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andriy [413]
3 years ago
9

Bob borrowed $10,000 at an effective annual rate of interest of 7%. Bob’s plan was to repay the loan with equal principal repaym

ents plus interest at the end of each year for 20 years. After the 10th payment, Bob decides to change his payment scheme and pay the outstanding balance with equal annual payments. The loan will still be repaid in 20 years. Calculate the difference between the 10th and 11th payment.
Business
1 answer:
Lelu [443]3 years ago
7 0

Answer:

$172.75

Explanation:

Principal amount for the first ten years=$500

($10,000/20)

Interest repayment during the 10th Year=$385

(10,000-(500*9)*7%)

Total payment for Year 10=$885

(500+385)    

Total principal amount at Year 10=$5,000

(10,000-(500*10)

Present value of Annuity=Payment per year((1-(1+7%)^-10)/7%)

5,000=Payment per year(7.02)

Payment per year from year 11=712.25

Difference between 10th and 11th payment=$172.75

(885-712.25)

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If Good C increases in price by 30% a pound, and this causes the quantity demanded for Good D to increase by 40%, what is the cr
dalvyx [7]

Answer:

1.3

Explanation:

Given:

If Good C increases in price by 30% a pound.

This causes the quantity demanded for Good D to increase by 40%.

Question asked:

What is the cross-price elasticity of the two goods ?

Solution:

We can find the cross-price elasticity of the two goods by this formula:

E_{c}  = \frac{ Percent\  change\ in \a \ quantity \ of \ good \ D}{Percent \ change\  in\ the\  price\  of \ good\  C}

E_{c}  = \frac{40}{30}= 1.3

When Good C increases in price by 30% which causes the quantity demanded for Good D to increase by 40%, then the cross-price elasticity of the  is Good C and  Good D is 1.3.

4 0
3 years ago
Opportunities for college graduates in international business continue to decrease as it gets more expensive to travel abroad.
n200080 [17]

The correct answer is; False.

Further Explanation:

This is a false statement. College graduates actually have more opportunities to work in international businesses. Travel costs are decreasing and people are finding cheaper places to live abroad. Many recent graduates stay in hostels, shared rooms, and may even get a living allowance from the company they are working for. For travel, people are using points and reward programs to get discounted tickets. Some countries will even pay for the work visa if the employee signs a contract to work exclusively for the company for a certain time period.

There are numerous international jobs for graduates that are wanting to live abroad. Here is a list of some of the jobs available for recent graduates;

  • English teachers
  • Banking
  • Managerial positions
  • Lawyers
  • Nurses
  • Doctors

There are even jobs for people with no college degree to work internationally. Here is a list of a few jobs for those workers;

  • Au pair
  • Bartender
  • English teacher (some places do not require a teaching degree)
  • Remote work online
  • Travel blogging
  • Yacht sailing

Learn more about working abroad at brainly.com/question/14774633

#LearnwithBrainly

8 0
3 years ago
Which of the following typically has the lowest fees or cost to use?
timama [110]

Answer: A. Debit card

<span>Among  Debit card, Credit card, Cash advance and Payday Loan, a debit card typically has the lowest fees or cost to use. </span>A debit card is a plastic payment card used<span> instead of cash when making purchases. Unlike in a credit </span>card<span>, the money comes directly from the user's bank account when performing a transaction. </span>

Credit cards, cash advance and a payday loan are the same in the sense that they extend a line of credit to their users. Users are then charged with an interest higher than the fee charged in using debit cards. <span>
</span><span>

</span>

4 0
4 years ago
The table below shows a summary of Kaitlin's credit card statement for the month of February.
den301095 [7]

Answer:

A) 32 percent interest B) Yes it will be paid

Explanation:

23 times 42 divided by 7

6 0
3 years ago
Households and firms with savings lend money to banks and other financial institutions. The credit supply curve shows the relati
rosijanka [135]

Answer:higher real interest rate discourages current consumption and higher real interest rate encourages more saving.

Explanation:The supply curve is a graphic representation of the correlation between the cost of a good or service and the quantity supplied for a given period. In a typical illustration, the price will appear on the left vertical axis, while the quantity supplied will appear on the horizontal axis.

Our measure of credit demand is an indicator variable for a firm's need for bank loans decreasing during the period. We measure credit supply using information on whether a firm's loan application was rejected, or the firm received less than 75% of its desired amount.

Credit supply curve is a curve that plots the quantity of credit supplied at different real interest rates.

4 0
3 years ago
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