1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Karolina [17]
3 years ago
11

An amortizing loan is one in which:the principal remains unchanged with each payment.accrued interest is paid regularly.the matu

rity of the loan is variable.the principal balance is reduced with each payment.
Business
1 answer:
Whitepunk [10]3 years ago
3 0

Answer:

The principal balance is reduced with each payment.

Explanation:

An amortizing loan is a loan with scheduled periodic payments that consists of both the principal plus the interest. The interest along with some part of principal is being paid in every payment. In beginning, interest component is higher but it gradually deceases as principal is being paid also which decreases the interest along with it.

Therefore, For Amortized loan, The principal amount is reduced per payment made.

You might be interested in
Comparing Costs of Credit Using Three Calculation Methods. You have been pricing a compact disk player in several stores. Three
Solnce55 [7]

Answer:

Store A = 3.4521

Store B = 2.9589

Store C =  4.4384

Explanation:

Store A charges ADB method

purchase made on 5th first payment on 15th of 100

so from 5th to 15th Average daily balance =300 for 10 days

then from 15th to 4th for remaining 20 days average daily balance = 200

Average Daily Balance = (300*10+200*20)/30

Total finance charge = ADB*(APR*(Days/365))

=300*((0.18)*(10/365))+200*((0.18)*(20/365))

= 1.4795+1.9726=3.4521

Store B

Adjusted Balance Method uses adjusted balance to calculate the charges

Adjusted balance=Starting balance adjusted for credit and debit

Adjusted balance =300-100=200

Financial Charges = 200*(.18*(30/365))=2.9589

Store C

Previous Balance Method the interest is calculated on amount of balance carried from previous billing cycle

Balance Carried = 300

Charges =300*(.18*(30/365))= 4.4384

7 0
3 years ago
Read 2 more answers
Diners are served in a process with two resources. The first resource has a capacity of 1.1 diners per hour. The capacity of the
Firdavs [7]

The cycle time of this process for the firm is 2.89.

<h3>What is a Cycle Time?</h3>

This refers to the average time between the start of production of one unit and the start of production of the next unit of production

Cycle Time = Net time available to work / Customer demand

Cycle Time = 1.1 + 1.5 / 0.9

Cycle Time = 2.88888888889

Cycle Time = 2.89.

Therefore, the cycle time of this process for the firm is 2.89.

Read more about cycle time

<em>brainly.com/question/18802868</em>

#SPJ1

3 0
1 year ago
"Suppose you wish to have $5,500 in 18 years. Use the present value formula to find how much you should invest now at 6% interes
Irina-Kira [14]

Answer:

The amount of investment should be $1926.891 approximately

<u>Explanation:</u>

The following formula has been used to calculate the amount of investment

A = P(1+r/100) ^n

where: A = future value , P = present value , R = rate of interest , N = time period

Hence , applying the formula, we get,

$5500 = P (1+6/100) ^18

Hence P=$5500/ (1.06) ^18

=$1926.891(approx)

7 0
3 years ago
You are trying to choose between two stocks, Widget and Gadget. Widget has a current stock price of $30 and earnings per share o
gizmo_the_mogwai [7]

Answer:

Gadget will have higher earning.

Explanation:

Price Earning Ratio is the ratio of Market price to the earning per share. PE Ratio measure the effect of earning over the market price of the company.

Widget

Stock Price = $30

Earning per share = $2

PE ratio = $30 / $2 = 15 times

Gadget

Stock Price = $30

Earning per share = $2

PE ratio = $20 / $1 = 20 times

Gadget will have higher earning.

7 0
2 years ago
A maker of computers has decided to steeply discount all of its HyperDrive models and is considering licensing an overseas manuf
zhannawk [14.2K]

growth of manufacturing

6 0
3 years ago
Read 2 more answers
Other questions:
  • If your monthly net (after-tax) income is $1,500, what should be your maximum amount spent on credit payments? $200
    15·2 answers
  • In the united states, about what percentage of the labor force performs tertiary sector work?
    15·1 answer
  • Egrane, Inc.'s monthly bank statement showed the ending balance of cash of $18,600. The bank reconciliation for the period showe
    6·1 answer
  • It ONLY makes sense to implement an ABC system when: A. ABC provides information to make better decisions. B. Its benefits excee
    11·1 answer
  • Caribou Fruit Drink Company planned to make 200,000 containers of apple juice. It expected to use two cups of frozen apple conce
    9·1 answer
  • What steps can be taken to build a sound financial reputation
    7·2 answers
  • Of the following statements about trade, which is NOT true? Trade generates jobs in both export and import sectors of an economy
    10·1 answer
  • The following information is available for Ethtridge Manufacturing Company for the month ending July 31:
    8·1 answer
  • Hair Stylist Woes. Maryann went to see her hair stylist, Candy. Maryann, who had black, curly hair, requested straight, blond ha
    15·1 answer
  • __________ refers to phishing with a specific, high-value target in mind. for example, the attacker may target the president or
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!