Trade credit
Small firms may be able to get finance in the form of trade credit from their suppliers. Suppliers enable the company to obtain the products and services it requires and pay for them later or in installments.
<h3>What is the meaning of trade credit?</h3>
A business-to-business (B2B) agreement known as trade credit allows customers to make purchases of goods without paying in cash upfront and to make payments to suppliers at a later date. Businesses that use trade credits typically give customers 30, 60, or 90 days to make payment, with the transaction being documented by an invoice.
Trade credit can be compared to a form of 0% financing because it increases an organization's assets while deferring payment for a certain amount of products or services to the future and requires no interest payments throughout the repayment period.
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Answer:
b. annuities due
Explanation:
Annuities due -
It refers to the amount which need to be paid at the regular interval of time , just before the beginning of the new phase , is referred to as annuities due .
The most common example of annuities due is rent , which need to be paid after every month in the starting .
Hence , from the given information of the question ,
The correct option is annuities due.
Given the table below
From the table it can be seen that at the price of $20, the quantity supplied is equal to the quantity demanded equal to 39.
Also notice that at that price, Carlos is not supplying any service.
Therefore, the equilibruim price <span>of tutoring services be if Carlos decided to stop tutoring is $20.</span>
Answer: The Loan Estimate, The Closing Disclosure, and The Notice of the Right to Rescind
Explanation:
Answer:
The annuity will cost him $963,212.95.-
Explanation:
Giving the following information:
Cash flow= $75,000
Interest rate= 0.0525
n= 20
First, we need to calculate the final value. We will use the following formula:
FV= {A*[(1+i)^n-1]}/i + {[A*(1+i)^n]-A}
A= annual cash flow
FV= {75,000*[(1.0525^20) - 1]/0.0525} + {[75,000*(1.0525^20)] - 75,000}
FV= 2,546,491.88 + 133,690.82= $2,680,182.70
Now, the present value:
PV= FV/(1+i)^n
PV= 2,680,182.70/(1.0525^20)
PV= $963,212.95