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laiz [17]
3 years ago
8

In order to qualify as substantial performance, the party who fails to perform perfectly must perform . failure to comply with t

he contract terms is a of the contract. the performance must not vary greatly from the promised performance: an omission, variance or defect in performance is considered if it can be by compensation. finally, the performance must create substantially the same as those promised in the contract.
Business
1 answer:
ValentinkaMS [17]3 years ago
4 0

Answer:

After observing the question, there are blank spaces to fill in the question. These blank spaces are to be filled with the right answers. Since it was not shown in the question, I will write out the question again and appropriately add the answers for proper understanding. I hope it helps.

In order to qualify as substantial performance, the party who fails to perform perfectly must perform <u>in good faith</u>. <u>Intentional</u> failure to comply with the contract terms is a <u>breach</u> of the contract. The performance must not vary greatly from the promised performance: an omission, variance or defect in performance is considered <u>minor</u> if it can be <u>remedied</u> by compensation. finally, the performance must create substantially the same <u>benefits</u> as those promised in the contract.

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An insured pays her Major Medical Insurance premium annually on March 1. Last March she forgot to mail her premium to the compan
zysi [14]

Answer:

Pay the claim and the accident occurred during the grace period

Explanation:

Grace period is the period or the set length of the time after the due date during that the payment is to be made without any penalty by the insurer or the person.

The grace period mostly is of 15 days and it is usually involves in the insurance contact and the mortgage loan.

So, in this case, the insurer forget to pay the premium but on march 19, she met with an accident and broke her leg, then the insurance company will be paying the claim as the accident happened during the grace period.

3 0
4 years ago
Corporations issue convertible debt for two main reasons. One is the desire to raise equity capital that, assuming conversion, w
just olya [345]

Answer:

corporations can obtain financing at lower rates

Explanation:

Convertible debts are a type of long term capital financing that has the option of converting the debt into stock or equity.  Corporations issue convertible debts to balance equity and liabilities.

A convertible debt will usually have a lower interest because the holder of the debt has the option of converting it to stock. A conversion occurs after a certain period. Investors willingly opt for convertible debts as the conversion aspect makes them less risky. Companies will opt for them because they are less expensive in interest payments,  hence a cheaper form of obtaining capital.

4 0
4 years ago
Suppose that your monthly net income is $2,540. Your monthly debt payments include your student loan payment and a gas credit ca
ira [324]

Answer: 30%

Explanation:

We should note that debt payments-to-income ratio is calculated as:

= Debt payment / Net income

= 762 / 2540

= 0.3 or 30%

Therefore, the debt payments to income ratio is 30%

6 0
3 years ago
A bond with 20 detachable warrants has just been offered for sale at $1,000. The bond matures in 20 years and has an annual coup
lisov135 [29]

Answer:

Value of one warrant = $ 6.88 (2 decimals).

Explanation:

Ordinary bond current value = pv(rate,nper,pmt,fv)

Ordinary bond current value = pv(6%,20,48,1000)

Ordinary bond current value = $ 862.36

Current Value of Bond with warrant = 1000

Warrant value = Current Value of Bond with a warrant - Ordinary bond current value

Warrant value = 1000 - 862.36

Warrant value = $ 137.64

No of Warrant with a bond = 20

Value of one warrant = Warrant value /No of Warrant with a bond

Value of one warrant = 137.64/20 = $6.882

Value of one warrant = $ 6.88 (2 decimals).

7 0
3 years ago
Find the present values of these ordinary annuities. Discounting occurs once a year. Do not round intermediate calculations. Rou
Inessa05 [86]

a. The present value of $300 per year for 16 years at 6% is $3,031.77.

It is calculated using an online finance calculator as follows:

N (# of periods) = 16 years

I/Y (Interest per year) 6%

PMT (Periodic Payment) = 300

FV (Future Value) = $0

Results:

PV = $3,031.77

Sum of all periodic payments = $4,800.00

Total Interest $1,768.23

b. The present value of $150 per year for 8 years at 3% is $1,052.95.

It is calculated using an online finance calculator as follows:

(# of periods)  = 8 years

I/Y (Interest per year) = 3%

PMT (Periodic Payment) = $150

FV (Future Value) = $0

Results:

PV = $1,052.95

Sum of all periodic payments = $1,200.00

Total Interest = $147.05

c. The present value of $700 per year for 8 years at 0% is $5,600.00.

It is calculated using an online finance calculator as follows:

N (# of periods) = 8 years

I/Y (Interest per year) = 0%

PMT (Periodic Payment) = $700

FV (Future Value) = $0

Results

PV = $5,600.00

Sum of all periodic payments = $5,600.00

d. The present value of $300 per year for 16 years at 6% as an annuity due is $3,213.67.

It is calculated using an online finance calculator as follows:

N (# of periods) = 16 years

I/Y (Interest per year) 6%

PMT (Periodic Payment) = 300

FV (Future Value) = $0

Results:

PV = $3,213.67

Sum of all periodic payments = $4,800.00

Total Interest = $1,586.33

e. The present value of $150 per year for 8 years at 3% as an annuity due is $1,084.54.

It is calculated using an online finance calculator as follows:

(# of periods)  = 8 years

I/Y (Interest per year) = 3%

PMT (Periodic Payment) = $150

FV (Future Value) = $0

Results:

PV = $1,084.54

Sum of all periodic payments = $1,200.00

Total Interest = $115.46

f. The present value of $700 per year for 8 years at 0% as an annuity due is $5,600.

It is calculated using an online finance calculator as follows:

N (# of periods) = 8 years

I/Y (Interest per year) = 0%

PMT (Periodic Payment) = $700

FV (Future Value) = $0

Results

PV = $5,600.00

Sum of all periodic payments = $5,600.00

<h3>What is the difference between an ordinary annuity and an annuity due?</h3>

An ordinary annuity involves regular payments made <u>at the end</u> of each period, while an annuity due involves payments are made at the <u>beginning</u> of each period. For example, consistent quarterly stock dividends are an ordinary annuity just as monthly rent is an annuity due.

<h3>Data and Calculations:</h3>

a. $300 per year for 16 years at 6%

b. $150 per year for 8 years at 3%

c. $700 per year for 8 years at 0%

d. Present value of $300 per year for 16 years at 6%

e. Present value of $150 per year for 8 years at 3%

f. Present value of $700 per year for 8 years at 0%

Learn more about annuity at brainly.com/question/25792915

6 0
2 years ago
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