Answer:
Your family takes out a mortgage and buys a new house. - Invesment
When a household purchases a new house, it is considered an investment according to macroeconomic theory.
You use your $200 paycheck to buy stock in AT&T. - Investment.
Stock is a form of capital because it is bought with the expectation of getting a return. Buying stock is a form of investment.
Your roommate earns $100 and deposits it in his account at a bank. - Saving.
Your roommate does not need the $100 to pay for his daily expenses, and instead, saves that money at the bank. It is a form of saving as the name of the transaction implies.
You borrow $1,000 from a bank to buy a car to use in your pizza delivery business. - Investment.
You are borrowing to buy a car because you feel the car will provide you economic benefits in the future. Thus, the car is a capital asset, and a form of investment.
Answer:
Determine your income. Start with how much money you make after tax each month
Explanation:
i hope this help
Answer:
Loan amount = $184,193.95
Explanation:
Interest will remain same each year. Interest per year = 200,000*10% = $20,000
Installment $21,215.85
Less: Interest <u>$20,000</u>
Payment to Principal <u>$1,215.85</u>
Total principal repaid in 13 years = $1,215.85 * 13 years = $15,806.05
So, the principal left = $200,000 - $15,806.05 = $184,193.95
Answer:
The Journal entries are as follows:
(i) On May 1, 2019
Inventory A/c Dr. $87,000
To Notes payable $87,000
(To record purchase of inventory)
(ii) On Nov 31, 2019
Interest Expense A/c Dr. $5,075
To Interest payable $5,075
(To record the Accrued the interest.)
Workings:
May to Nov = 7 months
Therefore,
Interest Expense = 87,000 × 10% × 7÷12
= $5,075
