Answer:
The most expensive car can be afforded is = $17290.89
Explanation:
The down payment of a new car = $4000
The mothly payment (annuity ) = $350
Interest rate on the rate = 12% = 12% / 12 per month.
Now we have to calculate the most expensive car that can be afforded with the finance time of 48 months.
Below is the calculation:
![Present \ value = annuity \times \left [ \frac{1-(1+r)^{-n}}{r} \right ] \\= 350 \times \left [ \frac{1-(1+ 0.01)^{-48}}{0.01} \right ] \\= 13290.89 \\](https://tex.z-dn.net/?f=Present%20%5C%20%20value%20%3D%20annuity%20%5Ctimes%20%5Cleft%20%5B%20%5Cfrac%7B1-%281%2Br%29%5E%7B-n%7D%7D%7Br%7D%20%5Cright%20%5D%20%5C%5C%3D%20350%20%5Ctimes%20%5Cleft%20%5B%20%5Cfrac%7B1-%281%2B%200.01%29%5E%7B-48%7D%7D%7B0.01%7D%20%5Cright%20%5D%20%5C%5C%3D%2013290.89%20%5C%5C)
High quality coffee clothes makeup watches drones
Answer:
The correct answer is letter "E": To a large extent, the decision to dissolve a firm through liquidation versus keeping it alive through reorganization depends on a determination of the value of the firm if it is rehabilitated versus the value of its assets if they are sold off individually.
Explanation:
Liquidation refers to the termination of an enterprise and the transfer of its properties to the creditor or business owners. The liquidation most frequently happens in the context of a bankruptcy. A bankruptcy trustee must sell the company properties to the creditors and split the proceeds.
<em>The decision of keeping a business against liquidating it will depend on the comparison between the value of continuing operating which relies on the current value the firm has in the market against the value of the individual assets the firm has. Whichever greater will determine if the business will remain open or if it will be closed.</em>
