Answer:
8983
Explanation:
Total Premium (934609-850000) 84609
Divide: Periods total 12
Premium amortized each period 7050.75
Interest expense for Nov21 (Two months)
Cash Interest payable (850000*8%*2/12) 11333.33
Less: Premium amortized (7050.75*2/6) 2350.25
Interest expense for year ending 30.11.21 8983.08
Total Premium (934609-850000) 84609
Divide: Periods total 12
Premium amortized each period 7050.75
Interest expense for Nov21 (Two months)
Cash Interest payable (850000*8%*2/12) 11333.33
Less: Premium amortized (7050.75*2/6) 2350.25
Interest expense for year ending 30.11.21 8983.08
Answer is $8983
Answer:
The initial outlay of this project is $240.000
Explanation:
Consider the following formula and variables
new machine cost 220.000
installation 7.000
shipping 3.000
working capital 10.000
Initial investment outlay = new machine cost + installation+ shipping+ working capital
=220.000+7.000+3.000+10.000=240.000