Answer:
Ans. Your monthly payments will be $1,602.37 ; The effective annual rate is 5.33%
Explanation:
Hi, first, we need to convert this APR rate into an effective monthly rate, that is, dividing 0.052/12 =0.00433 (or 0.4333%). Then we need to use the following equation and solve for A.
Where:
PresentValue= 84,500
A = periodic payments (the monthly payments that you need to make)
r = 0.004333333
n=60 months
So, let´s solve for A.
Now, in order to find the effective annual rate, we need to use the following equation.
Notice that to find an effective rate you have to start with another effective rate, otherwise it won´t work. So everything should look like this.
Meaning that the equivalent effective annual rate to 5.2% APR is 5.33% effective annual.
Best of luck.
Answer:
Inventory at the end of march will be 150
Explanation:
We have given inventory at the end of April = 200 units
Expected demand during April = 50 units
Production expected during April = 100 units
We have to find the inventory at the end of march
Inventory at the end of April is given by
Inventory at the end of April = production in april - demand in april + inventory of march
So 200 = 100 - 50 + inventory of march
So inventory of march = 150
Answer:
purchase A/c. Dr. Rs.11,000
To ABC CO.A/c. Rs.11,000
(being goods purchased in cash)
Answer:
Gain $4,800
Explanation:
Calculation for gain to be recognized from the exchange
Using this formula
Gain= [(Cash received / {Cash received + Fair value}) * {(Fair value+ Cash received- (Exchanged equipment cost - Accumulated Depreciation)}]
Let plug in the formula
Gain= [($12,000 / {$12,000 + $48,000}) * {($48,000 + $12,000 - ($66,000 - $30,000)}],
Gain= [($12,000 /$60,000) * $60,000- $36,000]
Gain=0.2* $24,000
Gain= $4,800
Therefore the gain to be recognized from the exchange is $4,800
