Answer:
Creditor beneficiary
Explanation:
The first contract is between Claudia and Clifford, in which Clifford is the debtor to the creditor Claudia.
This means that Claudia holds a legal contractual right to receive a payment from Clifford.
Now there is a second contract between Claudia and Friendly Paving Co. this is basically the agreement to install driveway. For this Claudia has to pay to Friendly Paving Co.
For this if she transfers her right of receiving the payment from Clifford towards Friendly Paving co. then she announces Friendly Paving Co. to be a creditor beneficiary.
Answer:
a. $32,800
b. $37,019
c. $37,460
Explanation:
a. The computation of Total Amount Withdrawn by Alan when simple interest is shown below:-
Accumulated amount of money = Invested amount + (Rate of interest × Number of years)
= $20,000 + ($20,000 × 8% × 8)
= $32,800
b. The computation of Total Amount Withdrawn by Alan when annually Compounded is shown below:-
Accumulated amount of money = Invested amount × (1 + rate of interest)^Number of years
= $20,000 × (1 + 0.08)^8
= $20,000 × 1.85093
= $37,019
c. The computation of Total Amount Withdrawn by Alan when semi annually Compounded is shown below:-
Accumulated amount of money = Invested amount × (1 + rate of interest × Number of years ÷ 200)^16)
= ($20,000 × (1 + 0.08 × 8 ÷ 200)^16)
= $20,000 × 1.87298
= $37,460
Therefore we have applied the above formulas.
Answer:
Where can you go in the Banking Center to review downloaded bank feed transactions that have already been matched to existing transactions in QuickBooks Online?
a. For Reviewed tab
Explanation:
In QuickBooks online, you have the Reviewed tab where you can download at least the last 90 days of transactions, made with your bank or credit card. QuickBooks is also able to categorize all the downloaded transactions you have done. In the reviewed tab you can find all the accepted bank transactions.
Answer:
Cost of equity = 14.74%
Explanation:
The capital asset pricing model is a risk-based model for estimating the return on a stock..
Here, the return on equity is dependent on the level of reaction of the the equity to changes in the return on a market portfolio. These changes are captured as systematic risk.
Systematic risks are those which affect all economic actors in the market, they include factors like changes in interest rate, inflation, etc. The magnitude by which a stock is affected by systematic risk is measured by beta.
Under CAPM,
E(r)= Rf + β(Rm-Rf)
E(r)- cost of equity , Rf-risk-free rate , β= Beta, Rm= Return on market.
Using this model, we can work out the value of beta as follows:
β-1.2 Rf- 4.3%, Rm = 13%
E(r) = 4.3% + 1.2 × (13 - 4.3)%=14.74
%
Expected return = 14.74
%
Cost of equity = 14.74%
Answer:
e- The typical cash budget reflects interest paid on loans as well as income from the investment of surplus cash. These numbers, as well as other items on the cash budget, are expected values; hence, actual results might vary from the budgeted amounts.
Explanation:
Cash budgets are the budgets that are prepared to forecast the cashflows of the company. The amounts appearing in the Cash budget statement are the budgeted amounts measured by the company.
However, the interest to be paid on loans in the next year is a pre-determined value i.e. the rates of interest on loan are fixed and the return on investment is also fixed. Hence, these both values can be determined exactly. The other amounts appearing on the budget statement are forecasted amounts and the actual results may vary from the budgeted amounts.
