1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
julia-pushkina [17]
3 years ago
14

4. Tom Busby owes $20,000 now. A lender will carry the debt for four more years at 8 percent interest. That is, in this particul

ar case, the amount owed will go up by 8 percent per year for four years. The lender then will require Busby to pay off the loan over 12 years at 11 percent interest. What will his annual payment be
Business
1 answer:
bezimeni [28]3 years ago
8 0

Answer:

Tom Busby

His annual payment will be:

= $4,091.64

Explanation:

a) Data:

Loan = $20,000

Interest on loan for 4 years = 8% per annum

Amount of loan after 4 years = $27,200 ($20,000 * 1.360)

Payment period = 12 years

Interest rate during payment period = 11%

b) From online finance calculator:

You will need to pay $4,091 every year for 12 years to payoff the debt at 11% interest.

Monthly Payment $340.97

Annual Payment  $4,091.64

Time Required to Clear Debt 12.00 years

Total of 144 or 12 Payments = $49,099.25

Total Interest $21,899.25

You might be interested in
When businesses collect demographic information on where people live, what they buy, and how they spend their time, they are res
snow_tiger [21]

Answer:

Social environment.

Explanation:

When businesses collect demographic information on where people live, what they buy, and how they spend their time, they are responding to the social environment. The social environment comprises of values, beliefs, practices, customs and behaviors of a group of people living together in a society and how their actions influence their surroundings or environment.

Demographics can be defined as the study and analysis of the characteristics of a population based on pre-defined factors such as education, race, income, sex or gender, and age.

Additionally, businesses gather, analyze and use demographic informations about people in the target market so as to have a competitive edge or advantage and to help build a strong relationship.

7 0
3 years ago
Which of the following statements about operations management in the service sector is most accurate? Operations management in t
VikaD [51]
Operations management in the service sector has grown more rapidly than the manufacturing sector. Operations management is the implementation aspect of management.
8 0
2 years ago
Read 2 more answers
What are the impact of SMEDAN on entrepreneurship
daser333 [38]
You can easily apply for loans and support funds both within and outside the country. It also grants you access to funding from the government and private sector.
6 0
2 years ago
On December 15, 2021, Rigsby Sales Co. sold a tract of land that cost $3,300,000 four $5,000,000. Rigsby appropriately uses the
Flura [38]

<u>Solution and Explanation:</u>

Installment Receivables (Net) of $2,905,600

Basis  Particulars                                         Debit  Credit

Sale:-  Instalment Receivables  $5,000,000  

         Inventory                                               $3,200,000

 Deferred gross profit                                                  $1,800,000

Payment:-  Cash                         $4,90,000  

Instalment Receivables                                     $4,90,000

Deferred Gross profit                 $165,600  

Realised Gross profit                                              $165,600

Instalment Receivables ($5,000,000 minus $490,000) = $4,510,000

Deferred gross profit ($1,800,000 minus $165,600) = $1,634,400

Instalment Receivables (Net) = $2,875,600

8 0
3 years ago
HELP PLEASEE!! CORRECT ANSWER GETS BRAINLIEST A cash outflow from a financing activity would be
ehidna [41]
I believe the answer is “a” or “paying cash dividends.”
5 0
3 years ago
Other questions:
  • Westchester Corp. is considering two equally risky, mutually exclusive projects, both of which have normal cash flows. Project A
    10·1 answer
  • The following transactions relate to the General Fund of the City of Buffalo Falls for the year ended December 31, 2020: Beginni
    5·1 answer
  • Sara shouppe has invested $100,000 in an account at her local bank. the bank will pay her a constant amount each year for 6 year
    15·1 answer
  • A ________ outlines the duties and responsibilities associated with a job and the working conditions involved.
    12·1 answer
  • Which of the following is​ true? A. Both microeconomics and macroeconomics deal with same economic issues of​ inflation, unemplo
    8·1 answer
  • Calculating and using Dual Charging Rates
    13·1 answer
  • What do you call an economy in which the government- ideally- has nothing to say about what, how, and for whom goods are produce
    5·1 answer
  • Plastbolt, a company that manufactures and supplies plastic bottles, wants to acquire a smaller company. It plans to invest in t
    10·1 answer
  • Need help pleaseeee nowwwwwwwwwwwwwwwwwwwwwww
    9·2 answers
  • An operations strategy which recognizes high carrying costs and reduces ordering costs will result in:
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!