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MrRissso [65]
3 years ago
12

What is the typical relationship between time and interest rate?

Business
2 answers:
klasskru [66]3 years ago
5 0

I believe the answer is: Longer time period usually equals higher interest rates.

Longer time period usually equal more risk for the creditor to get all of the money that they land back. Because of this, when a borrower opt to choose longer time period, creditors would impose a higher interest rates to protect their investment.

melamori03 [73]3 years ago
3 0
<span>Time and interest rates are directly related to one another. When paying a loan that accures interest, the longer it takes for you to pay the loan back, the more interest you are going to pay on that loan. Over time, the interest adds up and can be a large sum of money, if you want to pay a lower amount of interest, it is often beneficial to pay off the loan in a quicker amount of time. </span>
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sasho [114]
My guess is a.$14.6. I might be wrong.
3 0
3 years ago
When Coca-Cola creates a website within its website called MyCoke where consumers can create a profile, and exchange thoughts, i
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The answer will be virtual community.
8 0
2 years ago
The Bradshaw Company's most recent dividend was $6.75. The historical dividend payment by the company shows a constant growth ra
Paha777 [63]

Answer:

$236.25

Explanation:

Given that,

Recently dividend paid, D0 = $6.75

Growth rate of dividend, g = 5 percent per year

Required rate of return, rr = 8 percent

Therefore, the stock price is calculated as follows:

= [D0 × (1 + g)] ÷ (rr - g)

= [6.75 × (1+5%)] ÷ (8% - 5%)

= $236.25

Hence, the maximum you would be willing to pay for a share of its common stock if your required rate of return is 8 percent is $236.25.

3 0
3 years ago
Craigmont uses the allowance method to account for uncollectible accounts. Its year-end unadjusted trial balance shows Accounts
Slav-nsk [51]

Answer:

$4,710

Explanation:

The computation of bad debts expense adjusting entry is shown below:-

Bad debts expense adjusting entry = Sales + Uncollectible allowances - Balance in allowance for doubtful accounts

= ($1,175,000 × 0.5%) - $1,165

= $5,875 - $1,165

= $4,710

Therefore for computing the bad debts expense adjusting entry we simply applied the above formula.

The adjusting entry is shown below:-

Bad Debt A/c Dr, $4,710

     To Allowance for Doubtful Debts $4,710

(Being bad debt account is recorded)

5 0
3 years ago
Skip and Trace decide to start a business. They sign a partnership agreement providing that Skip will contribute $6,000 toward t
telo118 [61]

Answer: 50% of the profit and share equal management.

Explanation:

Since the agreement is silent as to management and profits, Skip should receive 50% of the profit and share equal management.

It should be noted that when profit sharing and the management related isn't defined, profits and management will be divided equally among the partners. Therefore, in this case, profit will be shared equally.

8 0
3 years ago
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