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kirill [66]
2 years ago
11

Suppose you want to borrow money from banks. You are considering

Business
1 answer:
liubo4ka [24]2 years ago
8 0

The loan I would select is loan A. This is because it has a lower effective annual rate.

<h3>Which loan would I select?</h3>

The loan I would select would be the cheaper one.  In order to determine the cheaper loan, I would calculate the effective annual rate. The effective annual rate is the actual interest rate that is paid on a loan.

Effective annual rate = (1 + APR / m ) ^m - 1

Where: M = number of compounding

Loan A = ( 1 + 0.0775/365)^365 - 1 = 8.06%

Loan B = (1 + 0.08/2)^2 - 1 = 8.16%

To learn more about the effective annual rate, please check: brainly.com/question/4064975

#SPJ1

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taneeka borrowed 12,000 for a car for 6 years at an APR of 7.25% her monthly payment will be $206.03 true or false
GalinKa [24]

Answer:

The actual monthly payment is $206.08, which is slightly higher than the value given in the question, therefore, the given statement is not true.

Step by Step Explanation:

We have been given the loan amount as $12,000, term of loan as 6 years and annual interest rate as 7.25%.

Let us first find the monthly payment for this data, and then we can compare it with the given data to answer the given question.

We know that EMI formula is given as C=\frac{P\cdot r\cdot (1+r)^{n}}{(1+r)^{n}-1}

Upon substituting the given values.

C=\frac{12000\cdot \frac{0.0725}{12}\cdot (1+\frac{0.0725}{12})^{72}}{(1+\frac{0.0725}{12})^{72}-1}\\C=\frac{12000\cdot 0.0060416666\cdot (1+0.0060416666)^{72}}{(1+0.0060416666)^{72}-1}\\C=\frac{12000\cdot 0.0060416666\cdot (1.0060416666)^{72}}{(1.0060416666)^{72}-1}\\C=206.076\\

Therefore, the monthly payment is $206.08.

8 0
3 years ago
A company with shallow product line depth and broad product line breadth would have which of the following? Select one: a. few p
LiRa [457]

Answer: A- few product lines with many items in each

Explanation: A company with shallow product line depth and broad product line breadth would have few product lines with many items in each.

This means that a shallow product line depth is a few product lines. The company has limited variety of product.

While the broad product line breadth means that the company has many items available.

3 0
3 years ago
Read 2 more answers
A company is experiencing continual delays in the shipment of its products to its customers. a pareto analysis reveals that ther
pshichka [43]
According to vifredo pareto, these three factors would be referred to as 80/20 rule. 80% of the problems come from 20% of the workers
6 0
3 years ago
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The LFH Corporation makes and sells a single product, Product T. Each unit of Product T requires 1.5 direct labor-hours at a rat
insens350 [35]

Answer:

the budgeted direct labor cost is $441,000

Explanation:

The computation of the budgeted direct labor cost is shown below:

Budgeted direct labor cost

= Budgeted production ×  hours per unit × rate per hour

= 28,000 units × 1.5 × $10.50

= $441,000

Hence, the budgeted direct labor cost is $441,000

So the correct option is B.

7 0
3 years ago
Fidelity Systems reports net income of $81 million. Included in that number is depreciation expense of $9 million, and a gain on
Lerok [7]

Answer:

$86 million

Explanation:

The computation of the net cash flows from operating activities using the indirect method is shown below:

Cash flows from operating activities

Net income $81 million

Add: depreciation expense $9 million

Less: Gain on sale of equipment -$1 million

Less: Increase in account receivable -$3 million

Less: Increase in inventory -$3 million

Add: Increase in account payable $3 million

Net cash flows from operating activities $86 million

5 0
3 years ago
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