No more than 20-30 seconds . Short-term memory has a fairly limited amount of capacity.
Answer:
C, a debt service fund
Explanation:
A debt service fund is is a cash reserve that is used to pay for some principals and interests on some debts.
A debt service fund is calculated by dividing the net operating income by the debt.
In the case of the question, the premium of the fire station capital projects funds should be transferred to the debt service fund because should the contruction work not have enough fund to continue it, the premium will be used to continue and complete the construction work.
Cheers.
Answer:
The loan balance at the end of 3 years is $11,626.26.
Explanation:
Prepare an Amortization Table to determine the loan balance at end of year 3
First, enter the following data in Financial Calculator to find the PMT, payment per month:
Pv = $21,000
r = 7.2%
n = 6 × 12 = 72
P/yr = 12
Fv = $0
PMT = ? - $360.0493
Thus the payment PMT per month is $360.0493.
Year 3
The following are balances extracted from Amortization schedule for Year 3.
Note : 36 months would have expired at end of year 3.
Principle = $ 3,619.94
Interest = $1,060.70
Balance = $11,626.26
Conclusion :
The loan balance at the end of 3 years is $11,626.26
Answer: Jensen shipping's equity multiplier at year-end is 1.80
We arrive at the answer as follows:
Sales $711,000
Profit Margin 5.2% of sales
Since Profit margin generally refers to net profit margin after tax, we don't consider the tax values in the question.
Net Profit in $
less: Dividends <u>-12,500 </u>
Additions to Retained Earnings 24472
Add: Beginning Owner's Equity <u>362400</u>
Ending Owner's Equity 386872
The formula for Equity Multiplier is :
Plugging in the values we get,