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2 years ago

Find the interest for one month on $575 at 3.1% annual interest paid monthly.

Business

1 answer:

nika2105 [10]2 years ago

4 0

Answer:

$1.5

Explanation:

Interest is compounded monthly.

The applicable formula for amounts after one month is

A = P + (1 + r)^n

P = principal amount $575

r is interest rate 3.1% per year or 3.1/12 per month =0.26% or 0.0026

n= 1 month

A = $575 +( 1+0.0026)^1

A =$575x 1.0026

A= $576.495

A= $576.5

Interest earned in the month

= $576.5 -$575

=$1.5

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Which one of the following is not one of the four most common ways people can save money in banks?

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Answer:

Fractional Reserves

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3 years ago

Casey Nelson is a divisional manager for Pigeon Company. His annual pay raises are largely determined by his division’s return o

baherus [9]

Answer:

NPV: $180,285.49

IRR: 21.336%

simple rate of return: 72.13%

Explanation:

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fixed expense: 900,000

EBITA 2,100,000

We will calculate the NPV without the depreciation, as the depreciation is the distribution of the investment cost over the project life.

If we include the depreciation we will be counting the investment amount twice. Entirely at Time 0 and then subtracting on each cash inflow.

We will calculate the NPV at 20% as is the company's discount rate. Even if the current division returns are in 24% as the company accepts project which yields 20%.

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time 5 years

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6,280,285.49 - 6,100,000 = 180,285.49

the IRR:

The internal rate of return is the rate at which the NPV of a priject is zero.

We calculate this using excel formula IRR

or a financial calculator

it could also be done with trial and error using the PV tables.

I will explain you in Excel

FIrst, you write the inflow and outflow per year:

-6,100,000

2,100,000

then we write on another cell:

=IRR(

then, select the cells

and press enter

21.336%

the simple rate of return:

(total return - investment) / investment

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3 years ago

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3 years ago

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Answer:

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2 years ago

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Answer

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8 0

3 years ago

Find the interest for one month on $575 at 3.1% annual interest paid monthly.​

Find the interest for one month on $575 at 3.1% annual interest paid monthly.