Interest is calculated as a <u>percentage of the principal</u>. With compound interest, the interest earned is <u>added back into the principle</u> so during the next period you start earning interest on the new, higher amount. Every time the interest compounds, it gets added into the principal and you earn more and more interest.
Example:
10% simple interest on $100:
(.1 * 100) +100 = 10 + 100 = $110
But if you do 10% interest compounding monthly for 3 months you have:
Month 1: (.1 * 100) +100 = 10 + 100 = $110
Month 2: (.1*110) +110 = $121
Month 3: (.1*121) + 121 = $133.10
Even with this simple example you can see how much more money is earned when your interest is compounded and added back into the principal.
When you receive a loan, the money the lender gives you is called the LINE OF CREDIT. Answer B.
Answer:
Explanation:
Given that
Beginning of month supplies purchased for $1,000
And, the supplies used = $300
So, The adjusting entry is as follows
1. Supplies expense A/c Dr $700
To supplies A/c $700
(Being supplies expense is recorded)
The supplies expense is computed by
= Supplies balance - supplies used
= $1,000 - $300
= $700
Business market managers be adept at analyzing understanding working relationships & business network because they want to promote and improve the production.
<h3>What is Business?</h3>
Business refers to the activity carried out by the individual or the group of the people in order to produce goods and services for generating the profits.
The Business Market manager helps to promote the business and the improve the production ability in the employees by maintaining the good relationship with them.
There main goal is to develop the business network by connecting with the customers. They builds more customers by maintaining the old customers and building the new potential customers.
Learn more about the business here:
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D would be da most appropriate way for hem to evaluate each other.
