Each state heavily regulates the insurance industry. a. True b. False

MC Qu. 110 Southland Company is preparing... Southland Company is preparing a cash budget for August. The company has $17,100 ca

Keith_Richards [23]

Answer:

The preliminary cash balance at the end of August before any loan activity is $3,500

Explanation:

For calculating the borrowed amount, first we have to compute the cash available for use and cash payment.

So,

Cash available for use is equals to

= Beginning balance + Cash receipts

= $17,100 + $121,000

= $138,100

And, the cash disbursement is $134,600

So the preliminary cash balance is equals to

= Cash available for use - cash disbursement

= $138,100 - $134,600

= $3,500

Hence, The preliminary cash balance at the end of August before any loan activity is $3,500

7 0

3 years ago

Exercise of a currency futures option results in Multiple Choice 1) a long futures position for the call buyer or put writer. 2)

mote1985 [20]

Answer:

3. a long futures position for the put buyer or call writer

Explanation:

8 0

3 years ago

Consuela noticed significant growth in the hispanic population in her mid-size town. the local grocery carried mostly traditiona

oksian1 [2.3K]

The kind of startup that her store is considered to be is a new market idea. New market ideas are techniques or ideas that are employed or thought of as a way of strategizing and a way of improving one's business or store. In which Consuela engages to as she decided to have a new idea for a way of improving her store and for the sake of her customers.

3 0

3 years ago

You can invest in an account that pays simple interest or an account that pays compound interest. In either case, you plan to in

trasher [3.6K]

Answer:

You will receive $201.38 more interest if the investment is made with a compound interest rate rather than a simple interest rate.

Explanation:

Simple interest rate

We can calculate how much interests you'd obtain if you deposited the $2,600 in a simple interest rate account.

We start using the following formula for calculating the simple interests:

$I=P * r$

Where:

I are the interests per year,

P is the amount being invested,

r is the interest rate.

Replacing in the formula with the given values we have:

$I=2600*0.05=130$

We then proceed to multiply this result by the given number of years, which is 8. We get $130*8=1040$ .

Finishing with the simple interest rate, if we wanted to know how much is the investment worth at the end of a 8 year period, we must merely add the principal (the $2,600) to the total interests after the end of the period ($1040). So $2600+1040= 3640$ .

We'll use these results later.

Compound interest rate

The formula for compound interests is the following:

$I=P(1+r)^n$

Where:

I is the value of the investment after n years,

P is the principal amount being invested,

r is the interest rate,

n are the number of years the investment is compounded.

Replacing in the formula with the given values we have:

$I=2600*(1+0.05)^8=3841.38$

After the 8 year period, the investor will have $3841.38 in it's compounded interest account.

Comparing these results

We can simply substract the value of both investments at the end of a 8 year period, to determine how much more interest does the compound interest rate account give in relation to a simple interest rate account.

The values we've gotten were:

$3,640 for the simple interest rate account, and

$3,841.38 for the compounded interest rate account.

$3841.38-3640=201.38$ . Therefore the answer is: the account that pays compounded interests will pay $201.38 more to this invididual, compared to an account that pays simple interest.

8 0

3 years ago

Your father paid $10,000 (cf at t = 0) for an investment that promises to pay $750 at the end of each of the next 5 years, then

natta225 [31]

From the problem statement it is clear that here we need to find out simple interest rate.
One do not get interest on any investment made at the end of tenure.
Putting this mathematically:
Let amount at the end of 5th year as A
Simple Interest for 5 years, SI = 750 *5
SI = 3750
Hence A = 10000 +3750
A= 13750
Let rate of return = R
Tenure t = 5
But,
A = P(1 + R*t/100)
13750 = 10000( 1+ R*5/100)
13750 = 10000 + 50000R/100
3750 = 500R
R = 3750/500
R = 7.5 %

Hence rate of return is 7.5% per annum (answer)

7 0

3 years ago