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murzikaleks [220]
3 years ago
10

Alden Trucking Company is replacing part of its fleet of trucks by purchasing them under a note agreement with Kenworthy on Janu

ary 1, 2019. Alden financed $37,908,000, and the note agreement will require $10 million in annual payments starting on December 31, 2019 and continuing for a total of four more years (final payment December 31, 2023). Kenworthy will charge Alden Trucking Company the market interest rate of 10% compounded annually. Upon the first payment of the note on December 31, 2019, the amount of interest expense to be recorded is:
Business
1 answer:
pantera1 [17]3 years ago
6 0

Answer:

The multiple choices are:

A. $1,000,000.

B. $2,790,800.

C.$3790, 800.

D.$4,000,000

The correct optio is C,$3790, 800.

Explanation:

The interest expense on the loan is usually the opening balance multiplied by the market rate interest which is 10% in this question.

In addition,we can deduct the annual repayment in order to know the closing balance of the loan.

Year   opening bal                interest expense at10% repayment   closing bal.

2019    $37,908,000      $3,790,800                $4,000,000

The closing balance is $37,908,000+  $3,790,800-$4000,000

The interest expense is 10% of the present value of $37.908,000 that is  $ 3,790,800.00  

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Zhang Industries is preparing a cash budget for June. The company has $29,500 cash at the beginning of June and anticipates $98,
PtichkaEL [24]

Answer:

Amount to be borrowed  $18,040

Explanation:

The computation of the amount that should be borrowed is given below:

Opening cash balance $29,500

Add Cash Receipts $98,000

Less Cash Disbursements -$122,540

Balance before adjustment $4,960

Desired ending cash balance $23,000

Amount to be borrowed  $18,040

7 0
3 years ago
If the span of management is wide, _______ levels are needed, and the organization is _______. If the span of management is narr
creativ13 [48]

Answer:

If the span of management is wide, <u>Fewer</u> levels are needed, and the organization is <u>Flat</u>. If the span of management is narrow, <u>More</u> levels are needed, and the resulting organization is <u>Tall</u>.

Explanation:

Span of control is the number of personals working under a single Designation.

If their are greater number of employees working under a single designation then the hierarchy chart is wider in length, that's the reason we also say that the organization is flat. Due to these increased number of employees working under single designation, there is lower number of levels in such organization. It is also one of the main reason the employees turnover is very high because there are fewer chances of promotion in flat organizations. The number of candidates for the promotion are higher in the organization.

On the other hand, if their are lower number of employees working under a single designation then the hierarchy chart is taller in length, that's the reason we also say that the organization is flat. Due to these lower number of employees working under single designation, there is higher number of levels required in such organizations. It is also one of the main reason the employees turnover is very low because there are higher chances of promotion in tall organizations. The number of candidates for the promotion are fewer in the organization.

8 0
3 years ago
Freya plans to invest $3,200 a year for 25 years starting at the end of this year. How much will this investment be worth at the
tekilochka [14]

Answer:

$240,885.11

Explanation:

The formula to be used is = annual payment x annuity factor

Annuity factor = {[(1+r) ^N ] - 1} / r

R = interest rate = 8.2 percent

N = number of years = 25

[(1.082^25) - 1 ] / 0.082 = 75.276598

75.276598 x $3,200 = $240,885.11

I hope my answer helps you

6 0
3 years ago
____ is a planning process falling under the Project Integration Management knowledge area. Schedule development Develop project
lianna [129]

Answer:

Develop project management plan

Explanation:

Project integration management is the coordination of all aspects of a project. It involves coordination of the following: tasks, stakeholders, resources, along with any issues arising from parties in the project, evaluating resources, and making choices between different lines of action.

So developing a project management plan is a process that fall under integration management as defined.

3 0
3 years ago
Read 2 more answers
Please help thank yoI
iogann1982 [59]

Submit and ask teacher for extra credit one day you will thank me

6 0
3 years ago
Read 2 more answers
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