A bonus package pays an employee $1000 at the end of the first semi-annual, $1500 at the end of the second semiannual, and so on, for the first nine years of employment. What is the present worth of the bonus package at 6% per year compounded monthly (A) $19,090 (B) s28,233 $47,665 $66,480

A bonus package pays an employee $1000 at the end of the first semi-annual, $1500 at the end of the second semiannual, and so on, for the first nine years of employment. What is the present worth of the bonus package at 6% per year compounded monthly (A) $19,090 (B) s28,233 $47,665 $66,480

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter9: Current Liabilities And Contingent Obligations

Section: Chapter Questions

Problem 15E

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Question

15. With solution please

A bonus package pays an employee $1000 at the end of the first semi-annual, $1500 at the end of the second semiannual,
and so on, for the first nine years of employment. What is the present worth of the bonus package at 6% per year
compounded monthly
A $19,090
B) $28,233
c) $47,665
D $66,480

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