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Agata [3.3K]
3 years ago
13

You ran a little short on your spring break vacation, so you put $1,032 on your credit card. You can afford only the minimum pay

ment of $20 per month. The interest rate on the credit card is 1.5 percent per month. How long will you need to pay off the $1,032?
Business
1 answer:
salantis [7]3 years ago
6 0

Answer:

<u>99.89 months</u>  or  <u>8.32 years</u>

Explanation:

This is an annuity problem. The formula is:

P=C[\frac{1-(1+r)^{-n}}{r}]

Where

P is the payment total need to be made

C is the periodic payment per period

r is the rate of interest

n is the time period

Given in the problem, you need to pay off 1032, so

P = 1032

Periodic payment of 20 per month, so

C = 20

Rate of interest 1.5% = 0.015, so

r = 0.015

Time (n) is what we want to find.

Substituting and using logs, we solve for t:

P=C[\frac{1-(1+r)^{-n}}{r}]\\1032=20[\frac{1-(1.015)^{-n}}{0.015}]\\51.6=[\frac{1-(1.015)^{-n}}{0.015}]\\0.774=1-(1.015)^{-n}\\1.015^{-n}=0.226\\\frac{1}{1.015^n}=0.226\\1.015^n=4.4248\\ln(1.015^n)=ln(4.4248)\\nln(1.015)=ln(4.4248)\\n=\frac{ln(4.4248)}{ln(1.015)}\\n=99.89

It will require <u>99.89 months!</u>

In years, that would be:

99.89/12 = <u>8.32 years!</u>

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Answer:

The correct option of this question is (B). Explanation of this answer is given below in the explanation section

Explanation:

(B) is Correct Option:

Human resource manager in an organization is responsible for planning, directing and coordinating human resource management activities such as employee compensation, employee recruitment, promotions offer to an employee, etc. The major duties of the HR manager is to manage the human resource in an organization.

Why other options are not correct

(A). Interaction with customers to provide information in response to inquiries about products and services, and to handle and resolve complaints is not the responsibility of the HRM manager. It is the responsibility of the Marketing department and customer service department. In short, the customer service and marketing department are mainly responsible to perform such activities in an organization.

(C). Analyze financial information and prepare financial reports to determine or maintain record of assets, liabilities, profit and loss, tax liability, or other financial activities within an organization is the responsibility of the accounting department. And, accounting manager is responsible for such types of activities to perform in an organization.

(D) Supervise and coordinate the activities of clerical and administrative support workers is the responsibility of Admin (a managerial post) working in the administrative unit of an organization. Usually, at this post, first-line manager, team lead, assistant manager are working under the supervision of the administrative department.

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<h3>What are Generic business strategies?</h3>

A Generic business-level strategy is a broad approach to a company's positioning within a sector. Executives can concentrate on the essential components of business-level plans by focusing on generic strategies. The most widely used set of generic strategies is derived from the work of Harvard Business School Professor Michael Porter.

The foundation of any business-level strategy, in Porter's opinion, is two competitive dimensions. The first factor is the source of competitive advantage for a company. This factor examines whether a company seeks to outperform competitors by cutting costs or by providing a niche product.

The range of a company's operations is the second factor. This aspect pertains to whether a company tries to target clients generally or whether it only aims to draw in a certain customer demographic.

These choices lead to the following four general business-level strategies:

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To know more about Generic business strategies refer to:  brainly.com/question/27403764

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