Computing present value of given lottery

Assignment Help Accounting Basics
Reference no: EM1363481

 What is the present value of these payments if the appropriate discount rate is 8%?You just received notice that you have won the $2 million Indiana Lottery. You will receive $100,000 per year for 20 years with your first payment received today.

Reference no: EM1363481

Questions Cloud

Explain sales force management : Show what are the problems involved in this change and what actions should the petroleum firm take to address them? 200 word
Advantages and disadvantages of grassroots computing : Discuss how grassroots computing changes the way software is designed, developed, tested, and maintained in a typical organization. What are the advantages and disadvantages of grassroots computing?
What is the highest height reached by the rocket : What is the highest height reached by the rocket. what is its initial speed as it leaves the ground.
Elucidate the effective rate of protection on the process : We do, however, have free trade in corn, which is fermented and distilled to make ethanol, and accounts for approximately 55% of the cost. Elucidate the effective rate of protection on the process of turning corn into ethanol.
Computing present value of given lottery : You just received notice that you have won the $2 million Indiana Lottery. You will receive $100,000 per year for 20 years with your first payment received today.
Differentiating outputs and lowering costs at the same time : Is it possible for a business to differentiate its outputs and lower its costs simultaneously? Explain. WARNING: Cost is not the same thing as Price; do not use the two terms interchangeably.
Describe three stages only one stage is rational for firm : Be sure to include an analysis of the stages of production and describe why of the three stages, only one stage is rational for the firm.
What force would be needed to pull the same wooden : what force would be needed to pull the same wooden.
Synopsis of martha stewart omnimedia''s history : Contributions towards Martha Stewart Omnimedia's business success - A synopsis of Martha Stewart Omnimedia's history.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Federal joint and several liability rules

Can the state revenue agency collect the outstanding payroll tax from greater under the Federal joint and several liability rules for tax obligation of consolidated return affiliates?

  Accrue monthly sales salaries expense

Metro Express has 5 sales employees, each of whom earns $4,000 per month and is paid on the last working day, of the month. Each employee, wages are subject to FICA social security taxes of 6.2% and Medicare taxes of 1.45% on all wages.

  Computation of segment return

If the manager of the Eastern Division is evaluated on return on investment alone, will the manager invest in the new project? Explain.

  Treasury stock purchase-reissue journal entry

Prepare journal entries (A,B,C) and show proper disclosure (C) to reflect the following treasury stock transactions showing how each is accounted for under the cost method. (show computation)

  Agi and deduction

Alan, who is a security officer, is shot while on the job. As a result, Alan suffers from a leg injury and must spend most of his time in a wheelchair until his recovery. Alan's physician recommends that he install a whirlpool bath in his home for..

  Traditional overhead allocation

List and describe four potential problems with a "traditional" overhead allocation system. List and describe four "red flags" that may indicate you should consider revising your overhead allocation system.

  Disclosure requirements for nonprofit organizations

Explain disclosure requirements for nonprofit organizations, such as the tax-exempt determination letters required by Congress and the IRS. Discuss the reasons for these disclosure requirements and the sentiments of the public and government abou..

  Prepare the bank reconciliation

Prepare the accounting records for Tanya's Tutoring Service (Version A),    Set up the Chart of Accounts,  Prepare the bank reconciliation for January 31, 2013

  Determining the variable overhead efficiency variance

The standard hours allowed for actual output of month totaled 7,070 machine-hours. What was the variable overhead efficiency variance for the month?

  Journalize prouncer march payroll-related liabilities

Prepare the necessary March 31 journal entry to record wages expense and wages payable. Assume that wages earned during March will be paid during April and prepare the entry to record the company's payroll tax expense.

  How cash and working capital will be affected for following

Indicate how each of the following six different transactions that Dynamic Mattress might make would affect (i) cash and (ii) net working capital:

  Build up an income statement in good form

Build up an income statement in good form for Sanford Company for the first three months of 20x3. Provide journal entries for each of the transactions. The numbers in the journal entries can be rounded to the nearest dollar.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd