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AfilCa [17]
3 years ago
13

Dave Krug finances a new automobile by paying $6,500 cash and agreeing to make 20 monthly payments of $580 each, the first payme

nt to be made one month after the purchase. The loan bears interest at an annual rate of 12%. What is the cost of the automobile? (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided. Round PVA factor to 4 decimal places.)
Business
1 answer:
Sonbull [250]3 years ago
5 0

Answer:

$16,966.68

Explanation:

the cost of the car = down payment + present value of the monthly installment payments

  • down payment = $6,500
  • PV of monthly installment payments = $580 x 18.046 (PV annuity factor, 1%, 20 periods) = $10,466.68

the cost of the car = $6,500 + $10,466.68 = $16,966.68

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A double-entry accounting system is an accounting system: Multiple Choice That records each transaction twice. That records the
ddd [48]

Answer:

That records the effect of each transaction in at least two accounts with equal debits and credits.

Explanation:

A double-entry accounting system is the accounting system in which it shows the impact of each transaction in terms of debit and credit. In this the amount of credit should be equivalent to the amount of credit that means both the amount should be equivalent to each other

hence, the second option is correct and the same is to be considered

3 0
3 years ago
You have discovered that when the required rate of return on a bond you own fell by 0.5 percent from 8.2 percent to 7.7 percent,
Alborosie

Answer:

4.5 years

Explanation:

the change in price = $970 - $950 = $20

the change in rate of return = 7.7% - 8.2% = -0.5% or -0.005

to determine the duration of the bond we can use the following formula:

duration = (Δ price / price) / [Δ rate / ( 1 + rate)]

= ($20 / $970) / [-0.005 / ( 1 + 0.077)] = 0.0206 / (-0.0046) = -4.48 years ≈ 4.5 years (remaining time is positive)

6 0
3 years ago
Consider the market for film streaming services, tv sets, and movie tickets.for each pair, identify whether they are complements
nevsk [136]

Streaming services and TV sets: complements  

Streaming services and movie tickets: substitutes

TV sets and movie tickets: substitutes

8 0
3 years ago
Gary works in a factory where the workers are known to leave oily rags all over the place. Which of the following best describes
lbvjy [14]

<u>Answer: </u>

The term physical hazard best describes the oily rags.

<u>Explanation: </u>

  • The example narrated in the question statement is associated with hazardous environmental pollution due to a specific kind of waste that is in physical form that bears the potential of causing health issues.
  • The scattering of oil rags left by the employees over the place of work would turn the place unhygienic and unfit for work.
  • Hence, the term 'physical hazard' is used for oily rags.
6 0
3 years ago
A buyer offers the full $215,000 asking price for a house. The offer contains this clause: "Possession of the premises on August
Sergio [31]

Options:

) The man has accepted the woman's offer. Because the reason for the change was out of the man's control, the change is of no legal effect once he signed the contract. B) The man has rejected the woman's offer and made a counteroffer, which the woman is free to accept or reject. C) While the man technically rejected the woman's offer, his behavior in scheduling movers creates an implied contract between the parties.

Answer: The man has rejected the woman's offer and made a counteroffer, which the woman is free to accept or reject.

Explanation: Since there has been an alteration in the content of the initial agreement between the buyer and the seller, the agreement has become void and hence, the changes makes it a counteroffer which the buyer is free to accept or reject. Even though the change in the initial agreed document is the date, it is enough to render the initial document void as the terms is no longer consistent with what the potential buyer read and signed on.

6 0
4 years ago
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