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NeTakaya
3 years ago
11

Analog computers needs to borrow $475,000 from the midland bank. the bank requires a 15% compensating balance. how much money wi

ll analog need to borrow in order to end up with $475,000 spendable cash? $546,250 $758,264 $558,824 $71,250
Business
1 answer:
nalin [4]3 years ago
3 0
Spendable cash required = $475,000

Because the bank  requires a 15% (0.15) compensating balance,
the amount to be borrowed is
475,000*(1 + 0.15) = 546,250

Answer: $546,250
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