Solution:
1 : The interest rate that fits the lifetime cash flows to the PV of cash flows is expected here.
PV of an equation of perpetuity:
PV = C/ r
$326,000 = $3,000 / r
With the interest rate, we could now solve the following:
r= $3,000 / $326,000
r= 0.0092 or 0.92% per month
2 :The interest rate per month is 0.92 percent.
In order to calculate the APR, the number of months in a year is determined by:
APR = (12) 0.92%
APR = 11.04%
3 : And using the equation to find the EAR, we find:
EAR = [1 + (APR / m)]m– 1
EAR = [1 + 0.0092]12– 1
EAR = 0.1162 or 11.62%
it is important so you create a safe work enviroment and don't have complaints.
Explanation:
Consumers are most likely to find the best prices in: Tactic
Answer:
Explanation:
Journal entries allow you to correct inaccurate information in your accounting records or add transactions that you cannot add in other sections of the software, such as tax adjustments or depreciation expenses.
What are the 3 golden rules?
Golden Rules of Accounting
Debit the receiver, credit the giver.
Debit what comes in, credit what goes out.
Debit all expenses and losses and credit all incomes and gains.
Answer:
Since the opening price is set so low, potential buyers will think that their total consumer surplus is very large. For example a consumer may be willing to pay $40 for an iPod but since the price is $1 his total consumer surplus is $39, so he will tempted to offer higher bids which eventually lead to a higher final price.
