Answer:8.21%
Explanation:
math
The profit margin is 8.21%.
Calculating,
Profit margin = [tex]\frac{net income}{sales}[/tex]
= [tex]\frac{23,000}{280,000}[/tex]
= 8.21%
Profitability is gauged by profit margin. Finding the profit as a percentage of revenue is used to calculate it. Gross profit margin, operating profit margin, and net profit margin are the three different types of profit margins. Gross profit is multiplied by net sales to determine gross profit margin. You can determine how much profit your company has made for each dollar of sales by looking at the profit margin or percentage. Simply put, the profit margin is significant because it indicates how much of each dollar of revenue goes to the company's bottom line. Profit margin, which is expressed as a percentage of profit, is the amount of money a business makes for every dollar of sales. A company's profit margin increases if it generates more revenue for each sale.
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Companies, called ____ take an item and create an online auction for that item, handle the transaction, and remit the balance of the proceeds after deducting a fee.
Companies, called Auction Consignment Services take an item and create an online auction for that item, handle the transaction, and remit the balance of the proceeds after deducting a fee.
Consignment is an agreement in which goods are left to an authorized third party to sell. Goods sold in this way are said to be "consigned" to a third party for sale. Items sold on consignment are usually sold by consignment stores, which receive a percentage of the sales revenue in the form of a commission.
Consignment transactions are made on a wide variety of products, such as artwork, clothing and accessories, and books. Some types of retailing can be thought of as a specific form of consignment where producers rely on retail stores to sell their products to consumers, although thrift stores and Savings goods are often associated with consignment activities.
Consignment agreements, however, will not cover retailers such as Walmart or most supermarkets, who purchase goods directly from wholesalers and then sell their items at prices higher.
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A __________ decision is one in which companies have to decide whether they should manufacture a product or outsource production to another firm.
A make-versus-buy decision is one in which companies have to decide whether they should manufacture a product or outsource production to another firm.
Manufacture is the manner of turning raw materials or components into completed items via the usage of equipment, human exertions, equipment, and chemical processing. manufacturing is integral to the economy. maximum merchandise had been homemade the usage of human exertions and basic tools before the commercial Revolution.
Manufacturing of products in big portions after processing from uncooked substances to more treasured merchandise is referred to as manufacturing. instance: Paper is a product of wood, sugar from sugarcane, iron, metal from iron ore, and aluminum from bauxite. number one goods are manufactured and become completed goods.
Production industries do not best help in modernizing agriculture, in addition, they reduce the heavy dependence of people on agricultural earnings with the aid of offering them jobs in secondary and tertiary sectors. industrial development is a precondition for the eradication of unemployment and poverty from ours.
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Apple developed itunes as a complement to drive ipod sales. which aspect of differentiation strategy does this move represent?
Apple developed iTunes as a complement to drive sales of the iPod. Aspects of differentiation strategy represented by this movement as a value driver.
Differentiation strategy is an effort or action taken by the company to create a meaningful difference in the product, service or service so that it is able to generate customer value and create a distinctive and meaningful perception. Through differentiation, companies can provide a more unique difference than competitors, so that with that difference consumers have a higher value. Differentiation is a strategy that can maintain customer loyalty whereby using a differentiation strategy, customers get more value compared to other products.
Terms of Differentiation
Creating excellent value. A differentiation must be able to create excellent value to customers so that these differences have meaning in the eyes of customers.Competitive advantage. Company differentiation must be an advantage over competitors. A differentiation will be solid if it reflects differences with competitors and these differences reflect the advantages of the company's offerings.Has uniqueness. In order for differentiation to be strong and sustainable, it must have uniqueness so that it is not easy to be imitated by competitors. In order not to be easily imitated, differentiation must be composed of a set of interrelated activity systems where these activities support each other constructively.You can learn more about Differentiation strategy here brainly.com/question/28289666
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Can anyone help me develop a good business name for a graphic design company?
So far I have Jeon Graphic Design Co. And that's too basic. The family's last name is Jeon, which is why it is there. Please help.
Answer:
That is a pretty business name right there, sometimes LESS is MORE.Graphic design business names you may like:Jeon graphic design.co
Jeonify graphics.co
Jeon side graphic studio.co
Jeon Joen graphics.co (it's too good you have to pronounce it twice)
Jeon and me graphic studio.co
Jeon studio graphics.co
Jeon graphic studios.co
Jeon graphic lens.co
The real jeon graphic design.co
and so on....ORYou can use a name generator 0nline to great a name you might like and maybe touch it up with your own words (just a suggestion).Don't forget to relax and be creative and have fun finding the perfect name for that lovely family business.Hope this helps atleast
Good luck ✅
B. biosante has gross deferred tax assets of $28,946,363. however, the net deferred tax assets balance is zero. explain.
On a company's balance sheet, a deferred tax asset is something that lowers future taxable income.
When a company overpays its taxes, a line item asset of this nature may be discovered. Eventually, the business will receive this money back in the form of tax savings. As a result, the corporation gains value from the overpayment. A deferred tax liability, which denotes an expected rise in the amount of income tax that a company must pay, is the opposite of a deferred tax asset. When taxes are paid or carried forward but cannot yet be reported on the company's income statement, a deferred tax asset is frequently established.
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Find+the+after-tax+return+to+a+corporation+that+buys+a+share+of+preferred+stock+at+$50,+sells+it+at+year-end+at+$50,+and+receives+a+$4+year-end+dividend.+the+firm+is+in+the+30%+tax+bracket.
The total before-tax income is $4. After the 70% exclusion for preferred stock dividends, the taxable income is: 0.30 X $4 = $1.20
Therefore, taxes are: 0.30 X $1.20 = $0.36
After-tax income is: $4.00 - $0.36 = $3.64
Rate of return is: $3.64/$40.00 = 9.10%
What is a Tax Return?A tax return is one or more forms submitted to a taxing body that include earnings, outlays, and other crucial tax data.
Tax returns give taxpayers the option to determine their tax liability, plan out their tax payments, or ask for refunds for any taxes they have paid in excess of what is required.
For an individual or business having reportable income, such as wages, interest, dividends, capital gains, or other earnings, tax returns must typically be filed annually.
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The quantity of products that manufacturers or owners are willing to sell at different prices at a specific time is called:_________
The quantity of goods that producers or owners are prepared to sell at various prices at a particular moment is referred to as Demand.
The quantity of goods that producers or owners are prepared to sell at various prices at a particular moment is referred to as Demand.
Demand in economics refers to a consumer's desire to buy products and services as well as their readiness to pay a given price for them. The quantity demanded of an item or service typically decreases as its price rises. The amount demanded will rise in response to a decrease in the cost of a commodity or service.
Because it makes sense and organically happens throughout nearly any day, demand is a concept that both consumers and businesses are highly familiar with. For instance, customers who are keeping an eye on certain items may purchase more of them when the prices are low. Shoppers purchase fewer items or sometimes none at all when anything occurs that increases the Demand of price, such as a change in season.
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If a country devotes more resources toward the production of capital goods and less toward consumer goods then?
A nation will experience higher economic growth if it allocates more resources to the production of capital goods and less to that of consumer products.
Why Does the Economy Grow?
Increases in the production of economic goods and services from one time period to the next are referred to as economic growth. It can be calculated in real (inflation-adjusted) or nominal terms. Alternative measures are occasionally employed, but traditionally, gross national product (GNP) or gross domestic product (GDP) are used to measure overall economic growth.
Economic growth can be defined as a rise in the total output of an economy. A rise in average marginal productivity is frequently, but not always, correlated with overall production increases. This raises incomes, encourages consumers to spend more money on goods, and results in an improvement in the standard of living in terms of material goods.
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Will exhaustive testing (even if it is possible for very small programs) guarantee that the program is 100 percent correct?
Exhaustive testing is the practice of testing for every possible issue in order to ensure that the product cannot be ruined or crashed by an unforeseen circumstance. It considers all conceivable input concatenations, usage scenarios, as well as arbitrary events and inputs.
It is impossible to conduct exhaustive or comprehensive testing. Due to the following factors, it is almost difficult for the majority of systems: A system cannot be tested using all of the domain of potential inputs for a program. It is frequently asserted that thorough testing of software is comparable to a proof of correctness. Although I've stated it before, this approach seems intuitively appealing but is flawed both technically and practically.
When all of your team's testers are worn out and all the planned tests have been run, this is known as exhaustive testing, also referred to as comprehensive testing.
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If your bank charges an out-of-network service fee of $3.00, and you withdraw $20 from each of three out-of-network atms, how much money in total will be removed from your account? a. $60 b. $63 c. $69 d. $120 please select the best answer from the choices provided a b c d
The total money removed from your account will be $69. Hence, option c. is the correct answer
Bank charges on an out-of-network atm = $3.00
Amount withdrew each time = $20
No. of times amount is withdrawn from out-of-network ATMs = 3 times
Therefore, total service charges paid for 3 withdrawals = 3*3 = $9
Total amount withdrawn for 3 withdrawals = 3*20 = $60
So, the total amount removed from the account will be sum total of the 3 withdrawal amounts and the service charge on the 3 withdrawals made = 60 + 9 = $69
Therefore, the total amount removed from the bank will be $69. Hence option c. will be the correct answer for the given question
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A specific ability that distinguishes a business from its competitors, giving it an advantage in its market, is known as what?
When a company has a specific ability that distinguishes a business from its competitors, giving it an advantage in its market, this is known as a Core competency.
What is a core competency?This refers to a company's special ability that allows it to be distinguished from other businesses in the industry and therefore gives it an advantage over competitors.
It is from the core competency that a company has that will allow it to come up with a competitive advantage.
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When an individual transfers property to another taxpayer during their life, without receiving or expecting to receive value in return, the property transferred is a(n):_______
When an individual transfers property to another taxpayer during their life, without receiving or expecting to receive value in return, the property transferred is a(n) gift.
Gift:
A gift or a present is something offered to someone without expecting anything in return. It is not a gift if the person receiving it already owns the thing. Although reciprocity may be expected in gift-giving, a present is intended to be gratuitous.
What is Taxpayer?
A taxpayer is a person or entity who is required to pay taxes. Modern taxpayers may have an identification number, which is a reference number issued by the government to individuals or businesses. The phrase "taxpayer" often refers to someone who pays taxes. A taxpayer is an individual or company who is required to pay municipal or government taxes agencies.
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Penny buys 3 bouquets of flowers for $3 each and 4 bouquets for $2 each. which expression gives the total cost of the bouquets that penny buys? a. 33 42 b. 33 24 c. 33 4 × 2 d. 32 4 × 2
The correct answer is 3³+ 4×2
Lets, calculate the total cost of the boquets of flowers that penny buys,
Penny buys 3 boquets of flowers, for 3$ each so, the total cost is given by,
3×3 = 33$
Penny buys 4boquets of 2$ each.
So, the total cost of the boquets of the flowers that worth 2$ each is given by,
(4×2 )
So, the total costs of the boquets of flowers that penny buys is given by,
3³+42.
Total cost is defined as the total expense by the individual or a company added to the variable costs occur. Total cost help the businesses to calculate their profits and loss and maintain their sales data.
The terms fixed costs, total fixed costs, and variable costs have a similar sound, there are important distinctions among the three. The primary difference is that whereas variable costs and total fixed costs are heavily over dependent on the quantity of goods or services a company produces, fixed costs do not take that quantity into account.
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If the product was incompletely dried, what effect would this have on the percent yield?
If the sample crude product is incompletely dried it will contain impurities such as water, the water of crystallization hydrates, and unreacted reagents. If the crude product is incompletely dried the bulk of the experimental yield will be higher.
It contains more undesirable compounds than impurities and is a must-have. Therefore, if the experimental yield value is higher than the actual mass, the yield rate will be higher. From this, we can conclude that incomplete drying of the product increases the percent yield value.
Usually, the yield rate is understandably less than a hundred percent for the reasons mentioned above. However, if the measured reaction product contains impurities, it can have a higher mass than if the product were pure.
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Carter's preferred stock pays a dividend of $1.00 per quarter. if the price of the stock is $70.00, what is its nominal (not effective) annual rate of return?
Carter's preferred stock pays a dividend of $1.00 per quarter. if the price of the stock is $70.00, what is its nominal (not effective) annual rate of return is 8.89%.
Pref quarterly dividend = $1, Annual dividend = quarterly dividend x 4 = $4, Preferred stock price = $45, Nom. reg. return = annual dividend / price = 8.89%.
The marginal investor determines the price at which a new issue of stock will trade when it is brought to market. Lucas Laboratories' last dividend was $1.50.
Preferred stocks are usually less risky than common dividend stocks, and carry higher yields, but lack the chance for price appreciation because the issuing company grows. They also go without voting rights. Preferred stocks do provide more stability and fewer risk than common stocks, though.
While not guaranteed, their dividend payments are prioritized over common shares dividends and will even be return paid if a corporation can't afford them at any point in time. Disadvantages of preference shares include limited upside potential, charge per unit sensitivity, lack of dividend growth, dividend income risk, principal risk and lack of voting rights for shareholders.
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In which one of the following environments do managers in an organization have the greatest influence on organizational outcomes?
stable and simple environments managers in an organization have the greatest influence on organizational outcomes.
What is managers?
Remembering that your team is made up of people who work to achieve both their individual goals and the team's goals is part of what makes a good manager. Meeting with each team member to identify strengths and discuss how to address deficiencies is a top priority for good managers.
Therefore,
stable and simple environments managers in an organization have the greatest influence on organizational outcomes.
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Pet food plus company expects to sell beefy dog treats in january and in february for each. what will be the total sales revenue reflected in the sales budget for those months?
The total sales revenue reflected in the sales budget for those months are, January $15,000; February $27,000
What is sales revenue?Net sales, as used in bookkeeping, accounting, and financial accounting, refer to operating revenues received by a business from the sale of its goods or provision of its services. They are directly recorded as Sales or Net sales on the income statement and are also referred to as revenue. The number of goods or services sold multiplied by the cost per unit is used to determine sales income.
Units Sold x Sales Price equals Sales Revenue.
A sales budget is a financial strategy that projects the entire income of a business over a given time frame. To forecast the performance of the company, it relies on two factors: the volume of products sold and the price at which they are sold. Achieving the goals of the sales department is the goal of the budget for sales.
Hence, the total sales revenue reflected in the sales budget for those months are, January $15,000; February $27,000.
The complete question is,
Loyal Pet Company expects to sell 5,000 beefy dog treats in January and 9,000 in February for $3 each. What will be the total sales revenue reflected in the sales budget for those months?
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_____ management planning involves the creation of a plan to guide the actions of an entire company.
strategic management planning involves the creation of a plan to guide the actions of an entire company.
What is strategic management?
Setting policies, procedures, and goals in order to increase a company's or organization's competitiveness is the process of strategic management. Strategic management typically focuses on efficiently allocating personnel and assets to accomplish these objectives.
Therefore,
strategic management planning involves the creation of a plan to guide the actions of an entire company.
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What information must be supplied when utilizing a method that requires additional information in order to operate?
Argument: When using a method that needs further information to function, information must be provided.
What is counter argument?
A counter argument is an objection to an objection in reasoning and argument mapping. An argument against a premise, a key assertion, or a lemma can be answered with a counterargument. Rebuttal, reply, counterstatement, counter reason, comeback, and answer are all possible synonyms for counterargument. Making a counterargument or locating a counterexample are two ways to try to refute a claim.Speaking of counterarguments does not imply that a particular subject has only two sides or that there is only one kind of counterargument. There are frequently numerous counterarguments for a given argument, some of which are incompatible with one another.A counterargument might aim to challenge the veracity of one or more of the first argument's premises, to demonstrate that the contention of the first argument does not follow legitimately from its premises, or it might pay little attention to the premises and common structure of the first argument and merely aim to show that the truth of a conclusion is inconsistent with that of the first argument.To learn more about counter argument visithttps://brainly.com/question/12348362
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The first mall in mumbai, india was successful. Builders proceeded to construct three more right away. However, they have more than 50% vacancies because they lack customers. The builders failed to properly account for which challenge of operating in developing countries?.
Development fails to properly explain which of the challenges operating in developing countries is the lack of wealth of potential consumers.
Industry is the business of processing raw goods, semi-finished goods into goods that have added value. The purpose of industrial activity is to make a profit for the producer. Finished goods are industrial goods that are ready to be used as a means of production.
There are three types of industries as follows:
Extractive IndustryNon-extractive IndustryNon-extractive IndustryThe industrial development objectives are as follows:Utilizing natural resources, or the results of cultivation owned by a country.
Improving people's welfareIncrease the country's economic growth for the better.Encourage the development of existing technology.Increase the role of the community in industrial development.Open and expand job opportunitiesIncrease foreign exchange through exportsYou can learn more about Industry here brainly.com/question/7721379
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On june 1, 2022, spk company signed a $100,000, one-year, 6 percent note payable. Interest and principal are due at maturity. What amount will spk record for interest expense in their december 31, 2022 adjusting entries?.
$3500 sum will spk record for interest expense in their december 31, 2022
Interest = $ 6000 for 12 months.
From June to December there will be 7 months due,
therefore 7/12x6000 = $ 3500
An interest expense is the fetched brought about by an substance for borrowed reserves. Intrigued cost may be a non-operating cost appeared on the salary explanation. It speaks to intrigued payable on any borrowings—bonds, credits, convertible obligation or lines of credit. It is basically calculated as the intrigued rate times the exceptional foremost sum of the obligation. Interest expense on the income statement represents interest accrued during the period covered by the financial statements, and not the amount of interest paid over that period. While interest expense is tax-deductible for companies, in an individual's case, it depends on their jurisdiction and also on the loan's purpose.
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Ou buy a car for $38,000. you agree to a 60-month loan with a monthly interest rate of 0.55 percent. what is your required monthly payment?
You buy a car for $38,000 and you agree to a 60-month loan with a monthly interest rate of 0.55 percent. The required monthly payment is $745.36.
Given:
Present Value = PV = $38,000,
Interest rate = r = 0.55% = 0.0055
and time period = n = 60
Using the formula, The monthly loan payment is :-
P = [tex]\frac{PV * r}{1+[(1+r)^{-n}] }[/tex]
Where P = Loan Payment
Now, substituting the values in the above formula we get,
P = [tex]\frac{38000* 0.0055}{1+[(1+0.0055)^{-60}] }[/tex]
P = $745.36
Hence, if You buy a car for $38,000 and you agree to a 60-month loan with a monthly interest rate of 0.55 percent. The required monthly payment is $745.36.
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When recording an adjustment for the use of equipment during the current accounting period, which two accounts are affected?
Accounts which are affected while recording an adjustments for the use of equipment during the current accounting period are Depreciation expense and accumulated depreciation.
Depreciation expense is the amount lost from a company's assets over a specific time period (such as a quarter or a year), whereas accumulated depreciation is the total loss up to that point.
What is Depreciation expense and accumulated depreciation?
Depreciation is a type of accounting item that shows how much an asset costs less over the course of its useful life.The cost of an asset that has been depreciated for a particular period, or period, is known as depreciation expense, and it indicates how much of the asset's worth was used up in that year.The total amount of depreciation expense that has been assigned for an asset since it was first used is known as accumulated depreciation.Depreciation expense is recorded as a non-cash expense on the income statement, which lowers the company's net profits.The balance sheet's counter asset account records accumulated depreciation, which lowers the reported gross value of fixed assets.To learn more about Depreciation expense and accumulated depreciation visit:https://brainly.com/question/17317273
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Math for Accounting
Suppose that you are opening a 1,000-square foot baseball card store in a shopping center. You have signed a lease that requires you to pay a monthly rent of $1.75 per square foot, plus 5 percent of your gross annual sales. What is the total amount of rent you will pay in one year if you have sales of $85,000?
Answer:
25,250.00
Explanation:
1.75 x 1000 = 1750.00/month x 12 months = 21,000/year
Then add the 5% of 85,000 sales which is 4250.00
Total 25,250.00
If your sales reach $85,000, your total annual rent payment will be $25,250.
The annual rent is the amount of rent that the tenant must pay the landlord for each year of the term (or any subsequent terms), starting with the initial rent.
I. Computation of annual rent payable:
[tex]\text{Monthly payment of rent per square} = 1.75 \text{ x } 1,000 \\\=1750\\\text{Annual Payment per year per square foot} = 1750 \text{ x }12\\=21,000[/tex]
II. Now, need to add the 5% of gross annual sales from $85,000
[tex]= 85,000 \text{ x } 0.05\\=4,250\\[/tex]
Gross sales is a measure of a company's overall sales that is not cost-adjusted for those sales' production. The sum of all sale invoices or associated revenue transactions is used to determine the gross sales calculation.
III. Therefore, if we add (I) and (II), we will arrive Annual rent payable
[tex]=21,000 + 4,250\\=25,250[/tex]
Therefore, the annual rent payable is $25,250.
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Research conducted in an actual organization and with real employees is:_______
a. a field study.
b. a survey.
c. a lab study.
d. a meta-analytic study.
Research conducted in an actual organization and with real employees is a survey.
What is a survey?A survey is a research method used for collecting data from a predefined group of respondents to gain information and insights into various topics of interest. They can have multiple purposes, and researchers can conduct it in many ways depending on the methodology chosen and the study’s goal. In the year 2020, research is of extreme importance, and hence it’s essential for us to understand the benefits of social research for a target population using the right survey tool.The data is usually obtained through the use of standardized procedures to ensure that each respondent can answer the questions at a level playing field to avoid biased opinions that could influence the outcome of the research or study. The process involves asking people for information through a questionnaire, which can be either online or offline.To learn more about survey, refer: https://brainly.com/question/17373064?referrer=searchResults
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As a result of the current age-related trends in the united states job market, by 2028 it is likely that human resource professionals will spend much of their time on issues related to ______.
Retirement is an result of the current age-related trends in the united states job market, by 2028 it is likely that human resource professionals will spend much of their time .
What is meant by Retirement ?
Retirement is the stage of life at which one decides to leave the workforce behind forever. The majority of industrialized nations, including the United States, have a national pension or benefits system in place to augment retirees' wages, and the usual retirement age in these nations is 65. The Social Security Administration (SSA) in the United States, for instance, has been providing retirees with monthly Social Security income benefits since 1935.
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An it company was charged $0.007 for the data and storage they used per the current month's least charge. which storage option did this company choose?
A storage gateway is the storage option did this company choose.
A cloud garage gateway is a hybrid cloud garage appliance, carried out in hardware or software, that is living on client premises and interprets cloud garage APIs including SOAP or REST into garage protocols. block cloud-primarily based totally garage including iSCSI or Fiber Channel, or record-primarily based totally interfaces. including NFS or SMB.
According to a 2011 file with the aid of using Gartner Group, cloud gateways are predicted to boom cloud garage utilization with the aid of using decreasing month-to-month charges and putting off statistics safety concerns.
Modern programs (aka "cloud-local apps") use community garage the use of REST and SOAP with hypertext switch on pinnacle of the protocol layer. Associative reminiscence is furnished from arrays that offer them as item reminiscence. Typical programs use community garage the use of the SMB NFS, iSCSI, or Server Message Block community record systems. To take complete benefit of item garage, current programs should be rewritten and new programs should be item-garage-aware, which isn't the default case.
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inclusion of mushroom in the food of Nepalese people can fulfill the nutrients requirement .justify the statement
Yes, the inclusion of mushrooms in the food of Nepalese people can fulfill the nutrient requirement.
The maximum amount of nutrients in 100 g of dry matter of the studied mushroom species is 90% moisture, 15% fiber and ash, 8% carbohydrates, 12% amino acids, 32% protein, and 2.5% fat.
These mushrooms contain large amounts of minerals such as sodium, potassium, calcium, iron, and phosphorus. It can also reduce your risk of developing serious health conditions such as Alzheimer's, heart disease, cancer, and diabetes. It's also a great source of information about Selenium.
Mushrooms have antibacterial properties, strengthen the immune system and lower cholesterol levels. They are also an important source of bioactive compounds. Because of these properties, some mushroom extracts have been used to promote human health and have been found as dietary supplements.
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Project work has begun, and you are about to record progress. what must you do first in order to track variances?
you do first in order to track variances: set a baseline and status date.
What does setting a baseline mean?
By definition, a baseline in project management is a plainly outlined starting point for your project plan.
In other words, a baseline is an initial plan you define together with stakeholders, bringing to light the project expectations and deliverables.
A baseline in project management is a clearly defined starting point for your project plan.
In other words, a baseline is an initial plan you create with stakeholders to define project expectations and deliverables.
When it is approved, it becomes a point of reference against which the project's progress can be measured over time. Here's an example of a basic project plan in Forecast.
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How+much+would+$20,000+due+in+50+years+be+worth+today+if+the+discount+rate+were+7.5%?+group+of+answer+choices
The correct answer is $ 537.78, due to time value of money $ 537.872, now will become $ 20,000 after 50 years.
Given,
Amount due in 50 years = $ 20,000
Rate of interest (r) = 7.5% = 0.075
The present value of investment due in 50 years is-\
= amount/ (1+ r) ^50
= 20,000/ (1+ 0.075) ^ 50
= $537.782
The concept of time value of money (TVM) states that an amount of currency is reasonable more now than it would be at a future stage due to its earning capacity in the meantime. The value of money over time is a basic financial principle. A sum of money in one's hand has a value higher than the same money paid in the coming years. The present discounted value is another term for the time value of money.
The time value of money concept asserts that money could only grow through investment, so a late investment is a missed opportunity.
The complete question is here:
How much would $20,000 due in 50 years be worth today if the discount rate were 7.5%?
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