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Ket [755]
3 years ago
6

Cost of Bank Loans Gifts Galore Inc. borrowed $1.6 million from National City Bank. The loan was made at a simple annual interes

t rate of 12% a year for 3 months. A 25% compensating balance requirement raised the effective interest rate. Do not round intermediate calculations. Round your answers to two decimal places. The nominal annual rate on the loan was 11.5%. What is the true effective rate? % What would be the effective cost of the loan if the note required discount interest? % What would be the nominal annual interest rate on the loan if the bank did not require a compensating balance but required repayment in three equal monthly installments? %
Business
1 answer:
babymother [125]3 years ago
3 0

Answer: 23456

Explanation: its math

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tatuchka [14]

Answer:

$898.54

Explanation:

The Price of the Bonds is equal to the Present Value or Fair Value of the Bonds.

Using the Financial Calculator, Input elements will be as follows :

N = 15

pmt = $1,000 × 5.7% = $57

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The Coupon rate is lower than the market rate thus the Bonds will fetch a lower price.

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3 years ago
Which action is specifically recommended to enhance your credibility in the field of accounting?
LenaWriter [7]

Answer:

I'm pretty sure it's A, "complete a certification or qualification program offered by a professional association."

Explanation:

I believe this as it makes sense and I've had a question similar to this and got it right as the question and options where quite the same.

6 0
3 years ago
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1. What is the difference between fixed, variable, and periodic costs?
lisov135 [29]

Answer:

The difference is in how they response to the level of production of the firm.

Variable cost are directly associated with the production level, therefore changes with the number of units produced.

Fixed costs do not change with the level of production and remains fixed. Usually, fixed cost changes with the time.

Periodic Costs are the costs that cannot be capitalised and are incurred for a period of time. Such as administrative costs.

Explanation:

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3 years ago
A certain company reorders envelopes when it stock drops to 15 boxes, although demand for envelopes during lead time is normally
marissa [1.9K]

Question: The options were not given in the question. here are the options;

a. 50%

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The correct option is D. 95%

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