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arlik [135]
3 years ago
12

Suppose you have a choice between investing in a savings account that pays an 8.6% APR, compounded monthly (Bank Monthly) and on

e that pays an 8.5% APR, compounded daily (Bank Daily). Using only effective annual rates, which bank would you prefer?
Business
1 answer:
Maru [420]3 years ago
6 0

Answer:

8.6% APR, compounded monthly

Explanation:

Effective annual rate = ( 1 + periodic interest rate)^m - 1

8.6% APR = (1.007167)^12 - 1 = 0.089472 = 8.95%

m = number of compounding = 12

periodic interest rate = 8.6% / 12 = 0.717%

8.5% APR = (1.000233)^365 - 1 = 0.088706 = 8.87%

m = number of compounding = 365

periodic interest rate = 8.5% / 365 = 0.02329%

I would prefer the 8.6% APR, compounded monthly because the effective annual rates are higher

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On a day to day bases, as well with non harmful cleanser
5 0
4 years ago
Santora Company manufactures two productslong dash—toaster ovens and bread machines. The following data are​ available:
denpristay [2]

Answer:

Thus to maximize profit, Santora Company should manufacture Bread machine only.

The unit of Bread machine can be produced in 2,000 machine hours is 8,000 units

Explanation:

The profit for Toaster Ovens and Bread Machines is $10 and $90 respectively; thus  

six toaster ovens per machine hour will generate profit of $60 = ($10 *6)

four bread machines per machine hour  will generate profit of $360 = ($90 *4)

In the same machine hour the profit from Bread machines are significantly higher then Toaster over. Thus to maximize profit, Santora Company should manufacture Bread machine only.

The unit of Bread machine can be produced in 2,000 machine hours is 8,000 units (= 2,000 * 4)

The profit for 8,000 units of Bread machine is $720,000 = (8,000 * $90)

3 0
4 years ago
The best way to convince employers of your skills and abilities is to _____. A. Provide a written list, such as in your resume b
Vaselesa [24]

Answer:

A. provide a written list such as in your resume

4 0
3 years ago
Personal selling can take place in all situations except when
olasank [31]

Answer:

Through the newspaper ads.

Explanation:

Personal selling is one of the ways of selling of products by various businesses where the seller and the customers come in direct contact or face to face in order to discuss the features, benefits, and worthiness of any product that the seller is interested in selling This can be done through direct face to face interaction, on telephones, through video conferencing, and also on the internet but not through newspaper ads.

8 0
3 years ago
Sparks Corporation has a cash balance of $5,480 on April 1. The company must maintain a minimum cash balance of $5,000. During A
beks73 [17]

Answer:

d) $3,920

Explanation:

The computation of the borrowed amount is shown below:

= Beginning cash balance + expected cash receipts - expected cash disbursements - minimum monthly cash balance

= $5,480 + $56,200 - $60,600 - $5,000

= $3,920

We easily add to the starting cash balance the estimated cash receipts and deducted the expected cash disbursements and the minimum monthly cash balance, in order to get the correct value

5 0
3 years ago
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