1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Georgia [21]
2 years ago
11

One advantage of a fixed interest rate over a variable rate is that a fixed rate

Business
1 answer:
koban [17]2 years ago
6 0

Fixed rates have the advantage over variable rates in that debt may be readily repaid within the allotted time. Hence, choice B

<h3>What is a fixed and variable rate?</h3>

Loans with fixed interest rates have an interest rate that will not change throughout the loan's term, regardless of changes in market interest rates. A loan with a variable interest rate is one in which the interest rate imposed on the outstanding balance changes in accordance with changes in the market interest rates.

Therefore, the benefit of fixed rate versus variable rate is that it enables speedier debt repayment.

Learn more about interest rates:

brainly.com/question/14445709

#SPJ1

You might be interested in
Alpha First Company just began business and made the following four inventory purchases in June: June 1 150 units $1040 June 10
grandymaker [24]

Answer:

a. $1508

Explanation:

June 1    150 units

June 10  200 units

June 15  200 units

June 28  150 units

Total       700 units

Out of above, only 210 units are in hand. Under LIFO method, 150 units are from 1st June and 60 units are from 10th June.

Date     Units (a)  Per unit cost (b)  Ending inventory (a*b)

June 1       150      $6.93 (1040/150)        $1.040

June 10     60       $7.8 (1560/200)          $468

Total         210                                           $1,508

So, using the LIFO inventory method, the value of the ending inventory on June 30 is $1,508

3 0
2 years ago
A small office building is purchased for $1,200,000 with a balloon mortgage that is due at the end of year 10. Payments are base
anygoal [31]

Answer:

$12,000 during the first year or $1,200 per year during 10 years  

Explanation:

The IRS considers mortgage points as interest paid in advance, and generally individuals and small businesses will deduct them entirely during the current year. But the taxpayer can choose to deduct that amount ratably over the life of the loan (in this case 10 years). Of course most people chooses to deduct them completely during the first year because the IRS doesn't recognize any interest.

7 0
2 years ago
Workers and firms often enter into contracts that fix prices or wages, sometimes for years at a time. If the price level turns o
GalinKa [24]

Answer: Contract are mostly prevalent in the Union jobs which are the jobs in which employees are represented by an organizations which act as an intermediary between the employees and their employers.

This is done in order to ensure that employees are protected from future inevitable inflation that may come unexpectedly as it usually does.

3 0
3 years ago
g A company issues a ten-year bond at par with a coupon rate of 6.5% paid semi-annually. The YTM at the beginning of the third y
Lorico [155]

Answer:

$880.31

Explanation:

Here for computing the new price of the bond we use the present value formula i.e. to be shown in the attachment

Given that,  

Assuming Future value = $1,000

Rate of interest = 8.6%  ÷ 2 = 4.3%

NPER = 8 years  × 2 = 16

PMT = $1,000 × 6.5% ÷  2 = $32.50

The formula is shown below:

= -PV(Rate;NPER;PMT;FV;type)

So, after applying the above formula, the new price of the bond is $880.31

4 0
3 years ago
The Federal Reserve bank acts as banker to both the United States and various international banks true or false
USPshnik [31]
That's not true at all, so it'll be False
7 0
3 years ago
Read 2 more answers
Other questions:
  • The following information relating to a company's overhead costs is available. Col1 = Actual total variable overhead, Actual tot
    6·1 answer
  • The Landry Company has developed standards for labor. During June, 69 units were scheduled and 100 were produced. Data related t
    10·1 answer
  • The supreme court decision that struck down the quota system was
    11·1 answer
  • Larson Manufacturing is considering purchasing a new injectionmolding machine for $250,000 to expand its production capacity. It
    11·1 answer
  • People who are part of the project team need to understand project management because they Multiple Choice Need to understand th
    7·1 answer
  • On August 1, 2014, Amherst Company reacquired 4,000 shares of its $15 par value common stock for $18 per share. Amherst uses the
    12·1 answer
  • Home Building Inc. (HBI) seeks to schedule manual labor for 18 new homes being constructed. Historical data leads HBI to apply a
    12·1 answer
  • Hello Anyone In The World?? :(
    13·2 answers
  • Assuming digby’s current market share for its dell product remains the same, how many units of dell should digby expect to sell
    9·1 answer
  • Bank a has total deposits of $125 million and total reserves of $26 million. the required reserve ratio is 15 percent. the bank
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!