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erastovalidia [21]
3 years ago
12

Tony borrows $1400 at an annual interest rate of 6.0%. He receives the loan on the first day of the current month and will make

monthly payments on the first day of each of the following months until the loan is repaid after 24 months (2-year loan). The monthly loan payment is $62.05. How much interest will Tony pay as part of the first loan payment
Business
1 answer:
geniusboy [140]3 years ago
5 0

Answer:

Interest due on the first loan repayment= $7

Explanation:

Loan Amortization: A loan repayment method structured such that a series of equal periodic installments will be paid for certain number of periods to offset both the loan principal amount and the accrued interest.

The monthly periodic equal instalment is $62.05 which consists of the principal and the interest due.

To ascertain the interest portion of the loan , we will compute the interest due for the first month using the annual interest rate and the principal amount.

Interest due for the first month = 6.0%× 1,400 × 1/12 = $7

Interest due on the first loan repayment= $7

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Following is a list of cost system characteristics and sample companies. Match each to either job order costing or process costi
zavuch27 [327]

Answer:

Explanation:

Process costing can be regarded as a methodology in accounting that involves attributing cost to unit of production in different firms especially firm that are producing product that are homogeneous.

Job order costing can be regarded as

a system that occur when an order of purchase is made by consumer, it helps in way that the price of individual product is affordable by consumer.

a.Companies that produce small quantities of many different products.

(Job order costing)

b.A company that pulverizes wood into pulp to manufacture carboard.

(Process costing)

c.A company that manufactures thousands of identical files.

(Process costing)

d.Companies that produce large numbers of identical products.

(Process costing)

e.A computer repair service that makes service calls to homes.

(Job order costing)

f.A company that assembles electronic parts and software to manufacture

(Process costing)

millions of portable media players.

g.A textbook publisher that produces copies of a particular book in batches.

(Job order costing)

h.A company that bottles milk into one-gallon containers.

(Process costing)

i.A company that makes large quantities of one type of tankless hot water heaters.

(Process costing)

j.A governmental agency that takes bids for specific items it utilizes where each

(Job order costing)

.

7 0
3 years ago
The adversarial system is said to have developed from the trial by ordeal wherein disputes were settled by having the parties fi
nikdorinn [45]

The correct answer is cross-examination. Cross examination is being defined as an interrogation in which being asked to a witness that is being called out by the opponent in which this is being preceded by the direct examination which is followed by a redirect examination.

8 0
3 years ago
Assume the reserve requirement is 15 percent and a bank initially has no excess reserves. If a customer deposits $1,000, how muc
dimaraw [331]

Answer:

$850

Explanation:

Firstly, we calculate the amount of the deposited amount that should be held in the bank reserves. According to the question, this is just 15% of the amount deposited.

This is same as 15/100 * 1000 = $150

Since $150 is kept in reserve, the amount that can be loaned is thus $1000-$150 = $850

It is this $850 that is in excess reserve

3 0
3 years ago
The upper-level management of Nationwide Sales Corporation wants to fire Andy because he is a nonproductive employee. Using a ut
Nimfa-mama [501]

Answer:

C) the costs and benefits of retaining a nonproductive employee.

Explanation:

The utilitarian approach weighs actions in terms of the benefits received over the costs of carrying them out. It is the basis for the cost-benefit analysis, where an idea, activity or investment is good only if the benefits it generates offset the costs of carrying it out. The goal of the utilitarian approach is to maximize the benefits received while minimizing the costs.

7 0
4 years ago
Fitness Fanatics is a regional chain of health clubs. The managers of the clubs, who have authority to make investments as neede
AveGali [126]

Answer:

Old ROI   = 25.5%

New ROI = 28.9%

Explanation:

Current ROI =  Net operating Income/Average Operating Assets

                   = ($ 25,500 /$ 100,000) *100%

                   = 25.5%

Assume manager of the club reduce expenses by $3,400 and variables remained unchanged.

New Net Operating Income = $25,500 + $3,400

                                               =  $28,900

Hence, New ROI = ($28,900/100,000) *100%

                            =28.9%

8 0
3 years ago
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