Answer:
What will Sam have to pay for this equipment if the loan calls for semiannual payments (2 per year)
and monthly payments (12 per year)?
Compare the annual cash outflows of the two payments.
- total semiannual payments per year = $2,820.62 x 2 = $5,641.24
- total monthly payments per year = $531.13 x 12 = $6,373.56
Why does the monthly payment plan have less total cash outflow each year?
- The monthly payment has a higher total cash outflow ($6,373.56 higher than $5,641.24), it is not lower. Since the compounding period is shorter, more interest is charged.
What will Sam have to pay for this equipment if the loan calls for semiannual payments (2 per year)?
- $2,820.62 x 12 payments = $33,847.44 ($25,000 principal and $8,847.44 interests)
Explanation:
cabinet cost $25,000
interest rate 10%
we can use the present value of an annuity formula to determine the monthly payment:
present value = $25,000
PV annuity factor (5%, 12 periods) = 8.86325
payment = PV / annuity factor = $25,000 / 8.8633 = $2,820.62
present value = $25,000
PV annuity factor (0.8333%, 60 periods) = 47.06973
payment = PV / annuity factor = $25,000 / 47.06973 = $531.13
<span>A supervisor can take many
steps when it comes to handling unions within the company. First that should be
taken into consideration is, the supervisor’s communication to his/ her people.
The people should know that the supervisor is always available when they need
to talk about the policies of the company and why there is no necessity to have
a third party. The employees should also have the knowledge on what is going on
inside the business. They should always be informed about the standing of the
company in the market. Another is, there
should also be an outlet where the employees can air out their concerns thus
the supervisor should also provide these outlets. Another concern that should be addressed
properly is the fairness of the pay. This means that the principle of paying the
employees must be put into mind; this is that they are paid according to the
work that they do and second is let the employee know that they are paid
fairly. Do this by market surveying the wages every year. Be honest to the
employees by letting them know the economic standing of the company. They will
surely understand the situation. The company must also remember the employees
who stood by them during the hard times by giving them fair returns when the
company is already in a good standing. Next
is, when you see that an employee is making good performance, companies must
also do their responsibility by acknowledging the efforts and giving incentives
for their good performance. </span>
By paraphrasing, an individual is:
ANSWER C. Putting another person's idea into different words or context
$4225 here’s how I got the answer so he purchased 13 shares but each share cost $325 so 13 times 325 is 4225
