User Account

All Pages

Find the discounted present value of these two choices

Assignment Help Accounting Basics
Reference no: EM133033671

Question - Jim has just won the lottery. He is offered 2 choices to access his winnings.

Choice A: $90,000 now

Choice B: $10,000 at the end of each year from year 1 to year 5 and $20,000 at the end of each year from year 6 to year 10.

Find the discounted present value of these two choices if the relevant interest rate is 8% per year and state the better choice for Jim?

Reference no: EM133033671

Questions Cloud

What was the selling price of the product : The company's direct laborers are paid at a rate of $8 per direct labor hour. What was the selling price of the product
Customer persona for cell phone company : What can be the customer persona for cell phone company (including introduction of company, versatility, durability, and benefits of product)
Effective report strategies : Your textbook addresses several types of reports. Share three types and describe what differentiates them from one another.
Conceptual underpinnings of the four dining options : Research Marriott Corporation's eight luxury brands and the main on-property, non-room service dining options each offer. Draft a memo giving a description, inc
Find the discounted present value of these two choices : Find the discounted present value of these two choices if the relevant interest rate is 8% per year and state the better choice for Jim
What are state and non-state actors : 1. What are state and non-state actors 2. Discuss the types of cyber threats states and non-state actors pose to our nation.
Separate diagnostic categories : Considering all of the disorders covered in this unit, which do you think would be the hardest for you to live with?
How much should carlson bonds sell for today : Carlson Corp. bonds have a current yield of 14%, and a coupon rate of 9%. How much should Carlson bonds sell for today
Understanding of civic engagement : 1. Describe and illustrate your understanding of civic engagement including the following:

Reviews

Write a Review

Accounting Basics Questions & Answers

  Prepare the journal entries to record the transactions

Gabrial Ltd. was incorporated on February 1, 2014 and is authorized to issue an unlimited number of preferred and common shares. Prepare the journal entries to record the above transactions

  What is the amount of Stanley deduction for contribution

What is the amount of Stanley's deduction for this contribution, before considering any limitation based on adjusted gross income

  Fact pattern for questions 11 and 12 multiple choice questio

Fact Pattern for Questions 11 and 12 multiple choice questions

  Depreciation is not recorded because the city has no cost.

Which of the following is true for reporting the gift within the government-wide financial statements?

  Prepare a purchases budget for bags of dog food

Prepare a purchases budget for bags of dog food for the second quarter of this year for Top Dog. How many bags of dog food did Top Dog expect to sell in March?

  What amount of sales will be reported

Seven sold the entire inventory to an unaffiliated company for $58,000 on October 12, 20X1. What amount of sales will be reported

  Make a classified cash flow statement

Make a classified cash flow statement (classified into operating, investing and Financial activities) for ABC for the year ended 30th June 2018

  Compute the cost of the ending work in process inventory

Compute the cost of the ending work in process inventory, Compute the cost of jobs completed during May.

  Discuss which bond will trade at higher price in the market

Discuss which bond will trade at a higher price in the market. Discuss what happens to the market price of each bond if the interest rates in the economy go up.

  On january 1 2010 you had in supplies inventory 1200 on

on january 1 2010 you had in supplies inventory 1200. on february 1 you purchased supplies costing 1800 and you debited

  What is the assessable income

Penny wished to purchase a family home in the Melbourne eastern suburbs. What is the assessable income under the alternative approaches

  What was the amount of deposits in transit at the end of jan

Assuming that there were no deposits in transit at the beginning, what was the amount of deposits in transit at the end of January and at the end of February?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd