All categories

3 years ago

What monthly rate of interest will yield an annual effective rate of interest of 14%?

Business

1 answer:

Zepler [3.9K]3 years ago

7 0

Answer: 1.1%

Explanation:

The effective annual interest rate is simply defined as the real return that is given on a savings account or any other form of investment that is interest paying which takes into consideration the effects of time compounding.

Based on the scenario in the question, the monthly rate of interest will yield an annual effective rate of interest of 14% will be:

= [(1.14)^1/12] - 1

= 1.01098 - 1

= 0.01098

= 1.1% approximately

You might be interested in

Even when a manager is not able to grant employees' requests or suggestions, employees are much more likely to accept the decisi

Zigmanuir [339]

Even when a manager is not able to grant employees' requests or suggestions, employees are much more likely to accept the decision and respect the manager if they know that they were heard and were able to provide input, and if the manager explains the reasons for the decision.

5 0

3 years ago

Tigger was terminated from the local ice cream shop as the staff manager. He did not manage by example including being rude to c

Lisa [10]

He failed at Human Resources functional area of management

Let understand that the functional area of management is the section of management of a firm which ensures that the important business activities are carried out efficiently.

The functional area of management is distinctively categorized into 6 part and they includes:

Strategic area of management
Marketing area of management
Finance area of management
Human resources area of management
Technology & equipment area of management
Operations area of management

In conclusion, the area that Tigger failed at is the Human Resources area because he need to serves as a good example for his Subordinate as well as effectively manage them, whereas, he failed at it.

Learn more about functional area of management here

<em>brainly.com/question/14594002</em>

6 0

3 years ago

Match each retail term with the correct definition

katen-ka-za [31]

Answer:

what retall terms

Explanation:

8 0

3 years ago

Prepare Job-Order Cost Sheets, Predetermined Overhead Rate, Ending Balance of WIP, Finished Goods, and COGS At the beginning of

vova2212 [387]

Answer and Explanation:

1. The computation of overhead rate based on direct labor cost is shown below:-

Overhead rate = Overhead applied × 100 ÷ Direct labor cost

= 888 × 100 ÷ 1,200

= 74%

2. The Preparation of job-order cost sheet for the four jobs is shown below:

Particulars Job 86 Job 87 Job 88 Job 89

Beginning balance $6,888 $6,820

Direct materials $3,000 $7,000 $2,100 $1,500

Direct labor $800 $6,000 $900 $500

Applied overhead

is 74% of direct labor $592 $4,440 $666 $370

Total $11,280 $24,260 $3,666 $2,370

3. The computation of ending balances of Work in Process and Finished Goods is shown below:-

Work in process of Job 88 = $3,666

Finished goods = Total of Job 86 + Total of Job 89

= $11,280 + $2,370

= $13,650

4. The computation of the Cost of Goods Sold for March is shown below:-

Cost of goods sold is

= Job 87

= $24,260

7 0

3 years ago

quilibrium in the money market exists when a. excess demand for money is equal to the quantity demanded of money at a given inte

Elanso [62]

Answer: b. excess supply of money is equal to the quantity demanded of money at a given interest rate.

Explanation:

Equilibrium in the money market takes is usually achieved when the quantity of money demanded is equal to the quantity supplied. The demand curve for money is used to illustrate the quantity of money demanded at a given interest rate. The demand curve for money usually sloped downward, what this tells us is that people would want to hold less of their wealth in the form of physical cash ( money ). When the interest rates on bonds and other alternative investments are way higher.

3 0

3 years ago