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MatroZZZ [7]
2 years ago
14

If Anna buys a car for $18,000 with a down payment of $2,000 and is given a 3-year loan with an APR of 5 percent and monthly pay

ments of $480, what is the dollar amount of the finance charge on this loan
Business
1 answer:
Y_Kistochka [10]2 years ago
6 0

Based on the amount that Anna bought the car and the down payment, the dollar finance charge on the loan is $1,280.

<h3>What is the dollar finance charge for Anna's loan?</h3>

This can be found as:

= (Monthly payment x 3 years x 12 months per year) - (Car price - Down payment)

Solving gives:

= (480 x 3 x 12) - (18,000 - 2,000)

= 17,280 - 16,000

= $1,280

Find out more on finance charges at brainly.com/question/3436429.

#SPJ1

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The statement above is FALSE, Reliable Copy Product is not an example of a mechanistic organization. A mechanistic organization is a type of organization in which the authority is highly centralized, observation of formalized procedures and practices are highly prioritized and specialized functions are assigned.
3 0
3 years ago
The cost of capital of a company that uses 45 percent debt that has an after-tax cost of debt of 10 percent and 55 percent equit
zimovet [89]

Answer:

12.75 %

Explanation:

Cost of Capital is calculated on a Weighted Average basis. This is because there is a Pooling of Funds when it comes to financing projects. So Cost of Capital is the Return that is Required by providers of Long Term source of finance.

Cost of Capital = E/V × Ke + D/V × Kd

Where,

E/V = Market Weight of Equity

      = 0.55

Ke = Cost of Equity

    = 15%

D/E = Market Weight of Debt

      = 0.45

Kd = Cost of Debt

     = 10%

Therefore,

Cost of Capital = 0.55 × 15% +  0.45 × 10%

                         = 12.75 %

4 0
3 years ago
Brownley Company has two service departments and two operating (production) departments. The Payroll Department services all thr
Fittoniya [83]

Answer:

d. $29,580.

Explanation:

Note: The data in the question are merged together and they are first sorted and separated as given in the attached file before the question is answered.

Cost individually incurred by Maintenance = $25,500

Share of Payroll Department cost = $20,400 * (15/75) = $4,080

Total Maintenance Cost = $25,500 + $4,080 = $29,580.

Therefore, he total cost of operating the Maintenance Department for the current period is d. $29,580.

Download pdf
7 0
3 years ago
1. A small-scale businessman deposits money at the beginning of each year into his savings account, depending on the level of th
quester [9]

Answer:

The value of the investment at the time of his first deposit is $1,000.

At the end of the first year, the investment will be worth $1,070.

Explanation:

The value of a deposit investment is determined by the interest rate and time.  Time affects the value of an investment by this small-scale businessman in many ways.  The passage of time increases the value of his investment.  However, the total increase may not be due to the interest rate, but inflation also affects asset's value.  For this businessman to make a gain in the investment, the interest rate must be higher than the inflation rate.  Otherwise, the investment loses money due to the effects of inflation, which reduces the real value of an asset over time.

7 0
3 years ago
Altogether the national, state, and local governments of the United States spend about a __________ of our gross domestic produc
stealth61 [152]

Answer:

According to the OECD the total expenditure of the US government, including state and local is about a 38% of the GDP.

Explanation:

The federal government expends almost the 55% of the total and the remaining 45% the state and local government.

5 0
3 years ago
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