Answer:
$4,953
Explanation:
Given by the question, we have:
+) Present value of annuity = $17,400
+) Return on the investment = annual interest rate on the loan = 9.4%
The type of this annuity is annuity due.
We have the equation to calculate the present value of annuity due as following:
PV Annuity Due = P × [1 - (1 + r)^(-N)]/r × (1+r)
=> P = PV Annuity Due ÷ {[1 - (1 + r)^(-N)]/r × (1+r)}
In which:
+) P: Annual payment
+) r: annual interest rate = 9.4% = 0.094
+) N: Number of payments = 4 (As the loan is repaid in 4 payments)
+) PV Annuity Due = 17,400
=> P = 17,400 ÷ {[1 - (1 + 0.094)^(-4)]/0.094 × (1+0.094)} ≈ $4,953
Answer:
The correct answer is the second option: Decrease; Increase.
Explanation:
To begin with, in the construction area the managers understand that when the company starts to build higher the building costs decrease due to the fact that is now working with bigger numbers so that means that the volumen of equipment, materials and commodities are high enough to decrease the costs due to the volumen managed, meanwhile the warehousing equipment costs tend to increase due to the same reason as before, now the company is working with bigger numbers so that means more equipment, materials and commodities to put in bigger warehouse and for more time.
Proper internal control means that responsibility for a<u> task</u> is clearly <u>established</u> and assigned to one person.
Explanation:
<u>The MAIN purpose of internal controls IS to protect assets and ensure reliable accounting</u>
The main Principles of internal control are
- Divide responsibility for related transactions
- Perform regular and independent reviews
- Maintain adequate records
- Establish responsibilities
The Companies follow the internal control procedure of maintaining adequate records by
- Keeping detailed records makes it unlikely that assets are lost or stolen without detection
- Reliable records are a source of information that managers use to monitor activities
Thus we can say that Proper internal control means that responsibility for a<u> task</u> is clearly <u>established</u> and assigned to one person.
<span>The person who prepares and abstract of title for a parcel of real estate: "</span>searches the public records and then summarizes the events and proceedings that affect title."