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frosja888 [35]
3 years ago
10

A certain loan program offers an interest rate of 7%, compounded continuously. Assuming no payments are made, how much would be

owed after two years on a loan of $2500? Do not round any intermediate computations, and round your answer to the nearest cent.
Business
1 answer:
vovikov84 [41]3 years ago
8 0

Answer:

The amount of loan after two years is $2875.68.

Explanation:

Given information:

Interest rate = 7%, compounded continuously.

Time = 2 years

Initial value of loan = $2500

The formula for amount after continuous compound interest is

A=Pe^{rt}

where,  P is principal,r is nominal rate per year, t is time in year.

Substitute P=2500, r=0.07, t=2 in the above formula.

A=2500e^{0.07\cdot 2}

A=2500e^{0.14}

A=2875.68449714

A\approx 2875.68

Therefore the amount of loan after two years is $2875.68.

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A firm has current assets that could be sold for their book value of $22 million. The book value of its fixed assets is $60 mill
love history [14]

Answer:

the firm market to book ratio is 1.48

Explanation:

The computation of the market to book ratio is shown below:

The Market values is

= $22 million + $90 million - $50 million

= $ 62 million

And, the Book values is

= $22 million + $60 million - $40 million

= $42 million

Now the firm market to book ratio is

= $62 million ÷ $42 million

= 1.48

Hence, the firm market to book ratio is 1.48

6 0
3 years ago
Trisha's firm has filled all of its key management positions with parent-country nationals. What kind of staffing policy is this
N76 [4]

 The ethnocentric staffing policy is used in Trisha firm.

What do you mean by staffing?

Staffing refers to the continuous process of finding, selecting evaluating and developing a working relationship with current or future employees. The main goal of staffing is to fill the various roles within the company with suitable candidates.

What is importance of staffing?

If the staff are not competent, your organization will lag. But if you recruit the right kind of professionals, any company would perform other chores, such as organizing, directing, and controlling properly. It also contributes to the efficient utilization of resources.

The ethnocentric approach--------- to recruitment means that we hire people from our parent country to fill positions all over the world.

Learn more about staffing policy:

brainly.com/question/17084899

#SPJ4

6 0
2 years ago
Josh purchased 100 shares of XOM for $76.63 per share at the beginning of 2007. He received dividends per share of $1.37 (2007),
never [62]

Answer:

The IRR is 4.08%

Explanation:

In calculating the internal rate of return in excel,the cash outflow of $76.63 is shown in year 0 with a negative sign to indicate that it is the initial investment on the share, followed by dividends in received in later years shown as positive figures ,however in the fifth the dividend received and the cash received from disposing of the share were added together to show total cash inflow in the last year.

The computation of IRR is shown below

IRR for the share purchase  

 

Years Cash flow

0 -76.63

1 1.37

2 1.55

3 1.66

4 1.74

5 86.61  

IRR 4.08%

Find attached for detailed computation.

Download xlsx
4 0
3 years ago
Assume you win the lottery and have a choice to receive your winnings one of two ways. Option 1: Payments of $50,000 per year fo
mojhsa [17]

Answer:

Option D is correct.

Explanation:

In the option 1 we receive $250,000 but in the second option we receive total amount that is $200,000. But their is an issue which is time value money. If the inflation is lower then it is possible we receive higher value in real terms. If we have an opportunity to invest in a project or company with required return provided then it would be the best option to invest in. Overall option D is correct because the level of question is High School.f

7 0
3 years ago
n an attempt to promote renewable energy, the government provides an annual rebate to those who install solar panels on their ro
Ilia_Sergeevich [38]

Answer: Fiscal policy

Explanation: Fiscal policy refers to the policies implemented by the government fro making the economy stable by using the tax collection and expenditure changes.

As per the given case, the government provide tax benefits in the forms of rebates for promoting the use of renewable energy resources. Hence we can say that government uses fiscal policy for achieving their objective.

5 0
4 years ago
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