Answer:
$42
Explanation:
APR = 18% , month rate = 18%/12 = 1.5%
Fee for cash advance = 2%
Cash advance of the first day of month = $1,200
Finance charge = Cash advance * (Monthly rate + Advance cash fee)
Finance charge = $1,200*1.5% + $1,200*2%
Finance charge = $18 + $24
Finance charge = $42
So, the approximate total finance charge i will pay on this cash advance for the month is $42
Answer: 6.6%
Explanation:
The Pure Expectations Theory believes that the future long term rate is a reflection of future short term rates.
In terms of a 5 Treasury Security then, the rate of return to be expected is the risk free rate adjusted for inflation.
The Treasury Security has no risk but for inflation risk hence this is all that should be catered for.
Rate of Return on 5 year Treasury Security = Real Risk Free Rate + Inflation Rate
= 2.5% + 4.1%
= 6.6%
Answer:
fiscal policies
Explanation:
Fiscal policy refers to the way that the government modifies its total spending and tax rates in order to guide the nation's economy. Fiscal policies work together with monetary policies (regulation of money supply) as a government attempt to influence the economic cycle. When the government implements an expansionary fiscal policy(increase spending and decrease taxes) it will attempt to boost economic growth.
Answer:
The solution to the given problem is given below.
Explanation:
1. Do you believe that the company needs outside financing?
Yes, Company needs outside finance total $ 40,000 as $25,000 in month of Feb and $15,000 in month of Apr
il.
2. What is the minimum line of credit to request from a lender?
Minimum line of credit needed is $40,000
3. Do you think you are a good candidate for the line of credit? Why?
Yes, we are good candidate for line of credit because we can start repayment by May and repay by July and after repayment we will have ending March Cash balance $100,000
.
Detailed calculations are attached with the image.
Answer:
a. $180
Explanation:
Bad debt expenses is generally classified as Administrative expense and hence it is included in the expense section of the income statement before the calculation of the Net Income.
From the question it is evident that the write offs during the period were $180 and hence the expense recorded in the Income statement as bad debt expense would be $180 because they are unrecoverable for the current period.
Hope this helps.
Thanks buddy.