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cluponka [151]
3 years ago
8

A home mortgage loan closed on July 1 for $765,000 at 5.5% interest amortized over 25 years at $4,697.77 per month. Using a 360-

day year, what would the principal amount be after the monthly payment was made August 1?
Business
1 answer:
Ronch [10]3 years ago
3 0

Answer:

$763,808.48

Explanation:

The computation of the principal amount after considering the monthly payment is shown below:

But before that first we have to determine the annual interest i.e

= $765,000 × 5.5%

= $42075

Now the one month interest rate which is

= $42,075 ÷ 12 months

= $3506.25

And, the given interest rate per month is $4,697.77

So, now the principal amount is

= $765,000 - ($4,697.77 - $3506.25)

= $765,000 - $1,191.52

= $763,808.48

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7 0
2 years ago
Android Products, Inc., agreed to accept a $1,000, one-year, 10 percent note from C. Mate. On its maturity date of December 16,
kodGreya [7K]

Answer:

Dr Cash       $1,100

Cr Notes receivable      $1000

Cr Interest revenue         $100

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The $1,100  receipt of cash from C.Mate comprises of $1000 principal and $100 interest revenue,the $1000 should be credited to notes receivable since it is a reduction in asset and $100 credited to interest revenue as an increase in income.

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4 years ago
A company would like to evaluate two incentive schemes that take effect once the worker exceeds standard performance. In the fir
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Answer:

B) plan 1 : worker earning  y = x - 0.14  ,  unit labor = \frac{x-(0.14)}{x}

   plan 2 : worker earning y  = 0.5x + 0.5, unit labor = (0.5x + 0.5) / x

C) At 128%

D ) plan D IS PREFERABLE

Explanation:

In the first case Benefits are split : 30% to worker , 70% to company ( up to 120% ) performance

In the second case benefits 50% go to the worker and 50% go the company

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plan 2 :

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C )  The point at which the two plans break even

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0.64 = x(1 - 0.5 )

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D) The company would prefer plan 1

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3 years ago
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