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Igoryamba
3 years ago
14

John's Auto Repair just obtained an interest-only loan of $35,000 with annual payments for 10 years and an interest rate of 8 pe

rcent. What is the amount of the loan payment in Year 8?
Business
1 answer:
Nookie1986 [14]3 years ago
5 0

Answer:

$2,800

Explanation:

An interest only loan represents a type of loan offer where a borrower is only expected to pay the interest either for some of the term of the loan as agreed or for all of the terms of the loan. However, the principal amount that is collected remains constant all through the agreed interest -only period.

Since the loan obtained by John's Auto Repair is Interest Only, it means that the principal of $35,000 remains constant.

Hence, in the 8th year, John is expected to pay only the interest for the period =

0.08 x $35,000

= $2,800

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Which of the following is a distinct advantage of exporting? A. Absolute control over operations in the foreign nation B. It may
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Answer: B. It may help a firm achieve experience curve and location economies

Explanation: Exporting is defined as the act of conveying or sending commodities abroad or to another country, in the course of commerce. Exporting provides a distinct advantage to firms in that it helps them achieve experience curve (which posits that the more experience a business has in the production of product, the lower its costs in producing the product) and location economies (the production of a good or product under the most optimum settings that confers an added advantage in cost of productions over their competitors).

7 0
3 years ago
A teacher instituted a new reading program at school. after 10 weeks in the​ program, it was found that the mean reading speed o
Bess [88]

Answer:

0.0139

Explanation:

Given that:

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The sample distribution has mean (μ) and a standard deviation of σ/√n

The z score is given as (x - mean)/ standard deviation

x = 94.8 wpm, let us assume that σ = 10 and μ = 90

Therefore: z = (x - μ) / (σ/√n) = (94.8 - 90) / (10/√21) = 2.2

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P(X>94.8) = P(Z>94.8) = 1 - P(Z<94.8) = 1 - 0.9861 = 0.0139

The probability is low that is less than 0.05, the program is more effective than the old one.

5 0
3 years ago
Read 2 more answers
Ordinary repairs meet all of the following criteria except: Multiple Choice Are expenditures to keep an asset in good operating
spin [16.1K]

Answer:

The correct answer is letter "B": Extend the useful life of an asset beyond its original estimate by several years.

Explanation:

Ordinary repairs refer to routine maintenance that equipment and machinery need to work over its estimated useful life. <em>It does not aim to extend the life of the equipment but helps meeting the estimated time a company plans to use those assets.</em> In accounting terms, ordinary repairs demand to record a debit to an expense account and a credit to a cash account.

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3 years ago
Energy Unlimited, LP, is a limited partnership to which its partners, including Fink, have contributed capital. Energy's credito
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Answer: c. Grave first

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4 0
3 years ago
What information is important when choosing a healthcare plan?
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Premiums. How much will you pay per month for coverage?

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Copay or coinsurance

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I hope it helped you!
8 0
3 years ago
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