The present value of two years back pay

Assignment Help Financial Management

Reference no: EM131949147

You are serving on a jury. A plaintiff is suing the city for injuries sustained after a freak street sweeper accident. In the trial, doctors testified that it will be five years before the plaintiff is able to return to work. The jury has already decided in favor of the plaintiff. You are the foreperson of the jury and propose that the jury give the plaintiff an award to cover the following: (a) The present value of two years’ back pay. The plaintiff’s annual salary for the last two years would have been $34,000 and $37,000, respectively. (b) The present value of five years’ future salary. You assume the salary will be $41,000 per year. (c) $100,000 for pain and suffering. (d) $13,000 for court costs. Assume that the salary payments are equal amounts paid at the end of each month. If the interest rate you choose is an EAR of 7 percent, what is the size of the settlement? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Reference no: EM131949147

Questions Cloud

On-call services of vermont provides paging services : On-Call Services of Vermont provides paging services for plumbers while they are on the road performing services.

Calculate the molarity of a solution : Calculate the molarity of a solution that has a volume of 0.25 dm3 and contains 10.6 g of AgNO3.

Identify the leaders in the market : HI5019 STRATEGIC INFORMATION SYSTEMS - What is the most likely system acquisition method- commercial software, custom software, or ERP

What kind of work did yury and vassya manage to do : What kind of work did Yury and Vassya manage to do? Why did Vassya become disappointed in Yury? What was the ultimate effect of this on Yury's life?

The present value of two years back pay : The present value of two years’ back pay. The plaintiff’s annual salary for the last two years would have been $34,000 and $37,000, respectively.

Calculate the ph of the solution that results : Calculate the pH of the solution that results from the addition of 0.040 moles of HNO3 to a buffer made by combining 0.500 L of 0.380 M HC3H5O2

Fixed rate mortgage with monthly payment to finance purchase : You are buying a house and will borrow $195,000 on a 25-year fixed rate mortgage with monthly payments to finance the purchase.

Develop three experiential interventions : PCN-521 Using the Experiential Interventions Template, develop three experiential interventions that you would use with the family and describe why.

How many grams of water are needed to make : How many grams of water are needed to make 100.00g of a 7.23% sodium bromide(m/m)solution?

User Account

All Pages