Answer:
22.13%
Explanation:
The effective annual rate formula below can be used to determine the actual rate charged by the bank as follows:
Effective annual rate=(1+APR/n)^n-1
APR=20%
n=number of times interest is computed yearly=365
Effective annual rate=(1+20%/365)^365-1
Effective annual rate=1.221335858
-1
Effective annual rate=22.13%
The actual rate of interest on bank loan is 22.13%
Answer:
option (D) TC = $1,000 + $100q
Explanation:
Data provided in the question:
Fixed cost of production = $1,000
Marginal cost of production = $100 per unit produced
Now,
let the total number of quantities produced be 'q'
also,
the total cost is given as:
⇒ Total cost, TC = Total fixed cost + Total marginal cost
or
⇒ TC = $1,000 + ( $100 × q )
or
⇒ TC = $1,000 + $100q
Hence,
The correct answer is option (D) TC = $1,000 + $100q
Answer:
$1,083
Explanation:
Given that,
Cost of providing perpetual care service for grave sites = $130 per year
Interest rate = 12 percent
Therefore, the one-time fee the owner should charge:
= Cost of providing perpetual care service for grave sites ÷ Interest rate
= $130 ÷ 0.12
= $1,083.33 or $1,083
Hence, the one-time fee should the owner charge for the perpetual care service is $1,083.
Answer:
0.4629%
Explanation:
Given:
Duration of fixed assets (D) = 5 year
Interest rate (r) = 8% = 8/100 = 0.08
Decrease in Interest rate point(ΔY) = 10 basis = 10/100 = 0.01%
Computation:
D* = D / (1 + r)
D* = 5 / (1 + 0.08)
D* = 5 / 1.08
D* = 4.6296
Computation:
ΔP/P = D* × ΔY
= 4.6296 × 0.01%
= 0.4629%
Therefore, Price of the assets go up to 0.4629%.
Answer:
because it can give you a good idea of how much you'll pay to take out a loan.
Explanation:
