Calculating rate of sales increase


Question 1. A corporation's 1995 sales were $ 10,794,625. Sales were $5 million 10 years earlier. To the nearest percentage point, at what rate have sales been growing?

Question 2. If you buy a factory for $100,000 and the terms are 10% down, the balance of $90,000 to be paid off over 8 years at a 8% rate of interest on the unpaid balance, what are the 8 equal annual payments?

Question 3. As a winner of a lottery you are going to receive $10,000 every year forever, starting one year from today. If the appropriate discount rate is 8%, what is the present value of the award cash flows?

Question 4. You deposit $100 in a savings account that pays 10% interest compounded annually. How much would you have in your account at the end of 7 years?

Solution Preview :

Prepared by a verified Expert
Accounting Basics: Calculating rate of sales increase
Reference No:- TGS01894340

Now Priced at $25 (50% Discount)

Recommended (98%)

Rated (4.3/5)