Homework Answers
Discount Rate for 120 days = 5.5% * 120 / 365
= 1.81%
= Amount to be Requested / [ 1 - Discount Rate ]
= 20000 / [ 1 - 0.0181 ]
= 20000 / 0.9819
= $ 20,368.67
If he discount a note of $ 20,368.67, he will get $ 20000.
Add Answer to:
Shelley Ann needs $20,000 for renovations in her salon. Concord Bank offered her a 5.5% 120-...
3. You want to buy a car, and a local bank will lend you $20,000. The...
3. You want to buy a car, and a local bank will lend you $20,000. The loan would be fully amortized over 3 years (36 months), and the nominal interest rate would be 12%, with interest paid monthly. What is the monthly loan payment? Round your answer to the nearest cent. $ What is the loan's EFF%? Round your answer to two decimal places. % 4. Find the present values of the following cash flow streams. The appropriate interest rate...
Harper Engine Company needs $634,000 to take a cash discount of 2.50/20, net 120. A banker...
Harper Engine Company needs $634,000 to take a cash discount of 2.50/20, net 120. A banker will loan the money for 100 days at an interest cost of $14,700. a. What is the effective rate on the bank loan? (Use a 360-day year. Do not round intermediate calculations. Input your answer as a percent rounded to 2 decimal places.) Effective rate of interest b. How much would it cost (in percentage terms) if Harper did not take the cash discount...
At age 19, Tessa Trainor is in the middle of her second year of studies at...
At age 19, Tessa Trainor is in the middle of her second year of studies at a community college in Savannah. She has done well in her course work; majoring in pre-business studies, she currently has a 3.75 grade point average. Tessa lives at home and works part-time as a filing clerk for a nearby electronics distributor. Her parents can't afford to pay any of her tuition and college expenses, so she's virtually on her own as far as college...
Fleda's Beauty Company has $200,000 of total assets and earns 20 percent interest and taxes on...
Fleda's Beauty Company has $200,000 of total assets and earns 20 percent interest and taxes on these assets. The ratio of total debts to total assets (or DR been set at 50 percent. The interest rate on short-term debt is 7 percent, while the interest rate on long-term debt is 10 percent. A conservative policy calls for only long-term debt with no short-term debt; an intermediate policy calls for 50 percent short-term debt and 50 percent long-term debt; and an...
Payable: Use the t-accts below to record the following entries. If you get stuck, carefully revie...
Payable: Use the t-accts below to record the following entries. If you get stuck, carefully review the online and text examples. On September 1t, Geo Inc. borrows $2,400 from State Bank and signs a 10 month short-term note payable. The interest rate on the note is 7%. Even though the note is only for 10 months, the interest rate is an annual rate (see interest calculations below). a) Record the entry to borrow the money from the bank. b) Next,...
this is all the information given Personal Financial Planning Mini-Case Jeff and Mary Douglas, a couple...
this is all the information given
Personal Financial Planning Mini-Case Jeff and Mary Douglas, a couple in their mid-30s, have two children - Paul age 6 and Marcy age 7. The Douglas' do not have substantial assets and have not yet reached their peak earning years. Jeff is a general manager of a jewelry manufacturer in Providence, RI while Mary teaches at the local elementary school in the town of Tiverton, RI. The family needs both incomes to meet their...
And there was a buy-sell arrangement which laid out the conditions under which either shareholder could...
And there was a buy-sell arrangement which laid out the
conditions under which either shareholder could buy out the other.
Paul knew that this offer would strengthen his financial
picture…but did he really want a partner?It was going to be a long
night.
read the case study above and answer this question
what would you do if you were Paul with regards to financing,
and why?
ntroductloh Paul McTaggart sat at his desk. Behind him, the computer screen flickered with...
Mini Case Building Shared Services at RR Communications4 4 Smith, H. A., and J. D. McKeen....
Mini Case Building Shared Services at RR Communications4 4 Smith, H. A., and J. D. McKeen. “Shared Services at RR Communications.” #1-L07-1-002, Queen’s School of Business, September 2007. Reproduced by permission of Queen’s University, School of Business, Kingston, Ontario, Canada. Vince Patton had been waiting years for this day. He pulled the papers together in front of him and scanned the small conference room. “You’re fired,” he said to the four divisional CIOs sitting at the table. They looked nervously...
Mini Case Building Shared Services at RR Communications4 4 Smith, H. A., and J. D. McKeen....
Mini Case Building Shared Services at RR Communications4 4 Smith, H. A., and J. D. McKeen. “Shared Services at RR Communications.” #1-L07-1-002, Queen’s School of Business, September 2007. Reproduced by permission of Queen’s University, School of Business, Kingston, Ontario, Canada. Vince Patton had been waiting years for this day. He pulled the papers together in front of him and scanned the small conference room. “You’re fired,” he said to the four divisional CIOs sitting at the table. They looked nervously...
Read about Cokes strategy in Africa in the article below and discuss the ethics of selling...
Read about Cokes strategy in Africa in the article below and discuss the ethics of selling soft drinks to very poor people. Is this an issue that a company like Coke should consider? Africa: Coke's Last Frontier Sales are flat in developed countries. For Coke to keep growing, Africa is it By Duane Stanford Piles of trash are burning outside the Mamakamau Shop in Uthiru, a suburb of Nairobi, Kenya. Sewage trickles by in an open trench. Across the street,...
Harper Engine Company needs $634,000 to take a cash discount of 2.50/20, net 120. A banker will loan the money for 100 days at an interest cost of $14,700. a. What is the effective rate on the bank loan? (Use a 360-day year. Do not round intermediate calculations. Input your answer as a percent rounded to 2 decimal places.) Effective rate of interest b. How much would it cost (in percentage terms) if Harper did not take the cash discount...
Fleda's Beauty Company has $200,000 of total assets and earns 20 percent interest and taxes on these assets. The ratio of total debts to total assets (or DR been set at 50 percent. The interest rate on short-term debt is 7 percent, while the interest rate on long-term debt is 10 percent. A conservative policy calls for only long-term debt with no short-term debt; an intermediate policy calls for 50 percent short-term debt and 50 percent long-term debt; and an...
Payable: Use the t-accts below to record the following entries. If you get stuck, carefully review the online and text examples. On September 1t, Geo Inc. borrows $2,400 from State Bank and signs a 10 month short-term note payable. The interest rate on the note is 7%. Even though the note is only for 10 months, the interest rate is an annual rate (see interest calculations below). a) Record the entry to borrow the money from the bank. b) Next,...
this is all the information given
Personal Financial Planning Mini-Case Jeff and Mary Douglas, a couple in their mid-30s, have two children - Paul age 6 and Marcy age 7. The Douglas' do not have substantial assets and have not yet reached their peak earning years. Jeff is a general manager of a jewelry manufacturer in Providence, RI while Mary teaches at the local elementary school in the town of Tiverton, RI. The family needs both incomes to meet their...
And there was a buy-sell arrangement which laid out the
conditions under which either shareholder could buy out the other.
Paul knew that this offer would strengthen his financial
picture…but did he really want a partner?It was going to be a long
night.
read the case study above and answer this question
what would you do if you were Paul with regards to financing,
and why?
ntroductloh Paul McTaggart sat at his desk. Behind him, the computer screen flickered with...
Most questions answered within 3 hours.
-
How configuring websites to use a common NFS share could
strengthen business continuity efforts
asked 32 seconds from now -
Arrange the following aqueous solutions in order of increasing
boiling point: 0.25 m NaCl (sodium chloride)...
asked 11 seconds from now -
calculate the mass of forsterite (Mg2SiO4) that contains a
million (1.00•10^6) oxygen
asked 23 minutes ago -
A heat engine has an efficiency of 0.48. Initially,
the engine performs net work W per...
asked 12 minutes ago -
identify the effect on the financial statement on the
following senarios:
b) the clients business mainly...
asked 10 minutes ago -
Whenever two Apollo astronauts were on the surface of the Moon,
a third astronaut orbited the...
asked 20 minutes ago -
Suppose that Marriott’s production process is characterized by
constant returns to scale at all output levels....
asked 20 minutes ago -
If a customer places a buy order for one millisecond only on an
electronic limit order...
asked 28 minutes ago -
An aqueous solution of perchloric acid is
standardized by titration with a 0.101 M solution
of...
asked 37 minutes ago -
Huckster Corporation purchased land on January 1, 20X1, for
$24,000. On June 10, 20X4, it sold...
asked 34 minutes ago -
A 2400-kg airplane pulls two gliders, the first of mass 330 kg
and the second of...
asked 46 minutes ago -
When I have a regression equation such as Y = beta 0 + beta 1 X...
asked 50 minutes ago