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3 years ago

If a friend who’d never heard of amortization before asked you to explain how loan payments work, what would you say?

Business

1 answer:

Ahat [919]3 years ago

4 0

Answer:

Spreading a loan into a series of fixed payments.

Explanation:

When you ask how loan payments work, there's no better way to explain it that knowing that you will have to pay down a balance over a period of time. When you ask for a loan, you will have to spread it into a series of fixed payments (the total payment remains equal all the time) in which you will have to cover for the principal loan (the amount of money you requested) and the loan's interest (which is what the lender gets paid for the loan). This monthly payment even though it remains the same, covers for the following: the interest costs (which are at their highest at the beginning) and reducing the loan balance. As time goes on, a bigger portion of what you are paying goes toward the principal loan, and the interest you pay is proportionally less each month.

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Gross Domestic Product equals $1.2 trillion. If consumption equals $690 billion, investment equals $200 billion, and government

4vir4ik [10]

Answer:

imports exceed exports by $50 billion.

Explanation:

Calculation to determine how much imports exceed exports

Gross Domestic Product $1.2 trillion

Less Consumption ($690 billion)

Less Investment ($200 billion)

Less Government spending ($260 billion)

($1.2 trillion-$690 billion-$200 billion-$260 billion)

Then:imports exceed exports by $50 billion

5 0

3 years ago

The cost method that will yield the highest taxable income during times of inflation is the a.weighted average inventory cost me

vichka [17]

Answer:

The answer is B.

Explanation:

FIFO inventory cost method will yield the highest taxable income during times of inflation or period of rising price.

FIFO is First in First out i.e the inventory that was purchase first will go out first. This method reflects the current market price because last inventories bought during inflation are part of the ending inventories. Ending inventories are high, cost of sales are low and gross profit is high.

Because gross profit is high, high tax will be charged

8 0

3 years ago

What is the difference between gross & net pay

stich3 [128]

Gross pay is what employees earn before taxes, benefits and other payroll deductions are withheld from their wages. The amount remaining after all withholdings are accounted for is net pay or take-home pay.

6 0

2 years ago

The use of ___________ is based, in part, on the belief that the term is broader than public relations, and encompasses all comm

Ksivusya [100]

Answer: corporate communications

Explanation: Corporate communications relate to how businesses and organizations interact with specific stakeholders, both internally and externally. These stakeholders include,. customers, media, employees and government etc.

Based on the group being discussed, corporate communications may come in many forms. In conclusion, the communication strategy for a company would generally consist of the printed word, verbal word, and un-spoken interaction.

The communication department of an organisation is responsible for a number of duchies to be performed such as public relations and customer marketing etc.

6 0

3 years ago

Harding, Jones, and Sandy, a partnership, is in the process of liquidating. The partners have the following capital account bala

Radda [10]

Answer: Cash to be distributed to Harding = $ 17000, Jones = $ 3000 

Explanation:

It has been indicated that the ($9,000) deficit will be covered with a forthcoming contribution

∴ The Remaining Capital Balance is = (24000 + 24000) = $48000

∵Total cash Available = $20000

Loss = 48000 - 20000 = $ 28000

Loss will be shared between Harding & Jones in ratio = 16:48

∴ Harding Capital balance = $\frac{(24000 - 28000)\times16}{16+48}$ = $ 17000

∴ Jones Capital balance = $\frac{(24000 - 28000)\times48}{16+48}$ = $ 3000

Cash will be Distributed in their capital balance ratio

Therefore,

Cash to be distributed to Harding = $ 17000, Jones = $ 3000

7 0

3 years ago