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Ugo [173]
3 years ago
9

First National Bank charges 11.1 percent compounded monthly on its business loans. First United Bank charges 11.3 percent compou

nded semiannually. Calculate the EAR for each bank. (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.)
Business
1 answer:
Ronch [10]3 years ago
6 0

Answer:

First National Bank's EAR is 11.68%

First United Bank's EAR is 11.62%

Explanation:

Effective annual rate=(1+APR/m)^m-1

APR is the  annual rates given in the question as 11.1% and 11.3%

m is the number of times in the year that compounding is done, for instance, it is 12 for monthly compounding and 2 for semiannual compounding

First National Bank's EAR=(1+11.1%/12)^12-1=11.68%

First United Bank's EAR=(1+11.3%/2)^2-1=11.62%

The EAR for First National Bank is higher

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Consumer electronics is an example of a product developed in which variant of the generic product development process?
Elza [17]

Answer:

<u>Platform products</u>

Explanation:

Platform product refer to those products whose design is used as a basis or serve as a platform in designing subsequent similar products. For example, all electronics work on some similar principles.

For instance, a refrigerator or an air conditioner, both utilize a compressor for cooling.

Consumer electronics are characterized under platform products since electronics include whole family of products which use electricity for working. A music system or a television, both run on electricity and share some common operating principles.

8 0
3 years ago
Cooper Company has a direct materials standard of 2 gallons of input at a cost of $12.50 per gallon. During July, Cooper Company
babymother [125]

Answer:

3,220 units

Explanation:

The computation of the material quantity variance is shown below:

Direct material quantity variance = Standard Price × (Standard Quantity - Actual Quantity)

$750 = 2 gallons × $12.50 × (6,500 gallons ÷ 2 - actual quantity)

$750 = $25  × (6,500 gallons ÷ 2 - actual quantity)

$30 = 3,250 - actual quantity

So, the actual quantity would be

= 3,250 - $30

= 3,220 units

The Standard Price is computed below:

= 2 gallons × $12.50

The standard quantity is computed below:

= 6,500 gallons ÷ 2

= 3,250 units

5 0
3 years ago
Luna Manufacturing uses a process costing-system. Luna uses the weighted average method . The following information pertains to
Goshia [24]

Answer:

conversion cost per equivalent unit: 10.47

Explanation:

Luna uses the weighted average method:

complete units + equivalent units ending WIP

Completed  during the period  187,000

ending WIP      197,000 x 30% =<u> 59,100‬ </u>

       Equivalent units                 246,100‬

cost: beginning invenotry + added during the period

165,600 + 2,410,800 = 2,576,400‬

cost per equivalent unit: cost / equivalent untis

2,576,400 / 246,100 = 10,4689 = 10.47

3 0
3 years ago
Britney, a teenager, starts her own business of selling cupcakes to coffee shops and restaurants. she strives to increase either
Orlov [11]

What the case in the question describes in terms of what Britney’s pricing objective is called sales-orientation. Sales-orientation means that <u>the business approach is to make profit by focusing on persuading people to buy their products instead of understanding what the customer actually requires. </u>

The contrast to this approach is called <em>market orientation</em>, where the business seeks to understand what the customer wants and needs and believe that the answer to this would mean increased profits and revenue for the company.

4 0
3 years ago
AV City stocks and sells a particular brand of laptop. It costs the firm $625 each time it places an order with the manufacturer
Sphinxa [80]

Answer:

Please consider the explanation below

Explanation:

a.Optimal order quantity per order = √2CO / I

= √[2*1500Units*625 ]/ (130)

=√1875000/130

=120 units per order

b.Minimum total annual inventory costs

Annually orders = 1500 / 120

= 12.5 times

Ordering cost = 12.5*625 = $7812

carrying cost = 120 units *$130 = $15600

Total annual inventory cost = $23412

c.The number of orders per year

= Annual denand / Optimum oder

= 15000 U / 120

= 12.5 times

• d.The time between orders (in working days)

= 364 / 12.5 (considered one leave)

= 29.12 days

=29 days

4 0
3 years ago
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