PARTIAL CREDIT-You must use Excel equations and functions (30 pts) Max is planning his retirement 30 years from now. He plans to save $500 each month for the next 30 years (ordinary annuity). His investment will earn 8.0 percent compounded monthly.
Max will earn 4.0 percent compounded monthly on his investment during retirement. He plans to withdraw $5,000 per month from his retirement account for 20 years and have $200,000 for his heirs at the end of the retirement period.
Unfortunately, Max's savings plan will not accomplish his goal and he must invest something today. How much must he invest today?
Saving Period
Initial Balance
Total Length 30 years
Savings amount $500 per month
Rate during Savings (APR) 8.00% APR
Retirement Period
Withdrawal Period Length 20 years
Rate during Retirement 4.00% APR
Withdrawal amount $5,000 per month
Inheritance $200,000
Answers
Max must invest an additional amount of $415,783.78 today to achieve his retirement goals.
to calculate how much max must invest today to achieve his retirement goals, we can break down the problem into several steps:
step 1: calculate the future value of max's savings during the 30-year saving period.
using the future value of an ordinary annuity formula in excel, we can calculate the total savings amount after 30 years:
=fv(rate, nper, pmt, pv, type)
=fv(8%/12, 30*12, -500, 0, 0)
result: $501,903.62
step 2: calculate the future value of max's withdrawals during the 20-year retirement period.
using the future value of an ordinary annuity formula in excel, we can calculate the total value of the withdrawals after 20 years:
=fv(rate, nper, pmt, pv, type)
=fv(4%/12, 20*12, -5000, 0, 0)
result: $615,783.78
step 3: calculate the additional investment required to reach the $200,000 inheritance goal.
to find out how much additional investment is needed to reach $200,000, we subtract the future value of withdrawals from the desired inheritance amount:
=200000 - $615,783.78
result: -$415,783.78 (negative indicates an additional investment is needed) max's savings plan, which involves saving $500 per month for 30 years with an 8.0% apr compounded monthly, results in a future value of $501,903.62 after the saving period. however, during the 20-year retirement period, with a 4.0% apr compounded monthly and $5,000 monthly withdrawals, the future value of the withdrawals amounts to $615,783.78. to make up for the shortfall and reach the desired $200,000 inheritance, max needs to invest an additional $415,783.78 today.
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Related Questions
E8.2 (LO 1, 2, 3), AN Suni, the manager of Stargazers, is analyzing the company’s MOH costs from last year. Stargazers had always followed an actual costing system when determining the costs of its customizable telescopes. Suni wondered if it would be better to switch to a normal costing system, as she had heard a number of people talking about that at an industry conference she attended the previous month.
Since Stargazers has a highly machine-intensive operation, machine hours are used as its MOH cost driver. Here are the costs and other MOH information Suni is analyzing:
Budgeted MOH cost $422,400
Actual MOH cost $414,720
Budgeted machine hours 96,000
Actual machine hours 108,000
Required
1. Determine the actual MOH rate and the budgeted MOH rate Stargazers would have used last year under actual costing and normal costing, respectively.
2. Calculate total applied MOH under both actual costing and normal costing for last year.
3. How much would Stargazers’ under- or overapplied MOH costs be if it followed an actual costing system? If it followed a normal costing system?
4. What are the key advantages and disadvantages to both of these systems, and what does that mean for Stargazers’ ability to price its products if it bases its selling price on cost?
Answers
(4) The key advantages of normal costing are that it provides a predetermined and stable MOH rate, which simplifies the costing process and makes it easier to estimate costs.
1. To determine the actual MOH rate under actual costing, we divide the actual MOH cost by the actual machine hours.
In this case, the actual MOH rate would be $414,720 divided by 108,000 machine hours, which equals $3.84 per machine hour.
To determine the budgeted MOH rate under normal costing, we divide the budgeted MOH cost by the budgeted machine hours.
In this case, the budgeted MOH rate would be $422,400 divided by 96,000 machine hours, which equals $4.40 per machine hour.
2. To calculate the total applied MOH under actual costing, we multiply the actual MOH rate by the actual machine hours. In this case, the total applied MOH would be $3.84 per machine hour multiplied by 108,000 machine hours, which equals $414,720.
To calculate the total applied MOH under normal costing, we multiply the budgeted MOH rate by the actual machine hours. In this case, the total applied MOH would be $4.40 per machine hour multiplied by 108,000 machine hours, which equals $475,200.
3. To determine the under- or overapplied MOH costs, we subtract the total applied MOH from the actual MOH cost.
Under actual costing, the under- or overapplied MOH costs would be $414,720 minus $414,720, which equals $0.
Under normal costing, the under- or overapplied MOH costs would be $414,720 minus $475,200, which equals -$60,480 (overapplied).
4. The key advantages of actual costing are that it provides a more accurate reflection of the actual costs incurred and can help identify areas of cost overruns or savings.
However, it can be time-consuming to track actual costs for each job or product.
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you are a marketer for a retirement community. grouping users that explore several landing pages about different types of homes in your community as ""people seeking to retire"" is an example of what?
Answers
Grouping users who explore several landing pages about different types of homes in your retirement community as "people seeking to retire" is an example of segmentation in marketing.
Segmentation involves dividing a larger target audience into smaller, more specific groups based on shared characteristics, behaviors, or interests. In this case, the segmentation is based on the users' engagement with landing pages related to different types of homes in the retirement community.
By identifying and grouping users who show interest in retirement home options, you can create targeted marketing campaigns or personalized messaging that caters to their specific needs and preferences. This approach allows you to focus your marketing efforts on reaching the right audience with tailored content, maximizing the chances of attracting and engaging potential customers who are actively seeking retirement options.
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liam is neely’s supervisor. during neely’s yearly written evaluation, liam states that neely has not performed her job well at all, constantly comes in late to work, and stirs up trouble with the other employees. neely is understandably upset and wants to sue liam for defamation. if neely files a lawsuit against liam for libel, neely will probably
Answers
If Neely, who is rightfully furious, decides to sue Liam for slander. If Neely sues Liam for libel, Liam's remarks on Neely's written appraisal were most likely made in good faith, in which case Neely will most likely lose the case.
What exactly is libel?Libel, often referred to as defamation, is when someone produces a false report or statement about another person, which then causes the individual's reputation or character to suffer.
According to the described situation, Neely can only be successful in the case she brings against Liam, her boss if Liam did not make the statement in the best possible faith.
On the other hand, if the supervisor's remarks on Neely's written assessment were made in good faith, Neely may not be successful in her complaint.
In light of this, we might draw the conclusion that Neely's case might not succeed if her supervisor's remark was made in good faith.
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Which one of the following statements best represents McDonald's approach to global business?
a. One brand cannot be all things to all people
b. Extensive use of outside trainers
c. Using alternative technologies to make French fries
d. Use of primarily manual information systems
Answers
Out of the given options, the statement that best represents McDonald's approach to global business is "One brand cannot be all things to all people."
McDonald's is one of the largest and most successful fast-food chains in the world. It has a presence in more than 100 countries, serving millions of customers every day. Despite its global success, McDonald's recognizes that cultural differences and local tastes vary widely, and hence one brand cannot be all things to all people. McDonald's caters to the local tastes and preferences of customers in different regions by adapting its menu and marketing strategies.For instance, McDonald's offers Halal meat in Muslim-majority countries, while it provides pork-based products in non-Muslim countries. In India, McDonald's has a separate vegetarian menu due to the significant vegetarian population. Similarly, McDonald's offers a different menu in Japan, which includes rice-based dishes and fish burgers.McDonald's approach to global business is to maintain consistency in its core brand identity while adapting to local markets' specific needs. This approach has helped McDonald's to establish itself as a global brand while providing customers with a sense of familiarity and local relevance.In conclusion, McDonald's approach to global business is to recognize that one brand cannot be all things to all people. Instead, it adapts to local markets' specific needs while maintaining consistency in its core brand identity.
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how do true cycles and thr cylces typically found in business data duffer
Answers
True cycles and the cycles typically found in business data differ in their origins and characteristics.
True cycles, also known as natural cycles or intrinsic cycles, are patterns that occur in nature or in systems that are not influenced by external factors. These cycles are often regular and predictable, and their frequency and amplitude can be determined by mathematical models. Examples of true cycles include the seasonal variations in climate, the movements of the planets in the solar system, and the biological rhythms of organisms.
On the other hand, the cycles typically found in business data are influenced by external factors such as economic conditions, market trends, and consumer behavior. These cycles are often irregular and unpredictable, and their frequency and amplitude can vary depending on the specific industry, company, or product. Examples of business cycles include fluctuations in stock prices, the growth and decline of industries, and the changes in consumer demand for goods and services.
While true cycles and business cycles may share some similarities in terms of their periodicity and trends, their fundamental differences in origin and characteristics must be taken into account when analyzing and interpreting data. By understanding the underlying factors that drive these cycles, businesses can better anticipate and adapt to changes in the market and make informed decisions about their strategies and operations.
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Explain three reasons why the results of market research may not be useful 
Answers
The reasons why market research may not be useful are centered around obtaining the exact accuracy and the cost of conducting the entire research pointing out poor research practices and inexperience which must be accurately managed.
The required three reasons why market research may not be useful are as follows:
Prevalent research methodologies - The prevalent research methodologies that have not been updated with time will always contain sampling errors, faulty differentiation of competitors, the portrayal of low outcomes, and inadequate assessment of market conditions.Time-consuming process -The process of data collection, and financial plan build-up requires a lot of time to complete, as a lot of combinations might be required to derive meaningful information. Time management constraints the client requirement and the said research may turn meaningless with re-designing.Non-adherence to research material protocols - Research methodologies might often violate the protocols pertaining to man, material, large data sets, and environment. On that note, market research may lose its main component to the client's requirement.Based on the above-mentioned three aforesaid points, the results of market research may not be useful all the time and cause the original output to be less than up to the mark.
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define the term harmful activities
Answers
Harmful activities are what people all around the world participate in daily!
But these activities put their lives in jeopardy.
Why do people do it?
It gives an adrenaline rush to adrenaline junkies. “It’s fun” most would say.
Harmful activities are dangerous in a way that would give a bad effect towards someone and their overall health.
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Suppose the skills needed to perform the work in the two industries are identical, and the supply of labor to the two industries is fixed at 6,000 workers per day. What will be the equilibrium wage, and how many workers will work in each industry?
Answers
Answer and Explanation:
The computation of the equilibrium wages and the number of workers in each industry is as follows:
Since the supply of labor is 6,000
As per the attached graph, the common rate is $8 per hour so if we take 2000 workers in industry A and 4000 workers in industry b
So, the equilibrium wage would be $8
Hence, the same would be considered and relevant too
what's the difference between Utility and Marginal Unility?
Answers
Answer:
One is large the other is small
Explanation:
identify three of the many shared ethical standards among businesses that are incorporated in codes of ethics
Answers
The map shows rainfall amounts in the United States. A map of the United States shows where rain is currently falling and how heavy the rain is falling. Which presentation would most likely include this map? one that seeks to identify areas across the US that are prone to flooding one that analyzes global warming effects on the climate of the US one that seeks to show the many lakes and rivers in the US one that illustrates boundary lines between the states in the US
Answers
Answer:
answer c
Explanation:took the quiz
Answer:
a
Explanation:
The unit cost, in dollars, to produce bins of cat food is $15 and the fixed cost is $8400. The revenue 2x² + 325x function, in dollars, is R(x) = Find the cost function. C(x) = Find the profit function. P(x) = T At what quantity is the smallest break-even point? Select an answer
Answers
The cost function for producing bins of cat food is C(x) = 15x + 8400 dollars. The profit function is P(x) = R(x) - C(x), where R(x) is the revenue function. The break-even point occurs when the profit is zero.
The cost function, C(x), represents the total cost of producing x bins of cat food. In this case, the unit cost to produce each bin is $15, and there is also a fixed cost of $8400. The cost function can be expressed as C(x) = 15x + 8400 dollars.
The profit function, P(x), is calculated by subtracting the cost function from the revenue function. The revenue function, R(x), is given as 2x² + 325x dollars. Therefore, the profit function is P(x) = R(x) - C(x).
To find the break-even point, we need to determine the quantity at which the profit is zero. This means that the revenue and cost are equal. By setting P(x) = 0 and solving for x, we can find the quantity at the break-even point.
solve the equation P(x) = 0 to find the exact quantity at which the break-even point occurs.
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What legal form has the smallest percentage of new businesses?
a. sole proprietorship
b. partnership
c. C corporation
d. S corporation
Answers
The legal form that has the smallest percentage of new businesses is S corporation. (D)
S corporations are a type of corporation that is taxed similarly to a partnership, meaning that the profits and losses are passed through to the shareholders and reported on their individual tax returns.
However, S corporations have stricter requirements for ownership and operation than other types of businesses, which may make them less appealing to new business owners.
As a result, they make up a smaller percentage of new businesses than sole proprietorships, partnerships, and C corporations. (D)
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What are the two factors used to calculate productivity?
A. Goods produced and number of customers
B. Resources invested and goods lost
C. Goods produced and employees hired
D. Goods produced and resources invested
Answers
Goods produced and resources invested re the two factors used to calculate productivity.
How productivity is measured?Productivity is measured from different factors in the organization like the profit generate from the sales, number of customer increases, the amount of money invested in the company, the goods that are consumed of sell within span of time and others.
Thus, option D is correct.
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Answer:
Goods produced and resources invested
Explanation:
A key factor in a voucher system includes all of the following except:
Only approved departments and individuals are authorized to incur a liability that will result in the payment of cash.
The system limits the individuals that can incur cash payment liabilities for a company.
It is not necessary if the supplier provides both receiving report and invoice with the merchandise shipped.
It is applied to purchases of merchandise inventory and all other expenses.
Procedures for purchasing, receiving, and paying for merchandise are divided among several departments.
Answers
A key factor in a voucher system includes all of the given options except for "It is not necessary if the supplier provides both receiving report and invoice with the merchandise shipped." Therefore, option 3 is correct.
A voucher system is an internal control process used by companies to ensure proper authorization, verification, and recording of liabilities and payments.
It involves creating a voucher for each transaction, which includes supporting documentation such as invoices, purchase orders, and receiving reports.
The system limits the individuals who can incur cash payment liabilities for a company (option 2). This helps prevent unauthorized individuals from making payments and ensures that only approved departments and individuals are authorized to incur liabilities that result in the payment of cash (option 1).
By limiting the individuals, it enhances control and reduces the risk of fraud or errors in the payment process. The voucher system is applied to purchases of merchandise inventory and all other expenses (option 4).
It covers a wide range of transactions and expenses incurred by the company, not just limited to merchandise purchases. Procedures for purchasing, receiving, and paying for merchandise being divided among several departments is another important aspect of a voucher system (option 5).
This segregation of duties helps ensure checks and balances within the process, preventing any single department or individual from having complete control over the entire purchasing and payment process.
In summary, a key factor in a voucher system includes limiting individuals who can incur cash payment liabilities, applying the system to various expenses, and dividing procedures among multiple departments.
However, the voucher system is still necessary even if the supplier provides both receiving reports and invoices with the merchandise shipped. Therefore, option 3 is correct.
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Has anyone ever had the thought of wanting more friends but you are so weary of the people around you that you are not sure? I am not petty but if your nothing but drama please unfriend me.
Answers
Answer:
I wanna be friends!
Explanation:
I like Anime
Answer:
I have
Explanation:
Imagine that you have no money and you have to leave home and live by yourself. Make a list of the ten most important things that you would take with you and explain why.
Answers
Answer:
food clothes water
Explanation:
their the basic needs of an individual
When determining Accounting profit (as we define it), implicit cost
are not considered.
True or False
Answers
Answer:
The answer is True.
Explanation:
Accounting profit is the difference between total revenue and explicit costs. Explicit costs are the actual monetary payments made by a company for resources such as wages, rent, utilities, and materials.
Implicit costs, on the other hand, are the opportunity costs of using resources owned by the firm. These costs are not reflected in the accounting records of the company but are considered when calculating economic profit.
In determining accounting profit, implicit costs are not considered, so the answer is true.
I hope this helps!! Have a good day/night!!
What are some steps needed to have a good buisness?
Answers
Answer:
Conduct market research. Market research will tell you if there's an opportunity to turn your idea into a successful business.
Write your business plan.
Fund your business.
Pick your business location.
Choose a business structure.
Choose your business name.
Register your business
Get federal and state tax IDs.
Mark brainliest :)
Blake agrees to purchase a four-wheel drive monster truck from Offroad Autos and schedules a delivery. Blake signs a contract promising to pay the amount of $40,000 in full upon delivery in three days. The day before the scheduled delivery, Congress passes an emissions law making sale of vehicles with inadequate gas mileage illegal, and the truck that Blake contracted to purchase is included among the illegal vehicles. This contract
automatically terminates due to impracticability.
is enforceable and not affected by the new law because it was entered into before the law took effect.
automatically terminates due to impossibility.
automatically terminates due to frustration of purpose.
Answers
This contract automatically terminates due to impracticability.
Impracticability is a legal term that refers to a situation in which a party is unable to fulfill their obligations under a contract due to unforeseen and uncontrollable circumstances.
When a contract includes a clause that allows for termination due to impracticability, it means that the contract will be automatically terminated if such circumstances arise.
For example, let's say that a company has entered into a contract to purchase a particular product from a supplier. However, a natural disaster occurs, which destroys the supplier's factory and makes it impossible for them to produce the product.
In this case, the supplier would be unable to fulfill their obligation under the contract, and the company would be unable to receive the product they contracted to purchase.
If the contract includes a clause that allows for termination due to impracticability, then the contract would be automatically terminated in this situation. This would release both parties from their obligations under the contract and allow them to seek other options.
It is important to note that impracticability is not the same as impossibility. Impossibility refers to a situation in which it is physically or legally impossible to perform a contract, whereas impracticability refers to a situation in which performance has become extremely difficult or expensive due to unforeseen circumstances.
To claim impracticability as a defense, the party must show that the circumstances were truly unforeseen, that the performance has become impossible, and that they were not at fault for the situation.
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looking at the typical kinked demand curve, why are most oligopoly firms reluctant to increase the price of their product on their own? oligopolies are not reluctant to decreasing prices they would be then exposed to an elastic demand for their product and the price increase would lead to a higher total revenue. they would be then exposed to an elastic demand for their product and the price increase would lead to a lower total revenue. they would be then exposed to an inelastic demand for their product and the price decrease would lead to a lower total revenue.
Answers
Option B: As a result of the price increase, their overall revenue would decrease and they would be vulnerable to an elastic demand for their goods.
This is due to the fact that in an oligopoly market, the price is set in accordance with the cartel that has been established, and a rise in price will decrease demand and, ultimately, total revenue. The company may also be out of business. As a result, they are hesitant to raise the price.
Because they are unwilling to change prices, Option A is incorrect. Option C is incorrect since the overall revenue will decrease rather than grow. Demand will decline as a result of price elasticity rather than inelasticity. So, option D is also incorrect.
The Kinked-Demand curve theory is a monopolistic competition and oligopoly economic theory. Initial attempts to explain sticky prices relied on kinked demand.
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Complete question:
looking at the typical kinked demand curve, why are most oligopoly firms reluctant to increase the price of their product on their own?
oligopolies are not reluctant to decreasing prices they would be then exposed to an elastic demand for their product and the price increase would lead to a higher total revenue.
they would be then exposed to an elastic demand for their product and the price increase would lead to a lower total revenue.
they would be then exposed to an inelastic demand for their product and the price decrease would lead to a lower total revenue.
Although claimed to be seen by many, the Loch Ness Monster's existence has not been..............
a. culminated
b. complicated
c. sophisticated
d. authenticated
Answers
Someone help me in my homework please?
Answers
Answer:
im sorryi wish i was good at math
Explanation:
im failing math btw
HI I really want a bichon poodle dog but first I need to convince my parents. So far I've been working on earning 1000 dollars to pay for it and I wrote a 50 page essay but I'm not sure that will cut it what is the best tactic to get my dog??? what is the best business tactic to get this item.
Answers
Answer:
A lemonade stand maybe
competition and cooperation require similar attributes as noted by charles garfield. these include
Answers
Charles Garfield, a renowned psychologist, has noted that both competition and cooperation require similar attributes for success.
These attributes include self-motivation, resilience, and the ability to communicate effectively. In both scenarios, individuals need to be driven to achieve their goals and persist through obstacles to reach them. Additionally, effective communication is crucial to build relationships and work collaboratively towards a common goal.
While competition may involve individual success, cooperation requires a collective effort towards success. Therefore, individuals must be willing to put aside their personal interests and work together towards a common goal.
Both competition and cooperation can bring out the best in people, but they require a similar set of attributes to be successful. The ability to balance competition and cooperation is essential in personal and professional relationships and can lead to positive outcomes for everyone involved.
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How does technical education play a vital role to develop the entire nation?
pls- don´t lie
;)
Answers
Answer: Education is needed for jobs. If we dont have education people cant get certain jobs. Without certain jobs the world would fall into a pandemic.
Explanation:
Answer:
Technical education play a vital role to develop the entire nation by improvimg the well beimg of youth and communities.
It increases the productivity. It also helps to accelerate the pace of work and motivate the person towards his/her work.It creayes skilled manpower and improves the quality of life.
Mark Simpson earns $980 biweekly as a security guard for Albany Med. His group medical insurance costs $7,000 a year. The company pays 90% of the cost of medical insurance. How much is deducted from Marks biweekly paycheck for medical coverage
Answers
Answer:
$26.923
Explanation:
Biweekly payment means payments every 14 days or 2 weeks. One year has 52 weeks. Mark is paid 26 times per year
if the company pays 90% of $7000, then Mark pays 10% of $7000
Mark pays = 10/100 x $7000
=0.1 x $7000
=$700
The amount of $700 is spread over 26 weeks.
Each paycheck, Mark will be deducted
=$700/26
=$26.923 per check
How do credit card companies make money?
O (A) Fees and interest paid by cardholders
O (B) Investing your credit card debt
O (C) Fees paid by merchants
O All of them
O A and B
O A and C
OB and C
Answers
Answer:
A and C
Explanation:
Credit card companies get their income form the following three main sources
Interest paid by cardholdersFees charged to cardholders' credit cards.transaction charges paid by merchants who accept credit cardsInterests form the bulk of income to the card companies. Typically charge interest arises when customers carry a balance from a month to the next. Fees charged include annual fees, late fees, cash advance fees, balance transaction fees, among others. Merchants usually pay a percentage for every transaction conducted via a credit card. The percentage ranges between 1% to 3 %.
Match the terms in Column I with the descriptions in Column II
Column I
1. Religious values
2. Prudential values
3. Intellectual values
4. Accountability
5. Aesthetic values
6. Integrity
7. Economic values
Column II
A. concerned with one's religious doctrine
B. concerned with beauty and appearance concerned with one's own interests
C. concerned with reasoning
D. concerned with cost, efficiency, and control
E. people with this value behave in a manner that is consistent with ethical beliefsa
F. quality in individuals whereby each knows, understands, considers and accepts
G. the impact and consequences of personal actions and decisions
Answers
Answer:
Where is a picture of the assignment
Explanation:
Required information
[The following information applies to the questions displayed below.]
On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $83,390 in assets to launch the business. On December 31, the company’s records show the following items and amounts.
Cash $ 13,210 Cash withdrawals by owner $ 1,460
Accounts receivable 13,320 Consulting revenue 13,320
Office supplies 2,720 Rent expense 2,950
Land 45,910 Salaries expense 6,290
Office equipment 17,350 Telephone expense 830
Accounts payable 7,970 Miscellaneous expenses 640
Owner investments 83,390
Using the above information prepare a December income statement for the business.
Answers
Based on the information given the December statement of cash flows for Ernst Consulting is $2,610.
Income statement:ERNST CONSULTING Income Statement For Month Ended October 31
REVENUES
Consulting fees earned $13,320
Total revenues $13,320
EXPENSES
Rent expense $2,950
Salaries expense $6,290
Telephone expense $830
Miscellaneous expenses $640
Total expenses $10,710
($2,950+$6,290+$830+$640)
Net income $2,610
($13,320-$10,710)
Inconclusion the December statement of cash flows for Ernst Consulting is $2,610.
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