Answer: $89,342,526
Explanation:
Price of the bond will be the present value of the face value plus the present value of the interest payments.
Interest Payments
= 6% * 102,000,000
= $6,120,000
2051 - 2021 = 30 years
Similar interest = 7%
Present value = 6,120,000 * Present value factor of annuity for 30 years, 7%
= 6,120,000 * 12.4090
= $75,943,080
Present value of bond
= 102,000,000/(1 + 7%)^30
= $13,399,445.95
Price of bond = 13,399,445.95 + 75,943,080
=$89,342,526
At which event must special care be taken when prepping food for your guest
Answer: Im not sure I fully understand what is being asked, but when prepairing food for guests, special care must be taken when prepairing raw meats. Sanitation is vital when it comes to mixing raw meats and veggies.
Explanation:
The event at which special care should be taken when preparing food for the guests is at every event when guests must eat food.
What are special occasions?Special occasions are used to mark important events in the life of the hosts and guests. Food is always prepared and offered at such special events.
The different tastes and preferences of guests must be considered, especially with regard to the use of spices and seasonings.
At every event, where guests are expected to participate in the prepared food, utmost care must be taken to ensure:
A sanitized environmentNecessary precautions for food safetyA dignified dining experience.Thus, the event where special care must be taken when preparing the food for the guests is every event where guests are expected to eat some food.
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Summarize chaleff’s courageous followership? I need help!!
Chaleff's courageous followership emphasizes the importance of active and engaged followers who possess the courage to speak up, take initiative, act ethically, and influence their leaders and organizations positively.
Chaleff's courageous followership is a concept that highlights the significance of followers who possess the courage and willingness to actively engage in their roles and influence their leaders and organizations in a positive manner. It challenges the traditional notion that followers should simply obey and conform to their leaders without question.
According to Chaleff, courageous followership involves followers who are willing to speak up, take initiative, and provide constructive feedback to their leaders. These followers are not afraid to express their opinions, voice concerns, and offer alternative viewpoints, even when it goes against the prevailing norms or authority. They understand that their active participation is crucial for the success and growth of the organization.
Courageous followers also exhibit ethical behavior and take responsibility for their actions. They hold themselves accountable for their decisions and actions, aligning their behaviors with their values and the organization's values. They are willing to stand up against unethical practices and unethical leadership when necessary, with the aim of promoting integrity and ethical decision-making within the organization.
Chaleff's courageous followership promotes a collaborative and mutually beneficial relationship between leaders and followers. It encourages leaders to create an environment where followers feel safe and empowered to express their ideas and concerns. By fostering open communication and embracing diverse perspectives, leaders can tap into the full potential of their followers and create a culture of innovation and adaptability.
In summary, Chaleff's courageous followership emphasizes the importance of active and engaged followers who possess the courage to speak up, take initiative, act ethically, and influence their leaders and organizations positively. It advocates for a dynamic and collaborative relationship between leaders and followers, ultimately aiming to enhance organizational effectiveness, ethical decision-making, and overall success.
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where should you take the temperature of shredded pork in a hot-holding pan?
Place the pork shoulder fat side up on the top rack, cover with the lid, and cook at 225°F to 250°F for a consistent time, using the vents to control the temperature.
Although smoking a whole hog shoulder for pulled pork may appear scary, it is the simplest of the BBQ Big Three (brisket, ribs, and pulled pork) to master and is a fantastic method to refine your smoking abilities.
You'll need to get a digital barbecue thermometer if your grill doesn't include a temperature indicator. Every hour, check the grill's internal temperature. To keep the temperature and smoke consistent, add more charcoal and wet wood chips as needed.
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In two to three sentences, answer the following:
What is the most important information you need to receive a stock quote?
What information you can obtain from a stock quote?
The most important information needed to receive a stock quote is the ticker symbol of the specific stock.
From a stock quote, you can obtain various information about the stock, including the current price of the stock, the trading volume (number of shares traded), the bid and ask prices (the prices at which buyers are willing to buy and sellers are willing to sell), the day's high and low prices, the previous close price, and the percentage change in price from the previous trading session.
Additionally, some stock quotes may provide additional data such as the company's market capitalization, dividend yield, and earnings per share.
Stock quotes provide a snapshot of a stock's performance in the market and are important for investors to make informed decisions regarding buying or selling stocks. They allow investors to track the price movements and trends of a particular stock and assess its potential value and risks.
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(i) historically, countries with colonial settlers who planned on staying for long periods of time set up sound economic institutions. (ii) countries with harsh environments not suitable for permanent settlements resulted in colonial settlers favoring extractive institutions because they were often primarily interested in resource extraction.
(i) In the past, nations with colonial settlers who intended to stay for a long time established reliable economic systems. (ii) Because colonial settlers were frequently primarily concerned in resource extraction, they favored extractive institutions because nations with hostile conditions made it difficult to establish long-term colonies. Both the statements are true.
what are extractive institutions?
The goal of extractive institutions, which are the antithesis of inclusive ones, is to direct the economic benefits toward a relatively tiny elite. Extractive institutions either limit people's ability to engage in economic initiative (since they are aware that little of the gain will go to themselves) or discourage them from doing so.
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how does a service contract differ from a warranty? what rights do purchasers of products have even if no written warranty exists?
Service contract differs from a warranty in the sense that the former is paid for while the later is offered free of charge by the automaker.
The rights that purchasers of products have even if no written warranty exists is that they can keep funds to cover anything if there is no written warranty.
What is service contract and warranty?Basically, warranty means a written guarantee from the manufacturer that tells you if your damaged product can be returned/ fixed. Service contract means an agreement between a business and a consumer to cover the cost of repair.
The service contract directly engages the time and effort of a contractor whose primary purpose is to perform an identifiable task rather than to furnish an end item of supply. Its may be either a nonpersonal or personal contract.
But, a warranty serves as a legally binding commitment forming part of the sales contract which assures the buyer that the product or service is free from defects.
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Write a short message/email/memo based on the following case scenario - As head of the occupational health and safety committee at your workplace, you are concerned about the practice of stocking employee kitchenettes with free coffee and cookies. Lately, you have begun to notice that stressed out employees routinely skip lunch and instead grab handfuls of cookies to eat at their desks. While you understand the necessity for the quick snacks, you feel that there is room in the budget to provide healthier alternatives to these high-fat, carbohydrate-laden snacks. In fact, your committee voted in favour of this but you feel some employees will resist this and be upset to lose the cookies and coffee. -- Now, write a short message/memo/email to all staff announcing that, effective next month, kitchenettes will be stocked with a selection of fresh fruit, whole-grain snacks, and spring water instead of the usual cookies and coffee. Consider which approach you should use -- direct or indirect -- before you write it.
Answer:
You know that your not supposed pile your home work on this program? It’s unconstitutional.
Explanation:
What happens if an eyewitness gets subpoena and he decides not to go to court?
Demonstrating the proper way to shake hands is an example of which choice?
a. teamwork
b. workplace etiquette
c. employee performance
d. work ethics
Answer:
A. Teamwork
Explanation:
when you do something right as a team you handshake as a thank you for helping me.
Answer:
employee performance
Explanation:
took the test
Suppose that in a certain country called Litigia, patients do not have the legal right to sue their medical insurance providers.
Now, suppose, however, that Litigia's government passes legislation that no longer protects medical insurance providers from lawsuits, so that patients in Litigia can now sue their insurance providers.
After the legislation is passed, what will happen to the price of medical insurance and the number of medical insurance policies sold?
The price will decrease, and the number of medical insurance policies sold will also decrease.
The price will increase, while the number of medical insurance policies sold will decrease.
The price will decrease, while the number of medical insurance policies sold will increase.
The price will increase, and the number of medical insurance policies sold will also increase.
C) The price will decrease, while the number of medical insurance policies sold will increase.
What is legislation?Legislation is the process by which local, state, or federal legislatures draft and enact laws. It is occasionally used to refer to municipal ordinances as well as the rules and regulations passed by administrative bodies while they were performing their delegated legislative duties.
The legislation involves participation from the executive branch in addition to action by a legislative body. Unless the executive's veto is overridden by a large enough majority in each house of the legislature, legislation cannot become law without the executive's concurrence. Additionally, the executive's job involves much more than just consent or opposition.
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According to growth accounting studies, a country would achieve better results by promoting
Answer:
I dont really know i nee the points tho sorry hope you find help
Explanation:
Answer: research and education
Explanation:
Wheat is one of the most important farm products in the United States. Many farmers grow wheat. Many companies buy wheat for breakfast cereals, bread, flour, and other products. Wheat is a commodity—the same product no matter who grows it. Information about wheat output and prices is widely available. In any given year, farmers may grow wheat or some other crop. Buyers may switch to other grains if wheat prices rise too high. Is this an example of perfect competition? Why or why not?
Yes, this is an example of perfect competition because there are many farmers growing wheat and many companies buying it. Wheat is a homogeneous product, meaning that it is the same no matter who grows it, and information about wheat output and prices is widely available.
This means that buyers have perfect information about the market and can easily switch to other grains if wheat prices rise too high. Additionally, there are no barriers to entry or exit for farmers or buyers, so new farmers and companies can easily enter the market and compete with existing ones.
Furthermore, since wheat is a commodity, the price is determined by the market forces of supply and demand. This means that no single farmer or company has control over the price, and they must all accept the market price. The market price reflects the marginal cost of production for each farmer, ensuring that resources are allocated efficiently.
In conclusion, the wheat market is a good example of perfect competition due to the large number of farmers and buyers, homogeneous product, perfect information, no barriers to entry or exit, and price determined by market forces.
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which career field is likely to experience growth in salary in the next few years below the annual median? education, hospitality, government, construction.
The government is the career field that is likely to experience growth in salary in the next few years below the annual median.
What is a government?This refers to the system of governing an organized community, generally a state. In the case of its broad associative, the government normally consists of legislature, executive, and judiciary.
The other terms for government are executive, regime, authority, powers that be, directorate, council, leadership, management. cabinet, ministry. rule, term of office, incumbency.
Hence, the government is the career field that is likely to experience growth in salary in the next few years below the annual median.
Therefore, the Option C is correct.
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In what ways do goals and objectives help managers control various processes within an organization? How do specific and measurable goals affect employees and promote organizational performance? Provide an example from your own experience of when a specific goal or objective provided beneficial control over a process. Explain what the beneficial control was and how did it positively impact organizational performance.
Textbook: Principles of Management-v.1.1
Answer:
In what ways do goals and objectives help managers control various processes within an organization?
Goals establish the basis of the corporate strategy. Without clear goals, managers cannot devise and implement a corporate strategy, and without a corporate strategy, the firm does not have a clear path of action.
As we can see, goals are very important for an organization because they determine what the company should achieve, and what actions and policies the company should implement in order to achieve it.
How do specific and measurable goals affect employees and promote organizational performance?
Employees become motivated because they can actually see what their performance is like, and how it can be improved upon in case its not meeting the organizational performance standards.
However, managers should be careful when setting these measurable goals, and should also be flexible: if an employee does not meet these goals in his first attempt, they should try to understand why, and work with the employee so that he or she can improve their performance.
Specific and measurable goals and objectives can allow managers to make more practical decisions and better control over employees to achieve goals. Practical decisions mean that the goals are realistic, and the goals are time-based and measurable.
Furthermore, goals and objectives can offer a form of control as they provide communication opportunities about how effectively or poorly the company is executing its plans.
Finally, managers can emphasize positive practices in the organization to employees because they understand what to do, what must be achieved, and when to achieve it.
To illustrate how a specific goal or objective provides useful control over a process, I will explain through my experience as a tour guide. Our goal can be as simple as making the trip enjoyable. So I have to set a specific and observable objective for my members in terms of goal sections. I gave them a checklist to make sure that they had taken everything in their package, such as license, visa, local currency, and that they had to do it by the time they left the house and arrived at the gathering point on time.
As a result, my members know what to do, and we do not have to waste time because something is missing. As I said, I explained the goals for each move to ensure that everything was under control. If I had not arranged a meeting time and place, they would not be sure when or where they can come.
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4. If you enter your credit card information as a requirement for a "free trial" there is
a possibility you could be charged automatically after the trial period is up.
True
O
False
HELP ME
Answer:
True
Explanation:
If you enter a credit card for a free trial, the card will likely be automatically charged because you have agreed to have your card charged immediately after the free trial period.
Hope this helps! Let me know.
Abey Kuruvilla, of Parkside Plumbing, uses 1,220 of a certain spare part that costs $27 for each order, with an annual holding cost of $25. a) Calculate the total cost for order sizes of 25, 40, 50, 60, and 100 (round your responses to two decimalplaces). b) What is the economic order quantity?
The total cost is : $1,630.10, $1,310, $1,283.8, $1,299, $1,579.4 and the economic order quantity is 51.33.
How to find the economic order quantity?Using this formula to find the total cost
Total cost = DCo/Q + QH/2
Where:
D = Annual demand
Co = Ordering cost per order
H = holding cost per item per annum.
Order Size 25
Total cost = (1,220 x $27/25) + (25 x $25/2)
Total cost = $1,317.6 + $312.50
Total cost = $1,630.10
Order Size 40
Total cost = (1,220 x $27/40) + (40 x $25/2)
Total cost = $810 + $500
Total cost = $1,310
Order Size 50
Total cost = (1,220 x $27/50) + (50 x $25/2)
Total cost = $658.8 + $625
Total cost = $1,283.8
Order Size 60
Total cost = (1,220 x $27/60) + (60 x $25/2)
Total cost = $549 + $750
Total cost = $1,299
Order Size 100
Total cost = (1,220 x $27/100) + (100 x $25/2)
Total cost = $329.4 + $1,250
Total cost = $1,579.4
b. Economic order quantity
Economic order quantity = √ 2 × $27 × 1220 ÷25
Economic order quantity = √ 65,880÷25
Economic order quantity =√2,635.2
Economic order quantity =51.33
Therefore the economic order quantity is 51.33.
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Francis wants to buy some paintings for their store to make it feel more classy. Francis would need to take $20,000 out of their savings account (which earns 1% interest a year) in order to finance the paint-ings. At the end of the year, Francis knows they could sell the paintings for $20,000 but they would choose not to. When calculating this year's economic profit, Francis would count this as a:
Answer:
When calculating this year's economic profit, Francis would count this as a:
cost.
Explanation:
Francis would include the opportunity cost of $20,000, which the paintings could have fetched, as part of the costs. The cost will also include the lost 1% interest or $200 a year. This means that, among other costs, the total cost includes $20,200. This is one distinguishing factor between economic profit and accounting profit. Economic profit includes lost opportunity revenues for alternative uses of the resource as costs unlike accounting profit.
Windborn Company has 15,000 shares of cumulative preferred 1% stock, $100 par and 50,000 shares of $30 par common stock.
The following amounts were distributed as dividends:
20Y1 $30,000
20Y2 12,000
20Y3 45,000
Common Stock
(dividends per share)
I cannot figure out Y1 or Y3
The dividends per share for the common stock in year 1 (Y1) is $0.60 per share, and in year 3 (Y3) is $0.90 per share.
To calculate the dividends per share for the common stock in year 1 (Y1) and year 3 (Y3), we need to determine the total dividends distributed and divide them by the number of common shares outstanding.
Given information:
Cumulative preferred stock: 15,000 shares, 1% dividend
Common stock: 50,000 shares, $30 par value
Dividends distributed:
Y1: $30,000
Y2: $12,000
Y3: $45,000
First, let's calculate the dividends per share for the cumulative preferred stock in each year.
Dividends per share for cumulative preferred stock = (Par value * Dividend rate) / Number of preferred shares
Dividends per share for cumulative preferred stock = ($100 * 1%) / 15,000 shares
Dividends per share for cumulative preferred stock = $1 / 15,000
Dividends per share for cumulative preferred stock = $0.000067 per share
Now, let's calculate the dividends per share for the common stock in year 1 (Y1) and year 3 (Y3).
For Y1:
Total dividends for common stock = Dividends distributed - (Dividends per share for cumulative preferred stock * Number of preferred shares)
Total dividends for common stock = $30,000 - ($0.000067 * 15,000)
Total dividends for common stock = $30,000 - $1.005
Total dividends for common stock = $29,998.995
Dividends per share for common stock in Y1 = Total dividends for common stock / Number of common shares
Dividends per share for common stock in Y1 = $29,998.995 / 50,000 shares
Dividends per share for common stock in Y1 = $0.5999799 per share (rounded to $0.60 per share)
For Y3:
Total dividends for common stock = Dividends distributed - (Dividends per share for cumulative preferred stock * Number of preferred shares)
Total dividends for common stock = $45,000 - ($0.000067 * 15,000)
Total dividends for common stock = $45,000 - $1.005
Total dividends for common stock = $44,998.995
Dividends per share for common stock in Y3 = Total dividends for common stock / Number of common shares
Dividends per share for common stock in Y3 = $44,998.995 / 50,000 shares
Dividends per share for common stock in Y3 = $0.8999799 per share (rounded to $0.90 per share)
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What elements should an ideal CRR plan include?
The following components belong in a perfect CRR plan. communication lines that are clear, empathy and understanding, activity that is swift and efficient, Feedback and follow-up Continual development
A CRR report: what is it?The Cyber Resilience Assessment (CRR) is an evaluation of an organisation s resilience or cybersecurity measures based on interviews. Your organization will get knowledge of how to handle cyber risk during both regular operations and during periods of stress levels and catastrophe through the CRR.
What is CRR's emergency response?Your department can use what you already know to reduce hazards in your operational area with the aid of a community reducing risk (CRR) program. CRR employs a wide range of instruments to create a strategy and integrated program aimed at minimizing the occurrence and effects of local risks.
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What are met and unmet need of implementing a enterprise resource management system?
The implementation of an enterprise resource management system can provide numerous benefits such as:
improved efficiencybetter data managementstreamlined business processes.What are benefits of implementing an enterprise RMS?It helps to improve efficiency by automating and integrating various business processes which reduces the need for manual data entry and enabling real-time tracking of data. It also provide better data management by centralizing data storage and ensuring data accuracy and consistency across different departments.
This can lead to better decision-making and more informed business strategies which can lead to faster turnaround times, reduced costs, and increased productivity.
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Which action will not protect your credit
Which of the following statements is not true of person-organization fit? Multiple Choice those who experience a higher fit have higher levels of job satisfaction employees who fit well have more trust in their managers the company can expect a committed worker when there is good person-organization fit a good fit means less stress about day-to-day tasks those with a good fit experience higher task performance than those without a good fit
The statement " those having a good fit experience have the higher task performance as compared to those who don't have a good fit" is correct.
The following information regarding the person-organization fit is:
It is a theory where the organization and the employee should be compatible with each other. In this, both parties should have the same attributes.Due to the above reasons, the person-organization fit does not relate to the employee task performance.
Therefore all other options are not considered as all other options are relevant for the person-organization fit.
Thus, we can conclude that the statement " those having a good fit experience have the higher task performance as compared to those who don't have a good fit" is correct.
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Wholemark is an Internet order business that sells one popular New Year greeting card once a year. The cost of the paper on which the card is printed is $0.40 per card, and the cost of printing is $0.10 per card. The company receives $3.75 per card sold. Since the cards have the current year printed on them, unsold cards have no salvage value. Their customers are from the four areas: Los Angeles, Santa Monica, Hollywood, and Pasadena. Based on past data, the number of customers from each of the four regions is normally distributed with mean 2,300 and standard deviation 200. (Assume these four are independent.)
What is the optimal production quantity for the card?
Answer:
≈ 9644 quantity of card
Explanation:
given data:
n = 4 regions/areas
mean demand = 2300
standard deviation = 200
cost of card (c) = $0.5
selling price (p) = $3.75
salvage value of card ( v ) = $ 0
The optimal production quantity for the card can be calculated using this formula below
= u + z (0.8667 ) * б
= 9200 + 1.110926 * 400
≈ 9644 quantity of card
First we have to find u
u = n * mean demand
= 4 * 2300 = 9200
next we find the value of Z
Z = ( \(\frac{p-c}{p-v}\) )
= ( 3.75 - 0.5 ) / 3.75 = 0.8667
Z( 0.8667 ) = 1.110926 ( using excel formula : NORMSINV (0.8667 )
next we find б
б = 200\(\sqrt{n}\) = 400
Warner Brothers Entertainment owns the rights to the intellectual property of the Scooby Doo cartoon show and its characters. A lunchbox menecturer
has reached an agreement with Warner Brothers Entertainment to use the Scooby Doo characters on their new line of lunchboxes. This is an example o
Multiple Choice
contract manufacturing
licensing
creating a subsidiary
franchising
Option B is the correct one. Using intellectual property rights, such as trademarks, patents, brand names, or technologies, is called licensing. It involves the licenser giving the licensee permission to do so under specific guidelines.
A contract or arrangement between two businesses known as a licensing is one that allows one business to give another permission to produce its goods in exchange for a certain fee and subject to certain terms.
The ability to safeguard a company's valuable assets, such as patents, trademarks, copyrights, and trade secrets, depends on having a solid grasp of how these assets operate and are produced.
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Entrepreneurs generally think differently about resources than do employee-managers in which of the following ways?
Managers want larger budgets; entrepreneurs work to do more with less.
How do entrepreneurs approach resources differently from employee-managers?Entrepreneurs have a distinct mindset when it comes to resources compared to employee-managers. While managers often seek larger budgets to accomplish their goals, entrepreneurs tend to focus on doing more with less.
This difference in perspective stems from the inherent nature of entrepreneurship which involves taking calculated risks and maximizing efficiency in resource allocation.
Entrepreneurs understand that resources, such as capital, time, and manpower, are limited and valuable. They recognize that acquiring substantial budgets may not always be feasible, especially in the early stages of a venture.
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What do you need to consider to decide if you can afford to go to an
institute of higher education?
OCost of Attendance (COA) and loan costs
OCost of Attendance (COA) and financial aid
OTuition costs, scholarships, and grants
O Terms of work-study offers
Some of the things to consider for affording higher education are B. Cost of Attendance (COA) and financial aid.
What to consider for higher education ?The full worth of obtaining an education from any institute necessitates detailed appraisal of varied economic components. The Cost of Attendance (COA) incorporates necessary costs such as tuition, room and board, textbooks and peripherals, commuting fares, alongside individual expenditures.
Analyzing the COA of an institution is significant in establishing how much financial help you will require. Place emphasis on authenticating all plausible relief alternatives when lowering disbursement, for example: scholarships, grants, employment-study programs, in addition to loans.
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holding cash for precautionary motive assumes management wants cash for emergency purposes when inflows are projected.
Holding cash for precautionary motive assumes management wants cash for precautionary motives.
What is the purpose of keeping cash as a precaution?
It was Keynes who first proposed looking at the preventive reasons for maintaining a cash reserve (1936). According to his view, precautionary reserves can be kept in the form of cash or demand deposits and act as insurance against substantial expenses that could materialize in the foreseeable future.
What are the three reasons to keep cash on hand?
Keynes claimed that there are three reasons why people keep cash on hand: I transactions motivation, (ii) precautionary motive, and (iii) speculative motive. The reason for keeping cash on hand is because it is necessary for both personal and commercial exchanges to make current payments.
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Reese's Resources faces a smooth annual demand for cash of $15 million, incurs transaction costs of $125 every time they sell marketable securities, and can earn 4.5 percent on their marketable securities. What will be their optimal cash replenishment level?
The optimal cash replenishment level is $1.5 million.
Reese's Resources faces a smooth annual demand for cash of $15 million, incurs transaction costs of $125 every time they sell marketable securities, and can earn 4.5 percent on their marketable securities.
Optimal cash replenishment level:To find the optimal cash replenishment level, we can use the Miller-Orr model.
Miller-Orr model is used to determine the optimal cash balance of a company to minimize the cost associated with holding or having a shortage of cash.
It is designed to help companies determine when they should transfer cash in and out of their account to keep the account balance close to a specified target.
The Miller-Orr model considers two costs: the opportunity cost of holding cash and the transaction cost of transferring money from one account to another.
Lower limit = 3 × T × σ / 4 × C = 3 × 10 × 0.5 / 4 × 125 = $0.75 millionUpper limit = 3 × Lower Limit = 3 × 0.75 = $2.25 millionThe optimal cash balance is the average of the upper limit and the lower limit, which is ($0.75 million + $2.25 million) / 2 = $1.5 million.
The company should try to keep their cash balance around $1.5 million to minimize the cost associated with holding or having a shortage of cash.
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What are the four main functions of business?
Answer:
have great day UwU!!!!!!
Answer:
Planning, Organizing, Leading, amd Controlling
Liliana de la Cruz puts $8,000 into a load mutual fund. She knows that her up-front sales charge is 5 percent. How much of her money actually goes to buy shares in the mutual fund?
$7,600 of money actually goes to buy shares in the mutual fund
How much of her money actually goes to buy shares in the mutual fund?Liliana de la Cruz puts $8,000 into a load mutual fund. She knows that her up-front sales charge is 5 percent.
To "mutually" purchase stocks, bonds, and other investments, mutual funds allow you to combine your funds with those of other investors. They are managed by seasoned money managers who select the stocks, bonds, and other securities to acquire and determine when to sell them. You are exposed to every investment in the fund as well as any revenue they produce.$8,000 × 0.05 = $400; $8,000 − $400 = $7,600
$7,600 of money actually goes to buy shares in the mutual fund
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