1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
sveta [45]
3 years ago
11

Today, you borrowed $3,200 on a credit card that charges an interest rate of 12.9 percent, compounded monthly. How long will it

take you to pay off this debt assuming that you do not charge anything else and make regular monthly payments of $60
Business
1 answer:
miskamm [114]3 years ago
3 0

Answer:

<em>It will take me </em>= <em>30.99 years</em> to pay-off the borrowed amount paying $60.00 every month

Explanation:

SOLUTION:

Using the Formula: A = P(1+r/n){nt}

Where:

A= $60.00;

P = $3,200.00;

r = 12.9%;

n = 12

t =?

Substituting the values into the Formula =

$60 = $3,200(1 + 12.9%/12){12t}

= $60 = $3,200(1 + 12.9%/12){12t}

= $60.00 = $3,200.00 (1 + 0.129/12){12t}

= $60.00 = $3,200.00 (1 + 0.01075 ){12t}

= $60.00 = $3,200.00 (1.01075 ){12t}

= $60.00/$3,200.00 = $3,200.00 (1.01075 ){12t}/$3200.00

= 0.01875 = (1.01075)12t

= Using the law of logarithm

= logA^{N} = Nlog A

=12tlog(1.01075) = log0.01875

= 12log(1.01075)/(1.01075) = log0.01875/log(1.01075)

=  12t = log(0.01875)/log1.01075

= 12t = 1.7270/0.04644

Divide 12 by both sides

=12t/12 = 371.88774/12

t= 30.9898

<em>∴ 30.99 years</em>

<em>It will take me </em>= 30.99 years to pay-off the borrowed amount paying $60.00 every month

You might be interested in
Select the behavior that does NOT represent an example of a speaker effectively preparing for a lecture.
bogdanovich [222]

Answer:

c. Matt has anxiety about giving his speech, so he works on his linguistics homework to distract himself.

Explanation:

The behavior that represent the examples with respect to the speaker effectively preparing for the lecture are as follows:

a. The john types a copy of his speech where there is non expected moment comes

b. Eva remember her total speech as she want to neglect the rigidity

c, The molly records her speech and she plays it back so to be sure that she speaks clearly or not

So as per the given situation, the option c should be considered

4 0
2 years ago
York’s outstanding stock consists of 80,000 shares of noncumulative 7.5% preferred stock with a $5 par value and also 200,000 sh
Arisa [49]

Answer:

total non-cumulative preferred stock dividends per year = 80,000 x 7.5% x $5 = $30,000

since the bonds are non-cumulative, if the dividends are not paid during one year, they are basically lost since they will not be paid in the future.

year

2015: $20,000 distributed to preferred stockholders

  • $0.25 per preferred stock
  • $0 to common stockholders

2016: $28,000 distributed to preferred stockholders

  • $0.35 per preferred stock
  • $0 to common stockholders

2017: $30,000 distributed to preferred stockholders, $170,000 distributed to common stockholders

  • $0.375 per preferred stock
  • $0.85 per common stock

2018: $30,000 distributed to preferred stockholders, $320,000 distributed to common stockholders

  • $0.375 per preferred stock
  • $1.60 per common stock

 

Dividends paid during the 4 year period:

Preferred stockholders received $108,000 in total

  • $1.35 per preferred stock

Common stockholders received $490,000 in total

  • $2.45 per common stock
3 0
2 years ago
When the economy is operating at point C, the Federal Reserve may decrease the discount rate to
brilliants [131]

Answer:

D ; increase growth

Explanation:

The discount rate is one of the tools that the Federal Reserve uses to direct monetary policy.  Banks are subject to minimum reserves requirements. If a bank falls below this minimum, it can borrow from the banks with a surplus,  or borrow from the federal reserve. If it borrows from the Fed, the interest rate that applies is the discount rate. The discount rate is always higher than the fed fund rate; hence, banks use it as a last resort.

The discount rate and the fed rate have similar effects on the economy.  The Fed uses the discount rate to regulate the money supply in the country. When the growth in slow, the fed will reduce the discount rate.  A low discount rate means the cost of borrowing money goes down. The impact is that individuals and businesses will afford to borrow money for consumption and investment.

Increased levels of investments and consumption will mean a higher GDP, which is growth.

7 0
3 years ago
2 points Time Remaining 23 minutes 4 seconds00:23:04 eBookItem 7 Time Remaining 23 minutes 4 seconds00:23:04 On April 30, Gomez
mash [69]

Answer: $51,400

Explanation:

Credits to Accounts Receivable represent a reduction in the Accounts receivable amount.

The formula for Closing balance is:

Closing balance = Opening balance + Credit sales - Credits to accounts receivable

Making Credit sales the subject will make the formula:

Credit sales = Credits to account receivable + Closing balance - opening balance

= 56,800 + 17,000 - 22,400

= $51,400

6 0
3 years ago
All of the following are arguments against increased social responsibility except:________.
Sveta_85 [38]
You can’t see any options so no one will know what to answer.
5 0
3 years ago
Read 2 more answers
Other questions:
  • Eccles Inc., a zero growth firm, has an expected EBIT of $100,000 and a corporate tax rate of 30%. Eccles uses $500,000 of 12.0%
    6·1 answer
  • NNR Inc.'s balance sheet showed total current assets of $1,875,000 plus $4,225,000 of net fixed assets. All of these assets were
    12·1 answer
  • The saving habits of ben and arthur best illustrate which principle of saving?
    9·1 answer
  • Sheri, a socialite, received bad publicity for her recent choice of evening wear. As a result, she decided to change designers.
    11·1 answer
  • Tamarisk Corporation had income from continuing operations of $10,763,000 in 2020. During 2020, it disposed of its restaurant di
    7·1 answer
  • A fire destroyed some of Cholla, Inc.’s records. Information from the documents found related to inventory is listed below. Endi
    7·1 answer
  • sold inventory for $ 280 comma 000​, terms 4​/10, ​n/30. Cost of goods sold was $ 160 comma 000. How much sales revenue will Old
    13·1 answer
  • Sandhill Corporation loaned $590000 to another corporation on December 1, 2020 and received a 3-month, 6% interest-bearing note
    6·1 answer
  • What does the Internet hostname after the period in the URL describe?
    10·1 answer
  • The security that represents the residual ownership of a firm and has no priority in bankruptcy is called:________
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!