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3 years ago

Sporting goods charges .85 percent interest per month. what rate of interest are its credit customers actually paying?

1 answer:

8 0

To answer this item, we assume that the interest rate is simple, such that the yearly rate was only divided by 12 months in order to determine the rate per month. Hence, to answer this item, we simply have to multiply the given percent by 12.

rate of interest/year = (12)(0.85%) = 10.2%

Therefore, the answer is 10.2%.

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Lydia Hagberg went to her bank, California Federal Bank, FSB, to cash a check made out to her by Smith Barney (SB), an investmen

user100 [1]

Answer:

Yes the absolute privilege for communications made in judicial or other official proceedings apply to statements made when a citizen contracts the police to report suspected criminal activity

Explanation:

Absolute priviledge for communication is the provision that covers a person from legal action on grounds of defamation for statements made. Under certain circumstances a person can make defamatory statements and be immune from legal action.

In this scenario Lydia Harberg went to California Federal Bank to cash a check that was suspected to be fake.

Nolene Showalter contacted SB to confirm. Based on the information provided at that time, the check was confirmed to be fake. The implication was that a fraud was being perpetrated.

So his action of calling the police is justified. SB only verified they gave out wrong information the first time

8 0

2 years ago

You are trying to decide between a par value corporate bond carrying a coupon rate of 6.25% per year and a par value municipal b

FinnZ [79.3K]

Answer:

Municipal bond because the equivalent taxable yield is 6.6%

Explanation:

we should make the important difference that municipal bonds are tax free while corporate bonds don't.

Therefore we should solve for the after tax rate fo the corporate bond:

$pretax (1-t) = after tax -rate\\0.0625(1-0.28) = 0.0625(0.72) = 0.045$

The corporate bond as a yield of 4.5% after taxes which is lower than the municipal bond. This make it more attractive

We can also solve for the pre-tax rate of the municipal bond:

$pretax(1-t) = after tax - rate\\pretax (1-0.28) = 0.0475\\pretax = 0.0475/0.72 = 0,065972 = 0.066$

the municipal bonds would be equivalent to a 6.6% corporate bonds.

This makes option D correct.

6 0

3 years ago

In accounting for a contingent liability, if the likelihood of the obligation is probable but the amount cannot be estimated, a

Tems11 [23]

Answer: d. provide disclosure in the footnotes to the financial statements.

Explanation:

A contingent liability is an obligation that a company might owe in future depending on the outcome of an event such as a law suit.

To record a contingent liability in the books, two conditions must be satisfied;

Loss must be probable
Amount must be estimable

If these two conditions are not satisfied then the contingent liability may simply be disclosed as a footnote in the financial statement. The amount here is not estimable so can be disclosed as a footnote.

6 0

3 years ago

Which of the following statements is CORRECT?

Tatiana [17]

The answer is E. i might be wrong

3 0

3 years ago

In many cases, it is reasonable to refer to the ________________ as the price.

Sladkaya [172]

Most time, it is reasonable to refer to the opportunity cost as the price because it entails the benefit of the foregone good or service.

<h3>What is an opportunity cost?</h3>

It refers to a value of what is rejected in order to perform the chosen alternative, that is, the value one have to give up to buy what you want in terms of other goods or services.

Therefore, it is sometimes reasonable to refer to the opportunity cost as the price because it entails the benefit of the foregone good or service.