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2 years ago

How does savingd intrest work?

Business

1 answer:

Vinvika [58]2 years ago

8 0

Answer:

The interest rate determines how much money a bank pays you to keep your funds on deposit. If the account has a 1.00% interest rate and the interest compounds annually—that is, the bank pays you interest on your balance once each year—you'll earn $50 after the first year.

You might be interested in

Sub-prime loan company is thinking of opening a new office, and the key data are shown below.

Nookie1986 [14]

To complete the above question, please see below:

Sub-Prime Loan Company is thinking of opening a new office, and the key data are shown below. The company owns the building that would be used, and it could sell it for $100,000 after taxes if it decides not to open the new office. The equipment for the project would be depreciated by the straight-line method over the project's 3-year life, after which it would be worth nothing and thus it would have a zero salvage value. No change in net operating working capital would be required, and revenues and other operating costs would be constant over the project's 3-year life. What is the project's NPV? (Hint: Cash flows are constant in Years 1-3.)

WACC 10.0% 
Opportunity cost $100,000 
Net equipment cost (depreciable basis) $65,000 
Straight-line depreciation rate for equipment 33.333% 
Annual sales revenues $123,000 
Annual operating costs (excl. depreciation) $25,000 
Tax rate 35%

The answer is 12,271

5 0

3 years ago

ECG Company recorded two sales on March 1 of $20,000 and $30,000 under credit terms of 3/10, n/30 (3% discount if paid within 10

AlladinOne [14]

Answer:

In net method the discount not given is recorded as revenue and in gross method the discount allowed is recorded as expense.

Explanation:

ECG Company

Journal Entries

Net Method

Date Particulars Debit Credit

1 March Accounts Receivable 19400

Accounts Receivable 29,100

Sales 48500

( Calculation of net Sales ( 20,000* 3% = 600, 30,000* 3%= 900) 20,000- 600= 19,400 and 30,000- 900= 29,100)

8 Mar Cash 19400

Accounts Receivable 19400

Receipt of 20,000 Sales within discount period.

25 Mar Cash 30,000

Accounts Receivable 29,100

Interest Revenue 900

Receipt of payment after discount time period.

Gross Method

1 March Accounts Receivable 20,000 Dr

Accounts Receivable 30,000 Dr

Sales 50,000 Cr

Transactions of Sales on gross method. Here discount is not calculated unless given.

8 Mar Cash 19400 Dr

Discount Allowed 600 Dr

Accounts Receivable 20,000 Cr

Receipt of 20,000 Sales within discount period.

25 Mar Cash 30,000 Cr

Accounts Receivable 30,000 Cr

Receipt of Sales of 30,000 after the discount period.

6 0

3 years ago

Tim buys a house from Betty in 2011 for $200,000. Betty receives $185,000 and $15,000 goes to Mary, the real-estate agent. Betty

Step2247 [10]

Answer:

$15,000

Explanation:

Gross domestic product is the sum of all final goods and services produced in an economy within a given period which is usually a year.

When calculating GDP, only items produced in the current year are added. The house had been sold in 2007. Adding the sale to the GDP in 2011 would lead to double counting.

It's only the amount paid to the agent that would be added to GDP.

I hope my answer helps you

5 0

2 years ago

Reggie, a resident of South Dakota, has an accident with Toby, a resident of Utah, while driving through that state. Toby files

Tanya [424]

Answer: in personam jurisdiction

Explanation: The “long-arm statute,” is a law in majority of states that explains when a court can have in personam jurisdiction over parties who do not reside in that state. Certain conditions must be met for the court to have this jurisdiction. In general, the cause of action should have occurred in the state where the case is being filed; the defendant was personally served with the court papers in the state; or the defendant has a minimum contact with the state.

In personam jurisdiction is defined as a court's jurisdiction over the parties in a lawsuit, that is, it has both the authority to rule on the law and evidences of a suit and the power to enforce its decision upon all parties to the suit.

7 0

3 years ago

A company is using a mobile device deployment model in which employees use their personal devices for work at their own discreti

Elis [28]

Answer:

no entiendo un carajoooooool

8 0

3 years ago

How does savingd intrest work?​

How does savingd intrest work?