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2 years ago

Why do you need your rate of return to be greater than inflation

1 answer:

6 0

Because when inflation levels are stable and moderate, investors have lower expectations of high market returns. Conversely, expectations rise when inflation is high.

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He balance shown in the August bank statement of Colt Company was $22,400. After examining the August bank statement and items i

Pani-rosa [81]

Answer:

A.$20,200

Explanation:

The computation of the cash amount which is to be reported is shown below:

= August bank statement balance - checks outstanding + deposit outstanding

= $22,400 - $4,500 + $2,300

= $20,200

The other items like NSF check, Note collected by the bank for the Colt Company, and Bank service fees are irrelevant. Hence, these are ignored and not be considered in the computation part

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2 years ago

Jesse and Tim form a partnership by combining the assets of their separate businesses. Jesse contributes accounts receivable wit

WARRIOR [948]

Answer:

Jesse's Investment

Journal Entries to record in the Partnership accounts

Account Titles Debit Credit

Accounts Receivable $46,500

($50,000 - $3,500)

Equipment(Agreed Price) $58,000

Allowance for Doubtful Debts $2,000

Jesse Capital Account $102,500

(Balancing Figure)

Tim's Investment

Journal Entries to record in the Partnership accounts

Account Name Debit Credit

Cash $21,000

Inventory (At Agreed price) $48,000

Tim Capital $69,000

8 0

2 years ago

First National Bank charges 13.7 percent compounded monthly on its business loans. First United Bank charges 14 percent compound

Liula [17]

Answer:

First National Bank = 14.6%

First United Bank.= = 14.8%

Explanation:

Effective annual rate is the equivalent annual rate o where interest rate is compounded at an interval shorter than a year.

It can be calculated as follows:

EAR = ( (1+r)^(n) -1) × 100

r -interest rate per period

n- number of period

EAR - Effective annual rate

First National Bank

r - interest rate per month = 13.7%/12 = 1.141%

number of period = 12 months

EAR =( (1+011141)^(12) - 1) × 100

= 0.145938395 × 100

= 14.59

= 14.6%

First United Bank.

r- interest rate per quarter - 14%/4 = 3.5% per quarter

n- number of quarters = 4

EAR = ((1+0.035)^(4)- 1) × 100

= 0.147523001 × 100

= 14.8%

8 0

2 years ago

alvin Tucker is in the process of launching an educational services firm. He plans to incorporate the firm. Because the firm wil

Sever21 [200]

Answer:

________________________________

alvin Tucker is in the process of launching an educational services firm. He plans to incorporate the firm. Because the firm will be incorporated, Calvin is legally required to have a board of directors

________________________________

The role of Directors on a board

representative of the company's shareholder to oversee the management of the company.

________________________________

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1 year ago

Many customers have expressed a preference for local produce in season. Andy and Scott form partnerships with local farmers to e

FinnZ [79.3K]

The answer is a clout

3 0

3 years ago