Stephen bosworth a super salesman contemplating retirement

Assignment Help Accounting Basics
Reference no: EM13451875

Stephen Bosworth, a super salesman contemplating retirement on his fifty-fifth birthday, decides to create a fund on an 8% basis that will enable him to withdraw $25,000 per year on June 30, beginning in 2014 and continuing through 2017. To develop this fund, Stephen intends to make equal contributions on June 30 of each of the years 2010-2013.

Instructions

(a) How much must the balance of the fund equal on June 30, 2013, in order for Stephen Bosworth to satisfy his objective?

(b) What is each of Stephen's contributions to the fund?

Reference no: EM13451875

Questions Cloud

Describe how short-run phillips curve the long-run phillips : explain how the short-run phillips curve the long-run phillips curve the short-run aggregate supply curve the long-run
Describe how the active policy varies from the passive : explain how an active policy differs from a passive policy. how does monetary policy affect aggregate demand in the
Orien inc has the following data rrf 400 rpm 600 and b : obrien inc. has the following data rrf 4.00 rpm 6.00 and b 1.10. what is the firms cost of equity from retained
Mark yoders wishes to become a millionaire his money market : consider the following independent situations.a mark yoders wishes to become a millionaire. his money market fund has a
Stephen bosworth a super salesman contemplating retirement : stephen bosworth a super salesman contemplating retirement on his fifty-fifth birthday decides to create a fund on an 8
Describe why fed can attempt to target either changes in : what is meant by the demand for money? which way does the demand curve for money slope? why? explain why the fed can
As the money manager of boston bank you have 1000000 : 1.as the money manager of boston bank you have 1000000 available for six months. you have the opportunity to lend the
Presented below are three unrelated situations ron stein : presented below are three unrelated situations.a ron stein company recently signed a lease for a new office building
Using the appropriate interest table calculate the present : using the appropriate interest table compute the present values of the following periodic amounts due at the end of the

Reviews

Write a Review

Accounting Basics Questions & Answers

  Shares authorized-issued and outstanding

Orchard Corporation"s capital stock at December 31 consisted of the following: (a) (b) Common stock, $2 par value; 100,000 shares authorized, issued, and outstanding.

  What is the basis of the machine for cost recovery

On June 1 of the current year, Tab converted a machine to rental property. At the time of the conversion, the machine was worth $90,000. Five years ago Tab purchased the machine for $120,000. The machine is still encumbered by a $50,000 mortgage. ..

  Compute cholati''s branch profits tax its branch interest

Cholati is a foreign corporation that produces fine chocolates for sale worldwide.Compute Cholati's branch profi ts tax, and determine its branch interest withholding tax obligations. Assume that Cholati does not reside in a treaty country.

  Problem relate to intermediate markets

Market conditions are such that sales made internally or externally will not affect market or transfer prices. Intermediate markets will always be available for Bayside, Cole, and Diamond to purchase their manufacturing needs or sell their product..

  What would be the expected cost of goods sold

Davis Corporation has a sales budget for next month of $600,000. Cost of goods sold is expected to be 30 percent of sales. All goods are purchased in the month used and paid for in the month following purchase.

  Constant growth dividend discount model

If a stock has a constant growth rate of 6% per year and paid a dividend of $5.00 yesterday, what is the value of the stock if the discount rate is 10%?

  Sales budget and cash receipts schedule

Prepare a sales budget for the first quarter of 2009. Determine the amount of sales revenue Dorough will report on the first of 2009 quarterly pro forma income statement.

  Prepare the journal entries on fashion vixen books

During December 2008, Fashion Vixen Publishing sold 2,500 12-month annual magazine subscriptions at a rate of $30 each. The first issues were mailed in February 2009. Prepare the journal entries on Fashion Vixen's books 1) to record the sale of th..

  Why does a defined benefit plan present far more

Distinguish between a defined benefit plan and a defined contribution plan. Why does a defined benefit plan present far more complex accounting issues than a defined contribution plan?

  The chosen company is apple inc

Compute the following ratios in Excel for two years.

  Considering deferred compensation plans

Maroon Corporation is considering deferred compensation plans for its executive employees over the age of 55. All of the employees use the cash method of accounting.

  Amount of paid-in capital in excess of par

If the bonds are converted into common, what is the amount of paid-in capital in excess of par to be recorded on the conversion of the bonds?

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