Answer: 11.88%
Explanation:
Hiker's effective interest rate on this loan will be calculated as:
Interest = Amount × Discount rate × 8/12
= 112000 × 11% × 8/12
= 112000 × 0.11 × 0.667
= 8217.44
= 8217 approximately
Effective interest rate will then be:
= (Interest / Amount - Interest) × 12/8
= 8217 /(112000 - 8217) × 3/2
= 8217/103783 × 1.5
= 0.0791748 × 1.5
= 0.1187622
= 11.88%
The manager should analyze the legal and ethical differences of home country compared to the host country and<u> develop a strategy that is beneficial to the company and does not clash with the ethical and legal parameters of the host country.</u> It is important to analyze each area that may affect the company, such as government, employee, supplier, investor and customer protectionism, and to analyze common ethical, legal and cultural standards for stakeholders and then develop policies and standards that do not negatively influence the country.
Hypernormas are very effective in solving these possible conflicts, as they guide the lowest-level norms to the highest-level ones, which are those related to fundamental principles for humanity. Which is effective to guide management in an international market.
Answer:
Experiencing declining production capacity because net investment is negative.
Explanation:
Monetary value of all goods and services produced in the country are known as Gross Domestic Products. The economy is said to be inclining if the value of GDP rises. The value of GDP is directly associated with increasing production.
Answer:
Dec 31 2016 Interest expense 2640 Dr
Interest payable 2640 Cr
Explanation:
the adjusting entry is made at the end of the period which is 31 December 2016 here. The notes pays interest at 8% per annum. So, the total interest due for one year on note payable is,
Interest = 44000 * 0.08 = 3520
Out of this amount of interest payable, 9 month's interest related to period from April to December. So, at 31 December, we will recognie 9 month's interest as interest expense 3520 * 9/12 = 2640. And debit interest expense account by this figure. As the interest is not paid today, we will credit interest payable.
Answer: $687.10
Explanation:
The value of a bond is the present value of the bond's coupon payments plus the present value of the bond's par value at maturity.
First convert terms to semi-annual periods as the coupon rate is semi annual:
Coupon payment = (1,000 * 8.75%) / 2 = $43.75
Required return = 13% / 2 = 6.5%
Number of periods = 25 * 2 = 50 semi annual periods
The coupon payment is an annuity so the value of the bond is:
= Present value of annuity + Present value of par
= (43.75 * ( 1 - (1 + 6.5%) ⁻⁵⁰) / 6.5%) + 1,000 / ( 1 + 6.5%)⁵⁰
= $687.10
