Answer:
$12,936,120
Explanation:
The formula for calculating compound interest
=FV = PV × (1+r)n
Fv = future value
PV present value
r interest rate =10 %
t =time = 5 years
Future value= 12million x(1+10/100)5
=12,000,000 x (1+0.1)5
=12,000,000x1.61051
= $12,936,120
Answer: $1,800,000
Explanation:
Cost of supplies = $2,000,000 + $400,000 - $600,000 = $$1,800,000
Answer:
$7,600
Explanation:
The computation of cash paid on July 1 to the bondholders is shown below:-
cash paid on July 1 to the bondholders = Par Value × Semi annual coupon rate
= $190,000 × 6 months ÷ 12 months × 8%
= $190,000 × 0.5 × 0.08
= $7,600
We considered the 6 months as semi-annually is mentioned in the question
Therefore for computing the cash paid on July 1 to the bondholders we simply applied the above formula.
Answer:
$110,000
Explanation:
Variable cost is determined by high-low method:
Type A = $50,000
Type B = 0
Fixed cost determined using high low method is:
Type A = 0
Type B = $60,000
The total cost of high low method is $110,000.
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