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Elis [28]
1 year ago
15

When one commercial bank borrows from another commercial bank, it pays the __________ rate.

Business
1 answer:
Len [333]1 year ago
4 0

When one commercial bank borrows from another commercial bank, it pays the discount rate.

The one place where a bank can get reserves is by borrowing from a commercial bank. As whenever a person or a business firm or an organization borrows, they should pay interest and a bank that borrows from a commercial firm must pay interest to them too. The interest that the commercial bank charges to banks that borrow from them is called the discount rate.

The term discount rate is used when looking at a certain amount of money to be received in the future years and calculating the present value now. The word “discount” means the amount to be deducted. A discount rate is a typical rate that is deducted from a future quantity of money to provide its present value to money seekers.

The cash flows of investments or business ventures when at the time of discount, it is important to note whether the discount rates used can be varied depending on particular different elements. So, discount rates are paid to compensate the borrower bank to the lender bank during transactions.

Learn to know more about details of discount rates on

brainly.com/question/989075

#SPJ4

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As you move through your career and begin to seek promotions, it is helpful to ______. A. Target and train for specific career p
marishachu [46]

As you advance and seek promotions in your career, you should continue to show commitment to always doing your job in the same way no matter what.

Career refers to a job that a person decides to undertake for a significantly long period of a person's life. A career may lead a person to hold several different but related jobs as he/she continues to advance in a career.

As you move through your career and begin to seek promotions, it is helpful to show commitment to always doing your job in the same way no matter what.

Learn more: brainly.com/question/1763858

4 0
2 years ago
Zeta Co. reported sales revenue of $4,600,000 in its Income Statement for the year ended December 31, 20X1. Additional informati
Black_prince [1.1K]

Answer:

Zeta would have reported 20X1 sales of $4,280,000.

Explanation:

Note: the additional information in the question is correctly represented before answering the question as follows:

                                                                 12/31/X0              12/31/X1

Accounts receivable                              $1,000,000         $1,300,000

Allowance for uncollectible accounts      (60,000)             (110,000)

The explanation of the answer is now given as follows:

Since sales is equal to cash collections under the cash basis of accounting,  cash collected on accounts receivable can therefore be calculated as follows:

Ending balance = Beginning balance + Sales − Collections − Write-offs ......... (1)

Where;

Ending balance = $1,300,000

Beginning balance = $1,000,000

Sales = $4,600,000

Collections = ?

Write-offs = $20,000

Substituting the values into equation (1) and solve for collections, we have:

$1,300,000 = $1,000,000 + $4,600,000 − Collections − $20,000

Collections = $1,000,000 + $4,600,000 − $20,000 - $1,300,000

Collections = $4,280,000

Therefore, Zeta would have reported 20X1 sales of $4,280,000.

7 0
2 years ago
. Terry purchases an annuity with payments made at the beginning of each month for 36 payments. The monthly payments are a const
lara31 [8.8K]

Answer:

The present value of the annuity is $ 825.02  

Explanation:

The present value of the annuity is the today's worth of the thirty annuity payments.

Each of the annuity payment is multiplied by its discount factor,for instance the discount factor for the first payment is computed thus

=$15*(1/(1+6%/12)^1=$14.93

The 6% interest rate is divided by 12 months to show a monthly rate of return find attached.

Download xlsx
4 0
2 years ago
Ivanhoe Company reports the following operating results for the month of August: sales $392,000 (units 4,900), variable costs $2
Norma-Jean [14]

Answer:

The best course of action is to increase the selling price by 10%.

Explanation:

Giving the following information:

sales $392,000 (units 4,900)

variable costs (247,000)

fixed costs (96,000)

Current net income= 49,000

<u>First, we need to calculate the unitary selling price and variable cost:</u>

Selling price= 392,000 / 4,900= $80

Unitary variable cost= 247,000 / 4,900= $50.41

<u>Now, we will calculate the impact on net income of each variation:</u>

Increasing selling price by 10%:

Selling price= 80*1.1= $88

Effect on income= 8*4,900= $39,200 increase

<u>Reduce variable costs to 57% of sales.</u>

Unitary variable cost= 80*0.57= $45.6

Effect on income= (50.41 - 45.6)*4,900= $23,569 increase

<u>Reduce fixed costs by $22,000.</u>

Effect on income= $22,000 increase

6 0
3 years ago
Emotional intelligence (ei) is critical to effective leadership because one of its core components is ________, which reflects t
Lorico [155]
The core component that is critical to effective leadership in the emotional intelligence is empathy. Empathy is where an individual engages understanding towards the feelings of others in which is considered critical as leaders will be more understanding and emotional when exposed to situations.
3 0
3 years ago
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