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bezimeni [28]
3 years ago
11

When interest rates are low, some automobile dealers offer loans at 0% APR, as indicated in a 2016 advertisement by a prominent

car dealership, offering zero percent financing or cash back deals on some models. Zero percent financing means the obvious thing—that no interest is being charged on the loan. So if we borrow $1,200 at 0% interest and pay it off over 12 months, our monthly payment will be $1,200/12 = $100. Suppose you are buying a new truck at a price of $25,000. You plan to finance your purchase with a loan you will repay over two years. The dealer offers two options: either dealer financing with 0% interest, or a $2,500 rebate on the purchase price. If you take the rebate, you will have to go to the local bank for a loan (of $22,500) at an APR of 6.5%. What would your monthly payment be if you used dealer financing?
Business
1 answer:
Dovator [93]3 years ago
4 0

Answer:

Monthly payment= $1,041.67

Explanation:

Giving the following information:

Suppose you are buying a new truck at a price of $25,000. You plan to finance your purchase with a loan you will repay over two years. The dealer offers two options: either dealer financing with 0% interest, or a $2,500 rebate on the purchase price. If you take the rebate, you will have to go to the local bank for a loan (of $22,500) at an APR of 6.5%.

Monthly payment= 25,000/24months= $1,041.67

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Walt is evaluating an investment that will provide the following returns at the end of each of the following years: year 1, $12,
Sindrei [870]

Answer:

$38,771.44

To achieve at least the 8% rate Walt can pay until this amount.

Explanation:

The goal would be to calcualte the present value for each cashflow using the expected rate of 8%

\left[\begin{array}{ccc}-&Cash Flow&Discounted\\Year \: 1&12,500&11,574.0740740741\\Year \: 2&10,000&8,573.38820301783\\Year \: 3&7,500&5,953.74180765127\\Year \: 4&5,000&3,675.14926398227\\Year \: 5&2,500&1,701.45799258438\\Year \: 6&0&0\\Year \: 7&12,500&7,293.62994077667\\Total&50,000&38,771.4412820865\\\end{array}\right]

\frac{Principal}{(1 + rate)^{time} } = Present \: Value

<em><u>For example year 3</u></em>

7,500\div \: 1.08^3  = 5953.74180765127

Then we add each cashflow, to get the present value of the project.

To achieve at least the 8% rate Walt can pay until this amount.

5 0
3 years ago
Delivery Service purchased a commercial umbrella policy with a $10 million liability limit and a $100,000 self-insured retention
Margaret [11]

Answer:

Business umbrella approach gives inclusion to the firm against those misfortunes that may bankrupt the firm. The arrangement covers a definitive misfortune in abundance of held breaking point happens because of real injury, property harm, promoting and individual injury. A definitive misfortune is the lawful risk to which back up plan is committed to pay. As far as possible is the accessible furthest reaches of the fundamental protection. According to the umbrella arrangement, the protected needs to keep up some base measure of obligation before the case is paid by the umbrella strategy. In the event that the guaranteed is secured under some other strategy, at that point first that sum is paid and remaining sum is paid by umbrella approach in the wake of fulfilling oneself safeguarded maintenance.  

The complete loss to the organization is $5 million, at that point $1 million will be paid by general obligation strategy and $1 million will be paid by business auto approach. Out of the remaining $3 million, self-safeguarded limit is $100,000 which demonstrates that $2.9 million ($3 million less 5100,000) will be paid by umbrella arrangement.

3 0
3 years ago
Indicate how each of the following transactions affects US exports, imports, and net exports.
Darina [25.2K]

Answer: See explanation

Explanation:

Exports are the goods and the services that a particular country produces and sells to other countries.

Imports are the goods produced in other countries and sold to ones country.

Net export is the difference between the export an import. An increase in export leads to a rise in the net export.

Based on the above explanation, the answer to the question will be:

1. A British scholar spends a year at Harvard University as a visiting scholar.

US exports - Increase

Imports - Unchanged

Net exports - Increase

2. Your parents go on a trip to Japan in late March for the Cherry Blossom season.

US exports - Unchanged

Imports - Increase

Net exports - Decrease

3. A Canadian buys a new Ford.

US exports - Increase

Imports - Unhanged

Net exports - Increase

4. The student bookstore at Yale University sells books published by Cambridge University Press.

US exports - Unchanged

Imports - Increase

Net exports - Decrease

5. A European family goes to Disney World in Florida for vacation.

US exports - Increase

Imports - Unhanged

Net exports - Increase

3 0
3 years ago
List some career paths that involve little to no paper work​
rosijanka [135]

Answer:

not sure if this helps but here :D

Explanation

being an assistant is great for your record for when you want to change a job . another good job is working with food at cafes or fast food this has little or no paper work! also another good way is babysitting (if you like kids).

I hope this helped :D

7 0
3 years ago
Utility refers to: a. the costs incurred for a training program. b. the usefulness of a training program. c. the benefits derive
borishaifa [10]

Answer:

c. the benefits derived from training relative to the costs incurred.

Explanation:

The word "utility" is a reference to the benefits of a project or proposal in relation to the monetary costs involved in carrying out this project. In other words, the benefits an individual will earn from the project will be proportional to the amount that the individual will pay to participate in the project.

6 0
3 years ago
Read 2 more answers
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