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ohaa [14]
3 years ago
7

A borrower had a loan of $ 30 comma 000.00 at 6 % compounded annually comma with 8 annual payments. Suppose the borrower paid of

f the loan after 4 years. Calculate the amount needed to pay off the loan.
Business
1 answer:
Arte-miy333 [17]3 years ago
3 0

Answer:

$38,103.34

Explanation:

A= P(1+r/n)^nt

P: Principal

r: interest rate

n: number of times interest is applied per time period

t: total time period

A= 30000(1+0.06/8)^(4×8)

A= $ 38,103.34

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3 years ago
If the consumption function is defined as C = 5,500 + 0.9Y, what is the
Nimfa-mama [501]

Answer:

Option B ($5,500) is the appropriate choice.

Explanation:

The given expression is:

⇒  C = 5,500 + 0.9Y

At the zero (0) level of income, the consumption would be the Autonomous consumption.

then,

Y = 0

On substituting the value of "Y" in the given expression, we get

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8 0
3 years ago
Flint Corporation issued 700 shares of no-par common stock for $7,800. Prepare Flint’s journal entry if (a) the stock has no sta
Masja [62]

Answer:Flint corporation journal $

Date

1. Bank account Dr 7800

Common stock Or. 7800

Narration. Issuance of 700 ordinary stock for $7800 .

2. Bank account Dr 7800

Common stock Cr. 1400

Share premium. 6400

Narration. Issuance of 700 ordinary at $7800 at a premium.

Explanation:

Shares can be issued at par, premium or discount. When it's issued at it's nominal value it's said to be issued at par, when it's issued above it's nominal value it's said to be issued at a premium and when it's issued below par it's said to issued at a discount.

4 0
3 years ago
Read 2 more answers
Assume the corporate tax view of capital structure. Your unleveraged cost of capital is 13%. Your corporate tax rate is 30%. You
sergejj [24]

Answer:

C. 11.05%

Explanation:

The computation of the cost of capital under the proposed leveraging is shown below;

cost of capital is

=Debt÷ value of leverged firm × ((unlevered cost of capital × (1 - tax rate))

=800 ÷ 1600 × ((13% + (13%) × (1 - 30%)))

= 11.0500%

hence, the cost of capital is 11.05%

8 0
3 years ago
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