Answer:
The quarterly deposit required is $ 20,578.36
Explanation:
in order to determine the needed quarterly deposit, we make use of pmt formula in excel, which is given as :
=-pmt(rate,nper,-pv,fv)
rate is the rate of return on the deposit at 8% per year but 2% per quarter(8%/4)
nper is number of deposits required in the fund,which number of years ,5 multiplied by 4(4 deposits per year)
pv is the present of the value of the future amount which is zero as it is not required.
Fv is the amount expected in 5 years which is $500,000
=-pmt(2%,20,0,500000)
pmt= $20,578.36
Answer:
Explanation:
interest rates on a three-year bond =(int in year1+int in year2+int in year3)/n = (3+4.5+6)/3 =4.8%
interest rates on a six-year bond = (3%+4.5%+6% +7.5%+ 9%+ 10.5%)/6 = 7.35%
interest rates on a nine-year bond = (3%+4.5%+ 6%+ 7.5%+ 9%+ 10.5%+ 13%+ 14.5%+16%)/9 =10.23%
So, int rate on a 3 year bond is 4.8%; on a 6 year bond is 7.35%; on a 9 year bond 10.23%
Answer:
Answer is explained in the explanation section below.
Explanation:
Data Given:
Material Cost Per Trailer = $500
Material Cost plus Profit Per Trailer (15%) = $500 + 75 = $575
Selling Price = $1000
Labor Cost Remaining Per Trailer = $425
Formula to Calculate the number of Trailers:
X = X1 (
)
Where,
N = number of Trailers
S = Slope Parameter
X = $425
X1 = $700
So, First we need to find the slope parameter, in order to calculate the number of trailers to be built.
S = 
where, α = 0.85 rate of improvement.
Plugging in the values into the formula, we get:
S = 
S = -0.234
Now, we can easily find the number of trailers.
X = X1 ()
Plugging in the values,
425 = 700 x (
)
Solving For N, we get:
N = 8.4 Trailers
N = 9 Trailers.
Hence, 9 Trailers must be built in order to realize this rate of profit.
Answer:
b. Accounts receivables (gross) is reduced
Explanation:
As we know that
The journal entry to record the bad debt expense is
Bad debt expense A/c Dr
To Allowance for doubtful debts
(Being allowance of uncollectible accounts are recorded)
By passing this journal entry, both bad debt expense and the allowance for doubtful debts which result in a decrease in the net income and the balance of account receivable but the gross of account receivable would remain the same.
The correct answer to this open question is the following.
Unfortunately, the question is incomplete. Indeed, there is no question at all, just a series of statements.
What we can do is to comment on this case.
We are talking about the story of Bob Bell and Michael Sharpe.
Royalties were the main reason for this dispute. Bob Bell was the engineer that invented the bicycle trailer. Michale Sharpe would focus on Marketing the product due to his experience with computers and sales. Sharpe wanted both to share the financial risks but Bell considered it hos invention and wanted more royalties. Things went in the wrong direction, the situation got worse and they both hired lawyers in Toronto, Canada.
After disputes and legal actions, Bell won the case and he could expanse his business nationwide and signed an agreement with a Chinese company to sell the product. On the other hand, Sharpe made a 180-degree turn and started a fitness business.
