The term that best fits the blank above is HOT SITE. A hot site is very useful once a business experiences disaster in the recovery service. This allows the business to still resume in utilizing computer operations when a disaster happens. Therefore, it would be a great advantage to have a hot site or any equivalent to this.
<span>Assume firm needs $10,000. Face amount of loan = $10,000/(1 â’ 0.11 â’ 0.20) = $14,492.75. Discount interest = 0.11($14,492.75) =$1,594.20. Compensating balance = 0.20($14,492.75) = $2,898.55.
With a financial calculator, enter N = 1, PV = 10,000, PMT= 0, FV = â’11,594.20, and solve for I/YR = 15.94%.</span>
Answer:
$710,000
Explanation:
The computation of the owner’s equity at the end of the year is given below:
We know that
Accounting equation equals to
Total assets = Total liabilities + owners equity
where,
Total assets = $800,000 + $150,000 = $950,000
And, the total liabilities = $300,000 - $60,000 = $240,000
So, the owners equity at the end of the year would be
= $950,000 - $240,000
= $710,000
Answer:
Cash $10,430 ; Cash equivalents $20,400
Explanation.
Cash consist of all currencies in hand or any convertible asset which can be converted to cash immediately.
It is to be noted that the assets with high liquidity will be included in cash and cash equivalent balance. They can quickly be converted to cash and would normally have 90 or lesser days to mature.
Solution.
$
Cash in bank. 8,540
Petty cash. 250
Check from customer. 1,350
Money order. 290
Cash. 10,430
The check has a very short maturity period since it will clear within 3-4 working days.
Money order can be cashed immediately .
Therefore;
Cash value is $10,430
For cash equivalent,
Cash equivalent = Money market fund balance + Treasury bills maturing in 60days
Cash equivalents = $10,400 + $10,000
=$20,400.
The amounts considered as cash and cash equivalents as of 31 December are ;
Cash $10,430 , $20,400 respectively.
