Which of these types of products usually involves the customer doing comparison shopping?

You take out a loan for $4000 at an annual interest rate of 5% (compounded annually). You must pay back the loan in 3 annual ins

GalinKa [24]

Answer: = $2,731.14

Explanation:

First find the annual payment.

The payment will be constant so is an annuity.

Present Value of an Annuity = Payment * Present Value Interest Factor of an annuity

4,000 = Payment * PVIFA( 3 periods, 5%)

4,000 = Payment * 2.7232

Payment = 4,000 / 2.7232

Payment = $1,468.86

This annual Payment is divided into an interest component and a component going towards principal repayment.

Interest component = 5% * 4,000

= $200

Amount going to principal = 1,468.86 - 200

= $1,268.86

Amount of Principal Outstanding = 4,000 - 1,268.86

= $2,731.14

3 0

3 years ago

One concern over external national debt is that interest and principal payments transfer wealth overseas. The percentage of the

Gemiola [76]

Answer:

26.70 trillion

Explanation:

8 0

3 years ago

Read 2 more answers

Definition of economic costs

crimeas [40]

Answer:

1. I grouped the costs into explicit and implicit costs below

2. accounting profit = 89000

3. economic profit = 3000

4. daniel should stay in the piano business

Explanation:

explicit costs include:

1. The wholesale cost for the pianos that Darnell pays the manufacturer at $452000

2. The wages and utility bills that Darnell pays at $301000

the implicit costs include:

1. The salary Darnell could earn if he worked as an accountant at $48000

2. The rental income Darnell could receive if he chose to rent out his showroom at $38000

accounting profit:

842000-452000-301000

= 89000

economic profit:

842000-452000-301000-48000-38000 = 3,000

as an accountant economic profit:

48000+38000-89000

= -3000

so he should stay in the piano business so that economic profit would be maximized.

6 0

3 years ago

activity-based costing requires four steps. list the four steps in the order they are performed.

forsale [732]

Activity based costing have four steps, the steps are as follows:
1. Identification and classification of all the activities in the value chain in relation to the production of the product.
2. Estimation of total cost for each of the activities identified.
3. Computation of a cost driver rate for each activity based on a cost allocation base which has a causal link to the cost of the activity.
4. Application of the activity cost to product using the appropriate cost driver rate.

6 0

3 years ago

In the new department she is setting up, Shondra decides that top managers will report to her and that everyone else will report

Archy [21]

Answer: Organizing

Explanation:

There are 4 management functions. These functions are:

Planning: In the planning function, employees make business plan, they make reports and forecasts budgets and sales data. Anything within the domain of planning

Leading: Group of employees or Department is lead by Directors or managers or senior managers. These managers get work done through others and lead their team for the overall success of the organization.

Controlling: This includes staffing and training. Employees are subjected to training and development for efficient and effective results. Hiring the right employee for the right position.

Organizing: This is the hierarchy within the organization. Chain of Command that needs to be followed. Over here, Shondra sits in the top of the chain where only top managers report to her. Top managers are in the middle of the chain. Whereas, others below top managers would report to the Human Resources Department.

3 0

3 years ago