College investment calculations-present value of money
Question: Assume the total expense for your current year in college equals $20,000. Approximately how much would your parents have needed to invest 21 years ago in an account paying 8% compounded annually to cover this amount?
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a. What was the original issue price? b. What is the current value of this preferred stock?
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Approximately how much would your parents have needed to invest 21 years ago in an account paying 8% compounded annually to cover this amount?
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She has decided she needs to increase profit, so she is considering raising her fee to $125, even though there may be a 10 percent loss in the number of exams.
Instructions: Prepare necessary adjusting entries at Dec 31st to record amortization required by the events above.
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