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Alexeev081 [22]
2 years ago
10

The York Company has arranged a line of credit that allows it to borrow up to $64 milion at any time. The interest rate is .640

percent per month. Additionally, the company must deposit 6 percent of the amount borrowed in a non-interest bearing account. The bank uses compound interest on its line-of-credit loans. What is the effective annual rate on this line of credit?
Business
1 answer:
klio [65]2 years ago
7 0

Answer:

8.46%

Explanation:

Monthly interest rate = 0.640%

Number of month in year = 12

Investment in non-interest bearing = 6%

Effective annual interest = [(1 + Monthly interest rate)^Number of month] - 1 / (1 - Investment in Non-interest)

Effective annual interest = [(1 + 0.640%)^12] - 1 / (1 - 6%)

Effective annual interest = (1.0064)^12 - 1 / 0.94

Effective annual interest = 1.07956187072 - 1 / 0.94

Effective annual interest = 0.07956187072 / 0.94

Effective annual interest = 0.084640288

Effective annual interest = 8.46%

Hence, the Effective annual is 8.46%.

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Presented below is information related to Bobby Engram Company.
Natasha_Volkova [10]

Answer:

A. $ 98,210

B1. Cost to retail percentage 60%

B2. Cost to retail percentage 65.73 %

B3. Cost to retail percentage 58 %

B4. Cost to retail percentage 63.33 %

Explanation:

A. Computation for the ending inventory at retail

Inventory at Retail

Beginning Inventory $ 100,000

Purchase ( Net ) $ 200,000

Net Markup $ 10345

Less Net Markdown ($26,135)

Less Sales Revenue ($ 186,000)

Ending Inventory $ 98,210

Therefore the ending inventory at retail will be $ 98,210

B1) Computation for a cost-to-retail percentage

Excluding both markups and markdowns.

Cost to Retail Percentage

Excluding both Markup and Markdown

Cost Retail

Beginning Inventory $ 58,000 $ 100,000

Purchase (Net) $ 122,000 $ 200,000

Total $ 180,000 $ 300,000

Cost to retail percentage = $180,000/$300,000 Cost to retail percentage = 60%

B2. Computation for a cost-to-retail percentage Excluding Markups but Including Markdown

Cost Retail

Beginning Inventory $ 58,000 $ 100,000

Purchase (Net) $ 122,000 $ 200,000

Less Mark down ($ 26,135)

Total $ 180,000 $273,865

Cost to retail percentage= $180,000 /$ 273,865*100

Cost to retail percentage= 65.73 %

B3. Computation for a cost-to-retail percentage Excluding Markdowns but including Markups

Cost Retail

Beginning Inventory $ 58,000 $ 100,000

Purchase Net $ 122,000 $ 200,000

Add Net Markups $ 10,345

Total $180,000 $ 310,345

Cost to retail percentage = $180,000 / $ 310,345*100

Cost to retail percentage = 58 %

B4. Computation for a cost-to-retail percentage Including both Markups and Markdown

Cost Retail

Beginning Inventory $58,000 $100,000

Purchase Net $ 122,000 $ 200,000

Net Markups $ 10,345

Less Net Mardown ($26,135)

Total $ 180,000 $ 284,210

Cost to retail percentage = $ 180,000/ $ 284,210 × 100

Cost to retail percentage = 63.33 %

Therefore the cost-to-retail percentage are:

B1. Cost to retail percentage 60%

B2. Cost to retail percentage 65.73 %

B3. Cost to retail percentage 58 %

B4. Cost to retail percentage 63.33 %

8 0
2 years ago
Brandy has some money saved for college and also receives a work-study position to help pay for her college tuition. If Brandy g
Elanso [62]
Brandy has some money saved for college and also receives a work-study position to help pay for her college tuition. If Brandy graduates from college, she will not have to repay the work-study compensation because that income is not a loan.

Thus the answer is letter A.
<span>>>The work-study program caters part-time employment to undergraduates and graduates to help with college expenses. There are two different kinds of work-study: Federal Work-Study and non-Federal Work-Study.</span>
6 0
3 years ago
One of the major shortcomings of organizational charts is that they do not recognize the role of _____ when they depict authorit
Snezhnost [94]

Answer:

b. ​horizontal communication

Explanation:

The communication is the process of passing the information from the sender to the receiver which involves the encoding, decoding, feedback, etc

The horizontal communication is the communication which communicate with the same level of the management i.e means passing the information within the organization of the same role and responsibilities

so according to the given scenario, the major short coming is of horizontal communication as they do not recognize the role of different level of management or different role and responsibilities

8 0
3 years ago
If during 2011 the Republic of Sildavia recorded a value added of $78 billion, wages of $40 billion, profits of $8 billion, and
Otrada [13]

Answer:

$12 billion.

Explanation:

Given: Value added during 2011= $78 billion.

           Total sales= $90 billion.

Intermediate goods are the goods used to produce final product and it is not included in the calculation of GDP, however, it is included in the value of final goods.

Now, finding the value of intermediate goods purchased.

Intermediate goods= Total\ sales - Total\ value\ added

⇒ Intermediate goods= \$ 90\ billion - \$ 78 \ billion

∴ Intermediate goods= \$ 12\ billion

Hence, value of intermediate goods purchased is $12 billion.

7 0
3 years ago
(Last Word) According to Yale University's Environmental Performance Index (EPI), A) growth in GDP per person initially improves
tatiyna

Answer:

B) countries with higher GDP per person tend to have healthier environments.

Explanation:

According to the 2020 Environmental Performance Index (EPI) elaborated by Yale and Columbia universities, a strong positive correlation exists between high GDP per capita and healthier environments. There are a few exceptions to this correlation, in Asian (especially Arab) countries where GDP per capita might be high, but the vast majority of income is received by a vary small number of people. But in the rest of the world, a high GDP per capita generally results in healthier environments.

7 0
3 years ago
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