Answer:
breaking news may have a bad news example of bad news is fake news
Answer:
In my opinion, I see that the good side of news is that it help people be more aware of what's going around, and some may contribute to the rise in support for some fundings and charity programs for example: if a breaking news about a victim of any crime for example stolen house is displayed, an interview can give a voice to the victim to speak out and maybe raise fundings to repair all stolen goods or damaged items. On the other hand, some breaking news can end up sending out the wrong message and information for example talking about untrustable information, which may later on turn out to be wrong this can cause rumors.
Evidence shows that the quantity equation is correct over the long run, which implies that the.
Given the long-term validity of the quantity equation, it follows that the rate of inflation is influenced by the growth rate of a money supply.
Define the term rate of inflation?A price index for just a given time as opposed to that reported in a prior period is what determines the inflation rate. It is often computed annually or year over year.
The rate at which the cost of goods and services increases is known as inflation.
Demand-pull inflation, a cost-push inflation, as well as built-in inflation are the three categories into which inflation is sometimes divided.A Consumer Price Index and or the Wholesale Price Index are the two most often used inflation indexes.Depending on the viewpoint as well as rate of change, inflation can be perceived positively or negatively.Those who own tangible assets, such as real estate or stored commodities, may benefit from inflation since it will increase the value of their holdings.Thus, it appears that the growth rate of such a money supply affects the rate of inflation given the quantity equation's long-term validity.
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you find a zero coupon bond with a par value of $10,000 and 13 years to maturity. if the yield to maturity on this bond is 4.5 percent, what is the dollar price of the bond? assume semiannual compounding periods. (do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
You find a zero coupon bond with a par value of $10,000 and 13 years to maturity. if the yield to maturity on this bond is 4.5%, then $5,607.29965 is the dollar price of the bond.
It is given that:
Number of years to maturity = 13 years
Since the compounding is semi-annual, the time period will be:
Time period=Number of years to maturity×2
=13years×2
=26
Par value = $10,000
Yield to maturity = 4.5%
Semi - annual yield=Yield to maturity/2
=4.5%/2=2.25%
Using the semi-annual yield as the discount rate for a period of time period of 26, the price of the bond is computed.
Price of zero-coupon bond =Par value/ (1+Semi-annual yield)^Number of periods= $10,000/ (1+2.25%)^26
= $10,000/1.78338962
= $5,607.29965
Thus, the price of the zero-coupon bond is $5,607.29965.
What is zero coupon bond?
A zero coupon bond is a bond that pays no interest during the life of the bond. Instead, an investor buys a zero-coupon bond at a steep discount to its face value.
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What are the seven traditional steps of selling? Discuss them briefly.
Tradtional Selling is the interaction between sellers and buyers. There different steps of traditional selling and they are:
Prospecting.Preparation.Approach.Presentation.Handling objections.Closing.Follow-up.Prospecting is the process of creating list of buyers.
Preparation is the research carried on the wants, needs and other background information of the targeted customers.
Approach is when the sellers makes the first contact or impression with the buyers, it can be done through call or done physically.
Presentation is when the seller shows the benefits of product and how they can satisfy the customers' needs or the problem that they want to solve.
Handling Objections it is one of the process by which seller pay attention to prospect's concerns and asking additional questions to better identify and understand their objections. The seller might tries to explain better on how the product can be helpful.
Closing: this is where the seller actually have to ask if the potential customer is convinced and willing to make the purchase. If your customer has been convinced your product or service will meet their needs, you close the sale by agreeing on the terms of the sale and finishing up the transaction.
Follow up this is the final step of selling after the sale has been made and all left to be done is retaining the customers and trying to get more customers
The above are the steps in traditional selling.
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Have you ever bought online during Black Friday?
Yes, I frequently purchase online on Black Friday. For those who are not excellent at battling for products in a crowd, purchasing items online is a great alternative.
What is Black Friday?In the United States, the day following Thanksgiving Day is known colloquially as Black Friday. It is a state holiday in more than 20 states and marks the start of the Christmas shopping season in the United States. Black Friday is among the most popular shopping days in the United States. There are two common explanations for why the day following Thanksgiving is known as Black Friday. According to one source, the wheels of automobiles in heavy traffic the day following Thanksgiving Day produced numerous black imprints on the road surface. This gave rise to the phrase "Black Friday".
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The window of opportunity to capitalize on an innovation is very narrow, so businesses with new ideas should
Multiple Choice
develop customer-centric marketing that is enhanced with AI.
move quickly so that competitors do not swoop in and pass them by.
conserve their resources and hope they can survive disruptive innovation.
partner with offshore suppliers to reduce labor costs.
The window of opportunity to capitalize on an innovation is very narrow, so businesses with new ideas should develop customer-centric marketing that is enhanced with AI.
What is innovation?An innovation can be described as the idea that has been transformed into practical reality.
It should be noted that this can be seen in the business process such as the marketing as well as the manufacturing operation in the company as it can be seen in how to develop customer-centric marketing which could helps to enhanced with AI.
Therefore, the first option is correct.
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the budgeting process that involves adding a month to the end of the budget period at the end of each month, thus maintaining a twelve-month planning horizon, is referred to as:
Continuous budgeting is the practice of keeping a twelve-month planning horizon by adding one month to the end of the budget cycle at the end of each month.
The process of continuously adding one additional month to the end of a multi-period budget as each month passes is known as continuous budgeting. There is always a full-year budget in place because the continuous budgeting idea is typically used with a twelve-month budget.
Continuous budgeting reduces some of the rigidity of traditional annual budgets and allows for speedier responses to changing circumstances. Additionally, they might lessen the yearly department budgeting practice's typical year-end spending frenzy.
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Adjusting prices in real time to fit individual customer situations, locations, and buying behaviors is known as ________ pricing.
Adjusting prices in the real time to fit an individual customer situations, locations, and buying behaviors is known as dynamic pricing.
What is dynamic pricing?Dynamic pricing, which is also known as surge pricing, demand pricing, or time-based pricing, is a pricing technique in which firms set flexible prices for goods or services based on the demands of the market at the time. Based on algorithms that consider supply and demand, rival pricing, and other external market considerations, businesses can alter their prices. In several sectors, including hospitality, tourism, entertainment, retail, electricity, and public transportation, dynamic pricing is a frequent practice. Based on its unique requirements and product demand, each industry adopts a somewhat different approach to dynamic pricing. Since the dawn of civilization, dynamic pricing has become the standard. The management of this procedure was mostly the responsibility of seasoned shopkeepers, who would haggle over the price of each and every item in the store.
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Why is it possible that you may get less money than the loan amount you have borrowed?.
We might get less money than the loan amount that we have borrowed because a fee can be subtracted from a loan.
A loan is a debt that is taken by a borrower and he is entitled to pay the borrowed money in a specified amount of time.
If a loan is being taken from sources such as a bank, it often happens that a person gets a lesser amount of money than he had asked for in the loan.
This is because a specific fee is often deducted when a loan is passed. Each bank has its own rules for giving a loan and the deductible amount may vary from bank to bank.
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if the rate of job finding falls, the natural rate of unemployment will a) remain constant. b) increase. c) decrease. d) rise or decline, depending on the rate of job separation.
The natural rate of unemployment will (B) rise if the rate of job creation declines.
What is unemployment?According to the OECD, unemployment refers to people over a certain age who are currently seeking employment but are not employed or self-employed. The unemployment rate, which is used to determine the level of unemployment, is calculated using the number of unemployed people as a percentage of the labor force.The natural rate of unemployment will rise if the rate of job creation declines.A nation can affect unemployment and the state of the economy, for instance, through its fiscal policy. Furthermore, a nation's central bank or other monetary authority can affect the cost and availability of money by enacting monetary policy.As a result, the natural rate of unemployment will (B) rise if the rate of job creation declines.
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The amount of money the insurance company agrees to pay for an incident is called.
The amount of money the insurance company agrees to pay for an incident is called deductible.
A deductible is the quantity you pay for out-of-pocket expenses in your included fitness care earlier than your plan starts to pay. A deductible is distinctive than a premium.
A top class is the quantity you pay, usually each month, to have medical health insurance. Now, deductibles may be low or excessive, depending on the plan you select.
In an insurance coverage, the deductible is the amount paid out of pocket by means of the coverage holder before an insurance company pays any costs. In trendy utilization, the term deductible may be used to describe one of numerous forms of clauses which might be used by insurance corporations as a threshold for coverage bills.
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why is a firm's business plan important to the entrepreneur, potential investors, and/or new personnel? (check all that apply.)
A firm's business plan is important to the entrepreneur, potential investors, and/or new personnel because a firm's business plan guides the entrepreneur in organizing his/her planning activities. It also acts as a significant tool in helping to obtain financing.
What is a business plan?A business plan refers to a formal written document that contains the goals of a business, the methods for attaining those goals, and the time-frame for the achievement of the goals. A business plan also describes the nature of the business, the organization's financial projections, background information on the organization, and the strategies it intends to implement to achieve the stated targets. Overall, a business plan serves as a plan (a road-map) that provides direction to the business.
Your question's multiple choices are missing. Here are most likely the multiple choices:
a. It primarily acts as a document of marketing activities such as sales promotion.b. It guides the entrepreneur in organizing his or her planning activities.c. It helps the entrepreneur reduce employee retention.d. It acts as a significant tool in helping to obtain financing.The correct options would then be b and d.
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three years ago, you invested $2,600. today, it is worth $3,400. what rate of interest did you earn?
Invested $2,600 and, it is worth $3,400.The interest rate is 6.7%.
What is the rate of interest ?invested $2,600 and, it is worth $3,400.
Potential Value = PV(1+R)^3
3,400 = 2600(1+R)^3
=3400/2600=(1+r)^3
=[tex]3\sqrt\frac{3400}{2600}[/tex]= [tex]3\sqrt({1+r)} ^3[/tex]
r = 0.067
r = 6.7%
Check:
3400 = 2600
3400 = 3400
The amount that the lender charges the borrower over and beyond the principal amount is referred to as the interest rate. A person who deposits money in a bank or other financial institution also earns additional income in terms of the recipient, known as interest, taking into account the time value of money.To learn more about interest rate refer to:
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given a fixed supply of money and a downward sloping aggregate demand curve, an increase in money demand will the price paid for its use, otherwise known as the .
With a fixed supply of money and a downward-sloping aggregate demand curve, an increase in money demand does not change the price paid for its use, known as the discount rate.
The money supply is the amount of currency in form of cash and liquid instruments in the economy of a country. A decrease in the money supply of the economy will reduce aggregate demand. Similarly, an increase in money supply will reflect an increase in aggregate demand.
The discount rate is the interest rate charged by Federal Reserve from the banks for small-term loans. The discount rate is also used in discounted cash flow analysis while determining the value of future cash flow. Discount cash flow analysis determines whether the current project is profitable or not based on the estimated cash flow in the future.
While determining the future cash flow of a project, the discount rate is the weighted average cost of capital. In the case of investment or business, the discount rate used is a risk-free rate of interest.
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when employees quit or are fired from an organization and must be replaced by new employees it is referred to as .
When employees quit or are fired from an organization and must be replaced by new employees it is referred to as turnover.
What is organization?An organization or organization is an entity, such as a company, institution or association, which consists of one or more individuals and has a specific purpose. The word is derived from the Greek word organon, which means tool or instrument, musical instrument and organ.
The organization helps to optimally use financial and human resources. This not only helps in properly assigning tasks to the relevant employees, but also ensures that resources and efforts are not wasted due to duplicated work.
The main purpose or goal of an organization is to understand and manage the business well. The main goal is to bring all the employees together and also to understand the direction of the organization.
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specter company combines cash and cash equivalents on the balance sheet. using the following information, determine the amount reported on the year-end balance sheet for cash and cash equivalents.
The amount of cash and cash equivalents are shown on the year-end balance sheet is $31,100.
What does cash equivalent mean?For short-term investing, cash equivalents are high-liquidity investment vehicles with good credit quality. Cash equivalents, sometimes known as "cash and equivalents," are one of the three main asset classes in financial investing, along with stocks and bonds.
These securities have very low risk and return characteristics. Cash equivalents include items like US Treasury notes, bank CDs, bankers' acceptances, corporate CPs, and other money market products. These financial products all typically have low risks, short maturities, and an extremely liquid market.
What Justifies the Use of Cash Equivalents?
The objectives of cash equivalents are to strike a balance between liquidity, risk, and investment. If a company needs to sell its cash equivalents right away, it can easily access cash thanks to cash equivalents.
Additionally, cash equivalents give businesses the chance to make a little bit of interest while they strategize how they will use their liquidity in the long run.
Calculation:
Cash deposit in checking account = $16,000
Bond investment: $46,000 with a 20-year maturity
One-month US Treasury bill equals $11,500
3-year loan to an employee = $850
Currency and coins = $3,600
Accounts receivable $1,150
Cash and Cash Equivalents:
Cash deposit in checking account $16,000
US Treasury debt 11,500 due in 1 month
Currency and coins 3,600
Total cash and cash equivalents = $31,100
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Correct Question:
Specter Co. combines cash and cash equivalents on the balance sheet. Using the following information, determine the amount reported on the year-end balance sheet for cash and cash equivalents. $16,000 cash deposit in checking account. $46,000 bond investment is due in 20 years. $11,500 U.S. Treasury bill due in 1 month. $850, 3-year loan to an employee. $3,600 of currency and coins. $1,150 of accounts receivable.
stock a has a dividend yield of 8% but no capital gain. stock b offers a capital gain but no dividend. if a corporate investor in the 21% tax bracket earns the same after-tax return from the two stocks, what capital gain does b offer?
If a corporate investor in the 21% tax bracket earns the same after-tax return from the two stocks, the capital gain does B offer is 10.12%
Capital gain from B = 8/(1 - 0.21) = 10.12%
The increase in a capital asset's value upon sale is referred to as a capital gain. A capital gain happens, to put it simply, when you sell an asset for more money than you paid for it.Almost any kind of asset you possess is a capital asset, whether it was bought for personal use or as an investment (such as a stock, bond, or piece of real estate).When an asset is sold, capital gains are realized by deducting the purchase price from the sale price. In some cases, the Internal Revenue Service (IRS) levies a capital gains tax on individuals.Learn more about Capital gain, here
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presented below is a partial amortization schedule for discount pizza. (1) period (2) cash paid for interest (3) interest expense (4) increase in carrying value (5) carrying value issue date $46,591 1 $1,785 $1,864 $79 46,670 2 1,785 1,867 82 46,752 required: 1.
Amortization refers to the process of evenly spreading out a loan's payments over the length of the mortgage term.
With partial amortization, a component of the debt is paid with regular monthly payments; then, a "balloon payment"—a massive lump sum—is made on the mortgage maturity date.
What are the three kinds of amortization?Similar to what obtains for the depreciation of tangible assets, there are three essential techniques of amortization: the straight-line method, the accelerated method, and the units-of-production method.
If you pick a shorter amortization period—for example, 15 years—you will have higher monthly payments, but you will additionally retailer drastically on activity over the life of the loan, and you will own your domestic sooner.
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https://brainly.com/question/16290575#SPJ4true or false: the imf no longer has the financial leverage to act aggressively in times of global financial crisis.
This is false that the IMF no longer has the financial leverage to act aggressively in times of global financial crisis.
The IMF has three detracting responsibilities: furthering worldwide financial cooperation, bright the growth of work and economic progress, and upsetting policies that would harm affluence. The IMF helps appendage nations facing a financial catastrophe by offering loans, mechanics help, and surveillance of financial policies.
A financial crisis is one of a broad variety of positions at which point some monetary property unexpectedly loses an abundant constituent of its nominal value. In the 19th and early 20th a period of time, many economic disasters were associated with investment panics, and many recessions coexisted with these panics.
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which of the following best describes aggregate supply? a schedule showing the relationship between inputs and outputs a schedule indicating the level of real output that will be purchased at each possible price level a schedule showing the trade-off between inflation and unemployment a schedule indicating the level of real output that will be produced at each possible price level. the amount buyers plan to spend on output
Aggregate Supply is the total extent of all items and services produced in an financial system at all feasible rate ranges at a given time.
The aggregate grant curve shows real output provided at every charge level. This capability it suggests the level of real output that will be produced at every viable rate level.
What is an instance of combination supply?For example, a new technological improvement in automation may additionally enable a association to produce greater of a true or provider by way of lowering the cost of labor. Conversely, an enlarge in minimum wage should enlarge the value of labor and, as a result, whole manufacturing prices for some suppliers decreasing mixture supply.
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https://brainly.com/question/11889136#SPJ4How much of the stuff bought in the madness gets returned shortly after?
Usually, people will buy 2 or 3 products that function almost the same; after that, they will be returned goods that don't match what they want.
Return of goods can be done in accordance with the terms and a predetermined period of time. In addition, there must be proof of purchase.
Sales returns are receipts of goods by the seller that are returned from the buyer. With a return policy, every item that has been purchased can be returned to the store that sold it as long as it is within the specified time and money equal to the price of the item will be returned.
Reasons for consumers returning goods are generally because they do not fit the size (for example clothing, mattresses, shoes, and others), do not meet expectations or there are similar items that are more attractive and more useful.
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Breanna completed her lease term, and decided to turn the car in instead of purchasing it. Upon inspection, the dealership noted that the windshield was cracked. What fee will breanna be required to pay as a result?.
Lease penalty will be Breanna be required to pay as a result.
Lease penalty :When you return your car at the conclusion of your lease, you may be assessed a penalty known as a lease penalty. This may be due to excessive mileage (going above the established annual mileage cap) or damage to the car's exterior or interior. This means that Breanna will be charged a cost as a result of the windshield damage, which is a lease penalty. There are several situations when you can avoid paying your lease penalty, however they are uncommon. These contain:
a medical need
Active duty or military deployment
motives pertaining to personal protection
Failure of the owner to fulfil their obligations.
The simplest way to avoid paying a lease penalty is to simply finish the entire.
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which of the following is not an example of an internal force for change? multiple choice employee dissatisfaction negative feedback from customers change of ceo excessive conflict between managers and the board of directors high absenteeism
A) Customers' unfavorable reviews are not an example of an internal force for change.
What does internal change force entail?An organization may change because someone on the inside believes a new method of doing things will be advantageous or even vital, in addition to responding to or anticipating changes on the outside.
Change-related pressures within an organization are typically identified as signs that something needs to change. As follows, these internal forces are covered:
Personnel changes in managementdecreasing efficiencyChanges in the WorkplaceInadequacies in the Current SystemCrisisExpectations for employeesOrganizational change is necessary for light of all these influences. In addition to these factors, a business that recruits a group of young immigrants can encounter expectations that are very different from those of older employees.
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Review each of the investment opportunities provided by Earll Investments and Pima Financial Trading. In a three paragraph essay (a minimum of 4-5 sentences), write an analysis of these opportunities that answers the following questions.
Based on the evidence available to you, which investment opportunity is more likely to be fraudulent? What are the true risks of investment with this company, and does the company accurately describe these risks? What are the potential returns on an investment, and does the company accurately describe these returns?
Every investment has associated risks and hazards. There is always some element of risk involved with undertaking any venture, whether it be with regard to real estate, stocks, goods, joint assets, or anything else.
CDs, high-yield savings accounts, money market accounts, government bonds, and Treasury bills are typical examples of short-term investments. Although returns on short-term investments are frequently lower, they are relatively liquid and give investors the flexibility to quickly withdraw money if necessary.
Additionally, they do indicate the risk element while marking the agreement of speculation, which is frequently ignored by the financial specialist at the time of marking the agreement.
Company risk, market risk, liquidity risk, volatility risk, and opportunity cost are the main risks associated with investing.
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Which of the following would be an example of a referendum?
a. A vote on who will serve on the Los Angeles city council.
b. A vote on whether recreational marijuana usage should be legalized in the state of California.
c. A vote on whether the governor of the state of Wisconsin should be recalled from office.
d. A vote on whether to overturn a law passed by the New York state legislature and signed by the governor of New York that imposes higher taxes on wealthy residents
The example of a referendum is , A vote on whether to overturn a law passed by the New York state legislature and signed by the governor of New York that imposes higher taxes on wealthy residents
A referendum is a direct vote by the electorate on a proposal, law, or political problem (PL: referendums or referenda). This is in contrast to a representative voting on a matter Anything that has been put up for a vote by the General Assembly, a local government, or a voter petition in accordance with the law is referred to a referendum. Bond issues and constitutional amendments are both subject to referendums. Referendum refers to a vote in which citizens of a state or nation support or oppose a law that addresses a particular issue.
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derrick's father is planning to open a savings account to pay for derrick's college education. he has found a bank that will pay 11 percent interest compounded quarterly. how much will he need to deposit initially so that in 9 years the balance will be $118,000? round your answer to the nearest cent.
The principal investment required to get a total amount of $118,000.00 from compound interest at a rate of 11% per year compounded 4 times per year over 9 years is $44,436.12.
Give a brief account on compound interest :The initial loan amount or the amount in your bank account are used to calculate simple interest. You refer to this as your "primary." Simple interest is charged at a fixed rate, thus it won't change throughout the course of the loan or account.
However, compound interest is calculated using both your principal and your cumulative interest. This rate is erratic and subject to change. In essence, interest is paid on top of interest.
Depending on whether you're borrowing money or saving it, compound interest can either work in your favour or against you. In the section below, we go over the potential costs and gains of compound interest.
To solve the question :
First, convert R as a percent to r as a decimal
r = R/100
r = 11/100
r = 0.11 per year,
Then, solve the equation for P
P = [tex]A / (1 + r/n)^{nt}[/tex]
P = 118,000.00 / [tex](1 + 0.11/4)^{36}[/tex]
P = 118,000.00 / [tex](1 + 0.0275)^{36}[/tex]
P = $44,436.12
Hence, the principal will be $44,436.12
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what is the present value of $12,150 to be received 2 years from today if the discount rate is 6 percent?
$10,813.46 is the value at the moment.
The value of a sum of money today is known as its present value.
What is present value?The ability for investors to compare values across time makes present value crucial. PV can assist investors in evaluating the potential financial gains from present assets or liabilities. utilized in fields such as financial modeling and stock valuation,PV = FV/(1 + I n, where PV = present value, FV = future value, I = decimalized interest rate, and n = number of periods, is the formula for calculating present value.When substituting values in an equation, PV = FV/(1 + I n FV = $12150 I = 6 n = 2 and the present value is $10,813.46.Future value is the value of the future cash flow after a specific amount of time has passed in the future, whereas Present value is the current worth of the future cash flow. Inflation is considered when determining present value.To learn more about present value refer to:
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determine which of the following expenses are considered revenue expenditures related to a company vehicle. (check all that apply.) multiple select question. car wash dent repair oil change installation of special equipment engine overhaul
The expenses that are considered revenue expenditures related to a company vehicle are: Car wash, Dent repair, Oil change.
What is revenue expenditure?Revenue expenditures can be defined as those expenditures or expenses that are incurred by companies within a year.
This expenditures are known as operating cost which implies that they are the costs a company must incurred to run their business. Based on this oil change, repair and car wash are operating cost or revenue expenditure.
Therefore the correct option is A, B, C.
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assume that the economy is in a mild recession, and as a result interest rates and money costs generally are relatively low. the wacc for two mutually exclusive projects that are being considered is 8%. project s has an irr of 20% while project l's irr is 15%. the projects have the same npv at the 8% current wacc. however, you believe that the economy is about to recover, and money costs and thus your wacc will also increase. you also think that the projects will not be funded until the wacc has increased, and their cash flows will not be affected by the change in economic conditions. under these conditions, which of the following statements is correct?
Assuming that the economy is in a mild recession, and as result interest rates and money costs generally are relatively low, You should recommend Project S, because at the new WACC it will have a higher NPV.
A region's economy is its capacity for the creation, exchange, and consumption of goods and services. Generally speaking, it is described as a social domain that places an emphasis on the practices, discourses, and material expressions connected with the production, A system of interconnected production and consumption activities makes up an economy, and these activities ultimately decide how resources are distributed within a society. A cost is the value of money that has been expended in the production or delivery of a good or service and is therefore no longer available for use in accounting, retail, research, or accounting. In business, the cost may be one of acquisition, in which case the cost is the sum of the money used to acquire it.
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The government collects tax revenue of $100 million and has $105 million in outlays. The budget balance is a.
The budget balance is deficit of $5 million.
What is a budget balance?The broad difference between government revenues and expenditures is known as the government budget balance, also known as the general government balance, public budget balance, or public fiscal balance. A government budget surplus is referred to as such, whereas a deficit is referred to as such. A government budget is a financial statement outlining the proposed income and expenditures for the government for a certain fiscal year. Public social security obligations are taken into account while creating a budget for each level of government, from the federal to the municipal. The primary balance and interest payments on the total amount of government debt are the two components that make up the government budget balance; adding the two results in the budget balance.
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which event triggers a deferrred annuity to start making a benefit payments to the annuitant
When the contract is annuitized it triggers a deferred annuity to start making a benefit payments to the annuitant.
With a deferred annuity, an insurance provider agrees to pay the owner a regular income or a lump payment at a later time. Deferred annuities are frequently used by investors to supplement their Social Security benefits and other retirement income.
The most typical illustration of a deferred annuity is a retirement account for an investor who isn't quite ready to retire. The withdrawals (payments) are postponed till retirement. The fund makes interest while this is happening. Even when the investor takes money out of the fund, it still earns interest.
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