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soldi70 [24.7K]
3 years ago
8

2. The Jasmine Tea Company purchased merchandise from a supplier for $43,338. Payment was a noninterest-bearing note requiring J

asmine to make six annual payments of $8,000 beginning one year from the date of purchase. What is the interest rate implicit in this agreement
Business
1 answer:
cestrela7 [59]3 years ago
4 0

Answer:

3%

Explanation:

Given the following :

Purchased merchandise = $43,338

Number of payments required = 6

Payment per period = $8,000

PV factor (PVIFA) = (purchased merchandise / payment per period)

PVIFA = (43,338 / 8000) = 5.41725

Using the PVIFA table, we locate the interest rate on PVIFA factor of 5.41725 for a period of 6 years.

For PVIFA of 5.4172, the interest rate is 3%

Hence the implicit Interest t rate = 3%

PVIFA = [1 - (1+r)^-n] ÷ r

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This year Barney purchased 680 shares of bell com stock for $11.00 per share. At year-end the bell shares were only worth $2.20
Damm [24]
Purchased shares = 680 shares * $11.00 ($7,480)
Year-end shares worth = 680 shares * $2.20 ($1,496)
Loss of shares = $7,480 - $1,496 ($5,984)

OR

Loss in shares price= $11.00 - $2.20 ($8.80)
Loss of shares = 680 shares * $8.80 ($5,984)

Barney can deduct $5,984 as the amount of loss of this year.
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3 years ago
Is it legal to kill a killer? For instance, if someone threatens to kill you, points a gun at you, or shoots/kill your friend, i
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It is legal to kill someone under self defense if that person poses an immediate and lethal threat to you or someone else, but not if that person only threatens to kill you or someone. Although the law varies from state to state, you can sometimes kill someone just for being on or stealing your property. You cannot kill someone if they did pose a threat but are no longer posing a threat. 
7 0
4 years ago
Read 2 more answers
If marginal product is 4 units and average product is 8 units, the next worker will cause(A) marginal product to increase.(B) av
Daniel [21]

Answer:

(D) marginal product to increase by 2 units and average product to decrease by 2 units.

Explanation:

When there will be an addition in number of workers then the marginal product that is additional units for each additional worker will increase.

But, at the same time as for calculating the average the units will decrease with the same proportion.

This is because with extra number of workers the denominator for average product will also increase and ultimately.

In the curve the marginal and average product are same level for equilibrium.

Thus, option D is correct.

3 0
3 years ago
The replacement cost of an inventory item is below the net realizable value and above the net realizable value less the normal p
Andrews [41]

Answer:

D. Replacement cost.

Explanation:

As we know that the inventory should be recorded at the cost or market value whichever is lower

Given that

Original cost is less than the net realizable value subtract the profit margin

So we assume the following figures

Original cost $10

Net realizable value 9

Replacement cost 8

NRV less normal profit margin 7

As if we compare the original cost and replacement cost so the lower value is of replacement cost

hence, the same is to be considered

Therefore the correct option is D.

4 0
3 years ago
Blanchard Company manufactures a single product that sells for $190 per unit and whose total variable costs are $150 per unit. T
iVinArrow [24]

Answer:

The amounts of pretax and after-tax income can the company expect to earn from these predicted changes are $1,795,000  and $1,436,000  respectively.

Explanation:

The sales less the variable cost gives the contribution margin.

The contribution margin less the fixed cost gives the net operating income.  Furthermore, net income is the difference between the total sales and the total costs (fixed and variable).

Both sales and variable cost are dependent on the number of units sold.

with these expected changes,

Pretax Income

= 40,500($205 - $145) - $635,000

= $1,795,000

After tax income

= 80% * $1,795,000

= $1,436,000

4 0
3 years ago
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