers had to navigate through various terrains and weather conditions, and they had to ensure that the pigs were fed, watered, and rested along the way.
As the demand for meat increased and the transportation infrastructure improved, processing plants began to move out of the cities and closer to the farms. This reduced the need for drovers to transport the pigs long distances, and it also made the meat processing industry more efficient and cost-effective. Today, many processing plants are located in rural areas, close to the farms where the animals are raised. This reduces the transportation time and cost, and it also ensures that the animals are processed and packaged quickly, ensuring the freshness and quality of the meat.
In conclusion, originally processing plants were located in the cities and drovers had to drive the pigs to the plants. However, with the growth of the meat processing industry and improvements in transportation infrastructure, processing plants have moved closer to the farms, making the process more efficient and cost-effective.
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True. Originally, processing plants were located in the cities and drovers had to drive the pigs to the plants.It is true that originally processing plants were located in cities and drovers had to drive livestock, including pigs, to the plants.
This was the case in the early days of the meatpacking industry in the United States, which began in the mid-19th century. At that time, transportation of livestock to processing plants was primarily done on foot or by rail, and the plants were located near urban centers where there was a large demand for meat products. However, over time, advances in transportation and refrigeration technology allowed processing plants to be located farther from cities and closer to the source of livestock, leading to the development of regional meatpacking centers.
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Deanna is 62 years old. She plans to retire in 3 years. She has $300,000 in a savings account that yields 2.25% interest compounded daily.she has calculated that her final working years salary will be $94,000. She has been told by her financial advisor that she should have 65% of her final year annual income available for use each year when she retires
Deanna should have approximately $196,769.72 available each year during her retirement.
How to determine Deanna final year annual incomeCalculating the target retirement income:
Deanna's target retirement income is 65% of her final working year's salary. Therefore,
Target retirement income = 65% * $94,000 = $61,100
To Determine the number of years in retirement:
Deanna plans to retire in 3 years.
We Calculate the future value of her savings account at the time of retirement:
The savings account has an interest rate of 2.25% compounded daily. We'll use the compound interest formula to calculate the future value:
Future Value = Present Value * (1 + (Interest Rate / Number of Compounding Periods))^(Number of Compounding Periods * Number of Years)
Future Value = $300,000 * (1 + (0.0225 / 365))^(365 * 3)
Future Value = $300,000 * (1 + 0.0000616445)^1095
Future Value = $300,000 * 1.071924
Future Value ≈ $321,577.11
Calculating the annual retirement income:
Annual retirement income = Future Value * (Target retirement income / 100)
Annual retirement income = $321,577.11 * (61,100 / 100)
Annual retirement income ≈ $196,769.72
Therefore, according to the given information, Deanna should have approximately $196,769.72 available each year during her retirement.
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Select the correct answer. What is the first step in financial planning? A. maintaining a log of all your expenses B. understanding what you want C. preparing a balance sheet D. attaching a goal cost to every goal E. attaching a time frame to every goal
Answer:B
Explanation:
If you don't know what you want you can't do anything else
Answer:
B
Explanation:
please helps, its urgent
The part of his email declining the invitation to the correct section.
buffer - It was an honor to be invited to the opening of your new retail store.
reason - My current project requires me to leave town for a while.
bad news - I sincerely regret not being present on this occasion.
closing- I am sure that we'll have an opportunity to work together in the future.
What is Email?An email stands for electronic mail which is used as a method of communication in an official setting in the administrative environment to exchange any message.
The given email indicates a decline of an invitation in a positive manner to make the sender feel positive and does not show the arrogance of the receiver of the invitation.
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Asmeret works as a hotel manager for a popular family resort and casino in Atlantic City, New Jersey. During the summer, hotel managers aim for an occupancy rate of at least 85% to ensure that overhead costs are covered. The resort is known for its quality services; guests generally return an average of three times during the summer and use their rewards and loyalty cards during their stays. On this particular day, Asmeret is quite stressed because the occupancy rate is only 65%. If the hotel fails to sell at least an additional 20% of the available rooms, she might be in some trouble. Required: Which aspect of a service is best illustrated in the scenario?
A) Services are perishable.
B) Service standards show wide variation.
C) Services are inseparable from service providers.
D) Companies cannot easily standardize the services they provide.
E) Buyers play an important role in the creation and distribution of services.
Answer: A) Services are perishable
Explanation:
The aspect of a service is best illustrated in the scenario is that services are perishable.
Perishability is a term that is used in marketing and it implies that the capacity of service cannot be stored and sold in the future. Once services have been used, they cannot be saved, returned or stored.
Once services has been rendered to a customer, it has been then consumed and it can't be delivered to another person. Other characteristics of services are inseparability, variability and intangibility.
What accounts are inventory invoices placed into?
Inventory invoices are usually placed into one of the following accounts in an accounting system:
Inventory Account: This account is used to track the cost of goods that a business has in stock. The inventory invoices are recorded as a debit in this account.
1. Purchases Account: This account is used to track the cost of goods purchased by a business. The inventory invoices are recorded as a credit in this account.
2. Cost of Goods Sold (COGS) Account: This account is used to track the cost of goods sold by a business. The inventory invoices are recorded as a debit in this account when the goods are sold.
3. Accounts Payable Account: This account is used to track the amount owed to suppliers for goods purchased on credit. The inventory invoices are recorded as a debit in this account until they are paid.
4. The specific accounts that inventory invoices are placed into may vary depending on the accounting system and the business's accounting policies. It's important to consult with an accountant or financial advisor to determine the most appropriate accounts to use for your business.
what is 4/8 = ??????????????????????
Answer:
4/8 is equivalent to 1/2
Explanation:
Hope it helps a lot :]
Answer:
4 divided by eight? if this is the question then the answer is 1/2
Explanation:
let me know if that was what you were asking
Today is your 35th birthday and it occurs to you that your current retirement savings may be insufficient to maintain for you the lifestyle to which you have become accustomed. The value of your retirement account today on your 35th birthday is $100,000. You plan to retire on your 65th birthday and to live until the day before your 83rd Your goal is to have a stream of cash payments on your 66th through 82nd birthdays that provides you with $150,000 of consumption annually in terms of today’s purchasing power. Your retirement account earns 10% per year (this is the effective annual rate), and the inflation rate is 2% forever. Ignore the value of your other assets and perform calculations as if deposits, withdrawals, and compounding of interest occur only once a year.
What cash (nominal) balance do you need in your retirement account on your 65th birthday to provide you with your desired retirement spending stream; i.e., what is the PV of all the cash flows at your 65th birthday received between your 66th and 82th birthday?
What constant nominal amount would you have to deposit on each of your 36th through 65th birthdays to ensure that the balance in your account on your 65th birthday is the amount calculated in the previous question? Take into account the $100,000 you already have in your retirement account.
You would need a cash (nominal) balance of approximately $1,742,646.60 in your retirement account on your 65th birthday to provide you with the desired retirement spending stream. $7,970.16 constant nominal amount would you have to deposit on each of your 36th through 65th birthdays to ensure that the balance in your account on your 65th birthday is the amount calculated
The cash flows are the annual withdrawals of $150,000, adjusted for inflation.
Step 1: Calculate the real (inflation-adjusted) retirement spending stream:
The desired retirement spending of $150,000 annually needs to be adjusted for inflation. Since the inflation rate is 2%, the real retirement spending stream is $150,000 / (1 + 0.02) = $147,058.82 per year.
Step 2: Calculate the present value of the retirement spending stream:
Using the PV formula, the present value of the retirement spending stream can be calculated as follows:
PV = C * [(1 - (1 + r)^(-n)) / r]
Where:
PV = Present Value
C = Cash flow per period ($147,058.82)
r = Interest rate per period (10%)
n = Number of periods (from 66th to 82nd birthday, 17 periods)
PV = $147,058.82 * [(1 - (1 + 0.10)^(-17)) / 0.10]
PV = $1,742,646.60
Therefore, you would need a cash (nominal) balance of approximately $1,742,646.60 in your retirement account on your 65th birthday to provide you with the desired retirement spending stream.
Step 3: Calculate the deposit amount:
To calculate the constant nominal amount, we can use the future value of an annuity formula:
FV = P * [(1 + r)^n - 1] / r
Where:
FV = Future Value ($1,742,646.60)
P = Deposit amount
r = Interest rate per period (10%)
n = Number of periods (from 36th to 65th birthday, 30 periods)
$1,742,646.60 = P * [(1 + 0.10)^30 - 1] / 0.10
Solving for P, we find:
P = $1,742,646.60 * (0.10 / [(1 + 0.10)^30 - 1])
P ≈ $7,970.16
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When should you start financial planning?
O A. Once you have priorities established,
regardless of age
O B. Before you start at your first paying job
O C. When you set up a 401(k) through your
employer, regardless of age
OD. When you make your first million dollars
ITS A
Answer:
A. Once you have priorities established, regardless of age
Explanation:
Answer:
a
Explanation: