Monthly payment = $1774.71
Effective annual rate = 7.02%
The equation for a loan payment is
P = r(PV)/(1-(1+r)^(-n))
where
P = Payment per period
PV = Present value
r = interest rate per period
n = number of periods
Since the 6.8% interest rate is APR, we need to divide by 12 to get the interest per month. So in the above equation r = 0.068/12 = 0.005666667, the number of periods is 48 and the Present Value is 74400. Let's plug in the numbers and calculate.
P = r(PV)/(1-(1+r)^(-n))
P = 0.00566666666666667(74400)/(1-(1+0.00566666666666667)^(-48))
P = 421.6/(1-(1.00566666666666667)^(-48))
P = 421.6/(1-0.762439412691304)
P = 421.6/0.237560587308696
P = 1774.70516
So the month payment rounded to 2 decimal places is $1774.71
The effective interest rate is
ER = (1 + r/12)^12 - 1
Let's plug in the numbers and calculate.
ER = (1 + 0.068/12)^12 - 1
ER = (1 + 0.00566666666666667)^12 - 1
ER = (1.00566666666666667)^12 - 1
ER = 1.07015988024972 - 1
ER = 0.07015988024972 = 7.015988024972%
So after rounding, the effective interest rate is 7.02%
Answer:
45 degree line
Explanation:
In the equilibrium in income and expenditure model, expenditure equals national income when the expenditure crosses the 45 degree line. This means that in income and expenditure being at equilibrium, it means that there is no shift, change, deviation from the outcome.
Expenditure below and above 45 degree is not in equilibrium as that means that government income is either less than or greater than the expenditure respectively.
Cheers
Answer:
A) 19.91%
Explanation:
Net present value of cash flow at 19.91% can be calculated as follows
- 100000 + 30000/1.1991 + 30000/ (1.1991)² + 30000/(1.1991)³ + 30000/ (1.1991)⁴ +30000/(1.1991)⁵ + 30000/ (1.1991)⁶
= -100000 + 25018 +20864 +17400 +14511 +12101 +10092
= 0 ( approx )
So the IRR for the project is 19.91 % .
Answer:
Training
Explanation:
Talent management strategy is a system adopted by Hr to attract , employee and retain efficient employees in order to maximize business performance.
Continuous training and development is a key talent management strategy used by most companies.
Googles strategy of hiring the best talent from the start rather than developing mediocre talent over time focuses more money on employee selection than training
Answer:
Processes
Explanation:
The process is a general term that is used in all fields of human endeavor including business operations to defined a form of set instructions or connected actions that seeks to derive or eventually get a mutual goal at the end. In the business world, it is called Business Process.
Hence, Collections of related activities intended to achieve a common purpose are called PROCESSES
