In an investment set up as a perpetual trust

Assignment Help Business Economics
Reference no: EM13818001

In an investment set up as a perpetual trust, the annual disbursement for the first 10 years is $10,000. If the trust is set up initially with $100,000, determine the disbursement that can be made from year 11 through infinity if the interest earned is 8% per year.

$5,682

$5,400

$6,009

$5,850

Reference no: EM13818001

Questions Cloud

Describe the concept of force-field analysis : Describe the concept of force-field analysis and the forces that either drive or restrain the change process. Using the force-field analysis model, discuss a change initiative that you are familiar with.
Day care incentives : A manager of a day-care center in Christchurch, New Zealand has a clearly stated policy that parents are supposed to pick up their children by 4pm (16:00). But often parents are late. Each week, there is an average of eight late pickups. To combat ta..
How these stressors negatively affected your job : Consider any physical or task stressors you have experienced at work or school and discuss the following: How these stressors negatively affected your job or educational performance
What is the equilibrium price for marijuana : In the absence of government interference, there is a constant marginal cost of $5 per ounce for growing marijuana and delivering it to buyers. If the probability that any shipment of marijuana is seized is 0.20 and the fine if a shipper is caught is..
In an investment set up as a perpetual trust : In an investment set up as a perpetual trust, the annual disbursement for the first 10 years is $10,000. If the trust is set up initially with $100,000, determine the disbursement that can be made from year 11 through infinity if the interest earned ..
What is the price of the car if the interest rate : A used car dealer in Las Cruces placed the following advertisement: What is the price of the car if the interest rate is 12% per year compounded monthly? If financing is done at 12% APR, what would be the equivalent uniform monthly payment?
Describe how you might use lessons as a solutions template : Describe how you might use the lessons as a solutions template during future change strategies. Identify and discuss the embedded lesson found in the four change stories.
Financial statements and audit report for the system : Select a public university system and review the financial statements and audit report for the system.
Equivalent uniform annual cost : Don is considering buying a truck at a cost of $30,000. He is planning to keep the truck for four years and is hoping that the truck will sell for $10,000 at the end of year 4. He estimates that the insurance and maintenance costs will be $2,000 in y..

Reviews

Write a Review

Business Economics Questions & Answers

  Two processes are under consideration for a certain product

Two Processes are under consideration for a certain production. Process A needs acquisition of a new machine which is estimated

  What nominal rate per month is equivalent to an effective

What nominal rate per month is equivalent to an effective rate of 3.8% per quarter, compounded continously?

  Illustrate what was your yearly return

After a year you sell those shares at $10.75. The fund declared a dividend of $.40 and paid $1.65 in capital gains. Illustrate what was your yearly return.

  Evalute impact of decrease on equilibrium price

With reference to a carefully drawn graph, provide a detailed analysis of the impact of this decrease on equilibrium price and equilibrium quantity in the market for new cars in the United States.

  Simultaneous enactment of an investment tax credit

Government budget going from deficit to surplus and the simultaneous enactment of an investment tax credit.

  What problem is the economy currently facing

Assume the economy has a GDP of $11,500 billion. The unemployment rate is at 7.3% and has been slowly rising for the last 6 months. Inflation was at 2.3% one year ago but has since dropped to near 0%. The MPC in the economy is .75 and the natural rat..

  New long-run equilibrium values

Illustrate what are the new long-run equilibrium values of these three variables.

  Identify opportunity cost of increase divestment

Identify opportunity cost of increase divestment. What will happen to future production possibilities if investment increases.

  Qyou are given the following information about an economy c

q.you are given the following information about an economy c 0.80di i 200 g 500 x-im -30 t 14y.1. find equilibrium

  What are advantages and disadvantages of owning a franchise

What are the advantages of buying a business rather than starting one from scratch? What are the advantages and disadvantages of owning a franchise?

  Specializing completely in the area

Suppose that they are thinking of every specializing completely in the area in which they have a comparative advantage also then trading.

  Some of the market structures we have seen are not realistic

Can you name some well known firms that we have heard about recently going out of business? What names come to mind? Some of the market structures we have seen are not realistic and some are realistic can you tell me more about it. How is that ? Why ..

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