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Sidana [21]
3 years ago
13

Derek decides to buy a new car. The dealership offers him a choice of paying $600.00 per month for 5 years (with the first payme

nt due next month) or paying some amount today. He can borrow money from his bank to buy the car. The bank requires a 5.00% interest rate. What is the most that he would be willing to pay today rather than making the payments
Business
1 answer:
frosja888 [35]3 years ago
3 0

Answer:

PV= $31,794.12

Explanation:

Giving the following information:

Monthly payment= $600

Number of months= 5*12= 60 months

Interest rate= 0.05/12= 0.004167

<u>To calculate the present value of the monthly payments, we need to use the following formula:</u>

PV= A*{(1/i) - 1/[i*(1 + i)^n]}

A= monthly payments

PV= 600*{(1/0.004167) - 1/ [0.004167*(1.004167^60)]}

PV= $31,794.12

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A credit sale of $4700 is made on April 25, terms 2/10, net/30, on which a return of $250 is granted on April 28. What amount wi
Mkey [24]

The amount that will be received as payment in full by the seller after deducting the return of $250, and applying the 2/10, net/30 terms will be equal to $4,361 on May 4.

<h3>What is the 2/10, net/30 rule?</h3>

2/10 Net 30 refers back to the change credit offered to a customer for the sale of products or services. 2/10 net 30 approach that if the amount due is paid within 10 days, the customer will experience a 2% discount.

Otherwise, the amount is due in complete within 30 days.

As per the information:

Selling price: $4,700

Discount: 2% (if paid within 10 days of purchase)

returned: $250

The actual amount to be received by the seller:

\rm\, Actual \,Amount \,to\, be\, Received = (\$4,700 - \$250) \\\rm\, Actual \,Amount \,to\, be\, Received= \$4,450 \times 0.02 \\\rm\, Actual \,Amount \,to\, be\, Received= \$4,450 - \$89 \\\rm\, Actual \,Amount \,to\, be\, Received= \$4,361

Hence, The amount that will be received as payment in full by the seller after deducting the return of $250, and applying the 2/10, net/30 rule will be equal to $4,361 on May 4.

learn more about 2/10 Net 30 terms:

brainly.com/question/19865944

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6 0
3 years ago
Do you think individuals should be able to open companies anonymously? Why or why not?
adoni [48]
Well im stuck in the middle so ill give you to reasons 


why i think they shouldnt be able to:
cuz they might wanna open it just as a scam and might try scamming and/or harming others



why i think they should be able to:
if they have a great idea and can prove its not a scam then im all for it ppl should be able to share and give their idea's to the world no matter howw far fetched they may seem 

also ur question requiers an opinion so it should be what YOU  think not just what others think :) in this type of question it would be best to go with ur own answer cuz there is no right or wrong anyways have a nice day :)
8 0
4 years ago
Gavin tells Rod that he will pay him $400 to paint his house. Rod starts to paint, intending to accept. Halfway through his pain
natta225 [31]

Answer:

Gavin is allowed to revoke if he finds Rod's efforts half-hearted

Explanation:

given  data      

Gavin pay  for paint his house = $400

solution

as given Gavin pay Rod for paint his house at $400 but  Gavin want to revoke the offer so Either he accepts, or he does not accept the offer.

If he starts to paint the offer, and Gavin doesn't like his work, the offer may be canceled.

so scenario is Gavin is allowed to revoke if he finds Rod's efforts half-hearted

7 0
3 years ago
Marginal cost is the: a. rate of change in total fixed cost that results from producing one more unit of output. b. change in to
poizon [28]

Answer:

b. change in total cost that results from producing one more unit of output.

Explanation:

<em>Marginal cost is the increase in in total cost as a result of producing one more additional unit. It is the extra cost incurred when an additional unit of a product is produced.</em>

5 0
4 years ago
Read 2 more answers
The outcome of the situation where multimarket competition reduce the competition intensity among rivals is:a. Mutual forbearanc
nydimaria [60]

Answer:

A mutual forbearance

Explanation:

Rivals in mutual forbearance become more interconnected and familiar with each other, and will make less competitive movements due to their competitors ' opportunities for cross-market retaliation.

6 0
3 years ago
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