Answer:
The payment after 1 year will be
F=P(1+i)^n
n=1 year
P=100,000
F=100000(1+0.09)
F=109000 after 1 year
interest=9/100*100000=90000
exceeded payment=109000-90000=19000
Most homeowners would agree that the most important financial benefit from owning their own home is the tax break. This is known as a tax shelter and allows for homeowners to avoid or lower their taxes. Owning a home reduces your taxable income and in large part due to interest rates and interest paid on an owned home.
Answer:
<em>The project will increase the net working capital of the firm by $4000</em>
Explanation:
Net working capital measure how fast a company can convert its asset to cash, the networking capital can be obtained with the expression below;
net working capital (NWC) = current assets - current liabilities
Current asset = Increase in raw materials = $6,000
Current liabilities = accounts payable increase = $2,000
NWC= Increase in raw materials-increase in accounts payable
=$6,000 -$2,000
=$4000
Therefore this project will increase the net working capital of the firm by $4000
Answer:
Option B 36 months
Explanation:
The reason is that it meets both the budget requirement which is it must be under $250 and must be the one that pays the principle and the interest amount as quickly as possible. So if Markel choses the option with monthly instalments made within 36 which is under $250 then it will also enable him to pay his liabilities as early as possible.