Spouse A Spouse B Market wages 80,000/year 20,000/year Home production 12,000/year 40,000/year Expenses (net of added 50,000/year 50,000/year income) Debt/funeral costs 220,000 220,000 This household has two children and wants to have them financially provided for over the next 25 years in the case of premature death of either spouse. How much life insurance should the household purchase for Spouse A if doing the income approach using a 3% rate? Please select the number closest to your answer
Q: Required: Compute the inventory turnover in Year 2. Write answer in whole figure only. 10. Using…
A: Ratio analysis means where different ratio of various years of years companies has been compared and…
Q: On February 3, Smart Company sold merchandise in the amount of $1,800 to Kennedy Company, with…
A: Under Gross Method, Sales are recorded at their Gross Value. If the buyer makes payment within…
Q: Support your answer using at least two concrete examples.
A: Today we live in a smart world. The banking sector is also becoming smart. Earlier people use to go…
Q: There are two projects under consideration by the Rainbow factory. Each of the projects will require…
A: Net present value refers to the difference between present value of cash inflows and the present…
Q: The federal funds rate set by the Fed is 4%, and inflation is 3%. The real interest rate that people…
A: As per IS-MP model, a MP curves has a positive relationship with the real interest rate and is also…
Q: In November 2019, Manly Ltd, a manufacturer of heating systems, was taken to court by one of its…
A: Manly has prohibited multiple businesses from stocking items from other firms or brands, and the…
Q: enefit from accounting information. 2. Accounting plays an important role by providing answers to…
A: The accounting users involve the external as well as internal user in order to make difference in…
Q: Statement 1: Bank service charge is a book reconciling item and will never affect the bank proof of…
A: The bank reconciliation statement is prepared to equate the balances of cash book and pass book with…
Q: A firm buys merchandise at P20 per unit and sells them at P30 per unit Foxed costs are at P15,000.…
A: Answer:- 5 New break-even point is 1,154 units. Explanation:- Computation of break-even point:-…
Q: a. All future prices and future dividends are expected values OTrue OFalse
A: Since you have posted multiple questions, we shall be solving the first one for you. In case you…
Q: RDJ Berhad believe O a. that it has
A: Preference shares are generally referred to as Preferred stocks. They are used for long-term…
Q: uming that the compan
A: As per protocol, allowed to answer first question and post the remaining in the next submission.
Q: In 2015, The Platinum Company issued $700,000 8% bonds with 700 nondetachable warrants for $765,000…
A: When the issuer of the bonds gives the holders of the bonds a right to purchase a specified number…
Q: 6 Which of the following will increase the cash conversion cycle? say3 an increase in inventory…
A: As per Bartleby norms, in case of a question with multiple sub parts been asked, only first three…
Q: On January 2, Bering Company disposes of a machine costing $57,600 with accumulated depreciation of…
A: A journal entry is often recorded in the main ledger; however, it may also be entered in a…
Q: At December 31, 2015 and 2016, Plank Corp. had outstanding 2,000 shares of $100 par value 8%…
A: The dividend is paid to shareholders from the retained earnings of the business. The preference…
Q: Arjan provides a cheque to Mohammad on 1 Oct 2020. the check is dated 1 Dec 2020, and in the amount…
A: Here discuss about the impact of the cheque transaction which are involved with Arjan, Mohammed and…
Q: Here are comparative financial statement data for Bramble Company and Debra Company, two…
A: Answer 1) Bramble Company Return on Assets Return on Assets = Net Income/ Average Total Assets…
Q: On July 15, 2021, the Nixon Car Company purchased 1,700 tires from the Harwell Company for $50 each.…
A: Under perpetual inventory method inventory is updated as soon as sales takes place.
Q: Find the maturity value if P25,000 is invested from October 15, 2016 to December 15, 2017 at a…
A: Under Simple Interest Method, Interest is paid only on the invested amount and calculated by…
Q: 1. Prepare the necessary journal entries to correct the accounting records of Madison Company’s…
A: Introduction: A retained earnings statement is a financial statement that displays how a company's…
Q: For the year just completed, Hanna Company had net income of $65,500. Balances in the company's…
A: Cash flow statement provided information about the cash inflows and cash outflows of the company.…
Q: udit reports of banks.
A: Today, a lot of risks are associated with the banking sector. The banking sector is trying to reduce…
Q: Which of the following is not considered part of M2? a. money market mutual fund shares b. large…
A: Ans. M2 consists of M1 + savings deposits+ money market securities + other time deposits.
Q: Which one of the following would appear on IBM’s statement of financial position
A: In accounting statement of financial position is also known as balance sheet. In a statement of…
Q: 9. Browny sells to retail appliance stores on credit terms of net 30. Annual credit sales is…
A: Introduction: Accounts receivable is a business term that refers to the account that a company uses…
Q: Karie Auto Supplies is a soletrader enterprise which did not maintain full double entry records. The…
A: The question is related to the calculation of capital as on January 1st and December 31st, 2020 and…
Q: Cost of Gross Operating Expenses Net Sales Net Profit ($) Goods Sold Margin ($) $336,500 $132,200 24…
A: Introduction: Deduction of operating expenses from from Gross margin value derives the Net profit.…
Q: Sandpiper Company has 20,000 shares of cumulative preferred 3% stock, $50 par and 50,000 shares of…
A: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value per share…
Q: It value of in two years, at 12% compounded annualy, is (rounded to nearest dollar). Use the…
A: Present Value The value in the present of a sum of money, in contrast to some future value it will…
Q: CLOSING ENTRIES ANF POST CLOSING TRIAL BALANCE THANKS Mr. Lopez opened a mini grocery store with…
A: In this question, we are provided with the information of Mr. Lopez who opened a mini grocery store…
Q: An incomplete cost of goods manufactured schedule is presented here. Complete the cost of goods…
A: The cost of goods manufactured schedule is a schedule that shows the breakup of the total cost of…
Q: How do you figure out the balance of control and substantive testing? How does this link into…
A: Substantive testing can be defined as the process of auditing financial statements and obtaining…
Q: The following lots of Commodity Z were avcilable for sale during the year. Beginning inventory 10…
A: FIFO (First-in First Out): Under FIFO inventory accounting, units purchased are sold first. As the…
Q: Goddard Company has used the FIFO method of inventory valuation since it began operations in 2018.…
A: Lets understand the basics. When there is change in closing stock valuation policy from onw method…
Q: What are the best two measures for the profitability of firms that are not publicly traded?
A: Profitability, rate of return, as well as the pre-tax income are all metrics that would be used to…
Q: prid are accountants.
A: Forensic Accountants are Authorized individuals or bodies who investigates financial fraud or…
Q: 1. A sole trader had opening capital of £10,000 and closing capital of £4,500. During the year the…
A: The ending capital is calculated after making adjustments to beginning capital for income or losses,…
Q: The following schedule of NY company’s outstanding liabilities as of December 31, 2016 provided as…
A: Liabilities refer to those duties which are to be honored by a business entity in the upcoming…
Q: Explain what is meant by cash management and the cash conversion cycle and calculate the effective…
A: One of the most critical parts of management is cash. Cash management is critical because if cash is…
Q: Acquired Cost Manufacturing equipment (7 year) June 2 $50,000 Office furniture September 15 8,000…
A: The solution is based on the MACRS general depreciation system (GDS), and all assets are non-farm…
Q: Mr. and Mrs. Revel had $206,200 AGI before considering capital gains and losses. Required: a. On May…
A: Note: “As the question has more than 3 sub-parts, the first 3 subparts are answered. If you want the…
Q: of equipm S = 120,00 ies is estin ve AW
A: Given first cost of $165,000, market (salvage) value described S = 120,000 – 23,000k, AOC = 60,000 +…
Q: Toronto Corporation wants to raise $1,210,000 via a rights offering. The company currently has…
A: a) Right shares offered : 1: 5 Therefore: Total shares : 220,000* 1/5 = 44,000 rights shares Ex…
Q: Question 10 If the estate's value is less than the basic exclusion amount, there is no need to file…
A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: A state corp, all of whose business os done within the city, showed the following for 2018: Entire…
A: Introduction Corporate income tax depends most common federal taxable income generally ranging from…
Q: Find the current yield (as a %) of a bond whose coupon rate is listed as 4.875 and currently selling…
A: Current Yield = Annual Coupon/ Current price of Bond Current Yield = $ 4.875/ $ 104.875 Current…
Q: 50. A company discovered a P20,000 overstatement of its 2023 ending inventory after the financial…
A: Cost of goods sold = Beginning inventory + Purchases - Ending inventory If ending inventory is…
Q: quipment costing P600,000 to Ace Company for P800,000. The equipment has a remaining life of five…
A: Thus Ace company is an associate and not a subsidiary company as the shares held are only 25%. An…
Q: On January 1, 2022 Romano Company purchased a machine for $180,000. It is estimated that the machine…
A: The declining balance method is a method of depreciation that calculates depreciation on a reduced…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- You earn $17.50/hr and work 40 hr/wk. Your deductions are FICA (7.65%), federal tax withholding (12.3%), and state tax withholding (6.2%). Your housing and fixed expenses are 30% of your realized income per month. You want to save 5 months' worth in an emergency fund within a year. How much do you need to save per month to fund the emergency fund, and how much discretionary money remains per month?1. The home improvement center (HIC) has an employment contract with the newly hired CEO. The contract requires a lump-sum payment of 32.4 million dollars to be paid to the CEP upon the successful completion of her first five years of service. HIC, wants to set aside an equal amount of money at the end of each year to cover this anticipated cash outflow and will earn 7,25% on the funds. How much must HIC is set aside each year for this purpose? a) 7 270 433 b)5 227 064 c)5 668 987 d) 5 606 026 e) 6 778 958Brief Exercises BE6.7 (LO2) Jose Garcia's lifelong dream is to own a fishing boat to use in hisretirement. Jose has recently come into an inheritance of $400,000. He estimatesthat the boat he wants will cost $300,000 when he retires in 5 years. How much ofhis inheritance must he invest at an annual rate of 8% compounded annually) tobuy the boat at retirement? BE6.8 (LO2) Refer to the data in BE6.7. Assuming quarterly compounding of amountsinvested at 8%, how much of Jose Garcia's inheritance must be invested to haveenough at retirement to buy the boat?
- 8Miller's Hardware plans on saving $40,000, $50,000, and $58,000 at the end of each year for the next three years, respectively. How much will the firm have saved at the end of the three years if it can earn 6% by reinvesting its saving? a. $155,944.00 b. $169,004.13 c. $148,000.00 d. $148,078.15Multiple Choice MC.23-43 Maxine has $1,000 to invest today. How much will her money be worth in 15 years if she earns 9% compounded semiannually on her money? *$3,642 *$13,268 *$3,745 *$1,93510. Dale wants to invest money in a 6% CD account that compounds semiannually. Dale would like the account to have a balance of $50,000 five years from now. How much must Dale deposit to accomplish her goal? Choose closest answer. A) $35,069. B) $43,131. C) $37,205. D) $35,000. PV 10pds 3% .7441 ,PV 10pds 6% .86262, PV 5 pds 6%, 7018 PV 5 pds 3% .7000
- CH9HW i Help Save & Exit Submit a. A friend of yours, Grace, wants to purchase a house in five years. To save for the house, Grace decides to deposit $140,000 in a savings account on January 1 of this year. The savings account will earn 8 percent annually. Any interest earned will be added to the fund at year-end (rather than withdrawn). b. At the end of each year, a different friend, Claire, plans to deposit $10,400 in a savings account. The account will earn 11 percent annual interest, which will be added to the fund balance at year-end. Claire will make her first deposit at the end of this year. (FV of $1, PV of $1, FVA ofQ21 Consider that you are 45 years old and have just changed to a new job. You have $145,000 in the retirement plan from your former employer. You can roll that money into the retirement plan of the new employer. You will also contribute $6,700 each year into your new employer’s plan. If the rolled-over money and the new contributions both earn a return of 9 percent, how much should you expect to have when you retire in 20 years? (Do not round intermediate calculations and round your final answer to 2 decimal places.) FUTURE VALUE?Q5 Consider that you are 35 years old and have just changed to a new job. You have $86,000 in the retirement plan from your former employer. You can roll that money into the retirement plan of the new employer. You will also contribute $4,200 each year into your new employer’s plan.If the rolled-over money and the new contributions both earn a 7 percent return, how much should you expect to have when you retire in 30 years? (Do not round intermediate calculations and round your final answer to 2 decimal places.) FUTURE VALUE?
- 11 Bill wants to give Maria a $600,000 gift in two years. If money is worth 10% compounded semiannually, what is Maria's gift worth today? Note: Use tables, Excel, or a financial calculator. Round your final answer to the nearest whole dollar. (FV of $1, PV of $1, FVA of $1, and PVA of $1).xiii. Terry Austin is 30 years old and is saving for her retirement. She is planning on making 36 contributions to her retirement account at the beginning of each of the next 36 years. The first contribution will be made today (t = 0) and the final contribution will be made 35 years from today (t = 35). The retirement account will earn a return of 10 percent a year. If each contribution she makes is $3,000, how much will be in the retirement account 35 years from now (t = 35)? a. $894,380b. $813,073c. $897,380Question content area top Part 1 (Saving for retirement—future value of an annuity) Selma and Patty Bouvier are twins and both work at the Springfield DMV. Selma and Patty Bouvier decide to save for retirement, which is 35 years away. They'll both receive an annual return of 8 percent on their investment over the next 35 years. Selma invests $1,700 per year at the end of each year only for the first 10 years of the 35-year period—for a total of $17,000 saved. Patty doesn't start saving for 10 years and then saves $1,700 per year at the end of each year for the remaining 25 years—for a total of $42,500 saved. How much will each of them have when they retire? Question content area bottom Part 1 a. How much will Selma have when she retires? $enter your response here (Round to the nearest cent.) Part 2 b. How much will Patty have when she retires? $enter your response here (Round to the nearest cent.)