subject
Business, 27.11.2019 00:31 cdgood12

Julie has just retired. her company’s retirement program has two options as to how retirement benefits can be received. under the first option, julie would receive a lump sum of $157,000 immediately as her full retirement benefit. under the second option, she would receive $20,000 each year for 6 years plus a lump-sum payment of $65,000 at the end of the 6-year period. click here to view exhibit 12b-1 and exhibit 12b-2, to determine the appropriate discount factor(s) using tables.

required:
1-a. calculate the present value for the following assuming that the money can be invested at 12%.
1-b. if she can invest money at 12%, which option would you recommend that she accept

ansver
Answers: 1

Another question on Business

question
Business, 21.06.2019 21:30
What is the eventual effect on real gdp if the government increases its purchases of goods and services by $80,000? assume the marginal propensity to consume (mpc) is 0.75. $ what is the eventual effect on real gdp if the government, instead of changing its spending, increases transfers by $80,000? assume the mpc has not changed. $ an increase in government transfers or taxes, as opposed to an increase in government purchases of goods and services, will result in an identical eventual effect on real gdp. a smaller eventual effect on real gdp. a larger eventual effect on real gdp. no change to real gdp.
Answers: 3
question
Business, 21.06.2019 23:00
James has set the goal of achieving all "a"s during this year of school.which term best describes this goal
Answers: 2
question
Business, 22.06.2019 01:30
If a firm plans to issue new stock, flotation costs (investment bankers' fees) should not be ignored. there are two approaches to use to account for flotation costs. the first approach is to add the sum of flotation costs for the debt, preferred, and common stock and add them to the initial investment cost. because the investment cost is increased, the project's expected return is reduced so it may not meet the firm's hurdle rate for acceptance of the project. the second approach involves adjusting the cost of common equity as follows: . the difference between the flotation-adjusted cost of equity and the cost of equity calculated without the flotation adjustment represents the flotation cost adjustment. quantitative problem: barton industries expects next year's annual dividend, d1, to be $1.90 and it expects dividends to grow at a constant rate g = 4.3%. the firm's current common stock price, p0, is $22.00. if it needs to issue new common stock, the firm will encounter a 6% flotation cost, f. assume that the cost of equity calculated without the flotation adjustment is 12% and the cost of old common equity is 11.5%. what is the flotation cost adjustment that must be added to its cost of retaine
Answers: 1
question
Business, 22.06.2019 11:30
Florence invested in a factory requiring. federally-mandated reductions in carbon emissions. how will this impact florence as the factory's owner? a. her factory will be worth less once the upgrades are complete. b. her factory will likely be bought by the epa. c. florence will have to invest a large amount of capital to update the factory for little financial gain. d. florence will have to invest a large amount of capital to update the factory for a large financial gain.
Answers: 1
You know the right answer?
Julie has just retired. her company’s retirement program has two options as to how retirement benefi...
Questions
question
History, 08.09.2021 19:20
question
History, 08.09.2021 19:20
question
Mathematics, 08.09.2021 19:20
Questions on the website: 13722359