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2 years ago

Bruce borrowed $1,000 for his trip. If bruce waits for five years to begin paying back his loan, how much will he owe?.

Business

1 answer:

adoni [48]2 years ago

3 0

Answer:

$1,610.51

Explanation:

The complete question is

Bruce takes out a personal loan of $1,000 to go on a trip to Florida. His loan has an annual compound interest rate of 10%. The loan compounds once each year. When you calculate Bruce's debt, be sure to use the formula for annual compound interest.

Bruce borrowed $1,000 for his trip.

If Bruce waits for five years to begin paying back his loan, how much will he owe?

we know that

The compound interest formula is equal to

where

A is the Final amount owed

P is the amount of money borrowed

r is the rate of interest in decimal

t is Number of Time Periods

n is the number of times interest is compounded per year

in this problem we have

substitute in the formula above

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Answer: I know that I'm not great at tests, so I'm not going to worry about studying a lot.

Explanation:

The Growth Mindset is a principle that describes the mindset of believing that one can get better. It is the belief that your basic skills can be horned to be better by constantly working towards it.

The person in Option B who said that they won't study because they know they are not very good at tests does NOT have the growth mindset because they are not interested in improving themselves at all. They have made up their mind that they are not very good at something and so will just leave it as it is. This is called a FIXED MINDSET.

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3 years ago

You have the following information regarding a bond that pays semi-annual coupon payments: Time to maturity is 12 years Coupon R

IrinaK [193]

Answer: 2%

Explanation:

As the coupon payments are semi-annual, you need to convert the other measures to semi-annual measures as well.

Coupon rate = 6%/2 = 3% per semi annum

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2 years ago

His income increased dramatically;from$5000 a year to $60,000 a year. Jim decides that instead of using the bus, he would buy a

svet-max [94.6K]

Answer:

This implies that bus is an inferior good and car is a normal good.

Explanation:

Initially, Jim's income was $5000 a year.

As his income increases to $60,000 a year, he decides to buy a car instead of using the bus.

In other words, with the increase in income, the demand for traveling by bus is declining.

This implies that it is an inferior good.

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So, the car is a normal good.

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2 years ago

On June 30, 2020, Sage Company issued $3,551,000 face value of 13%, 20-year bonds at $3,818,140, a yield of 12%. Sage uses the e

Lubov Fominskaja [6]

Answer: See attachment

Explanation:

The journal entry to record the transactions has been attached.

1. The issuance of the bonds on June 30, 2020.

Debit Cash $3818140

Credit Premium on bonds payable $267140

Credit Bonds payable $3551000

(2) The payment of interest and the amortization of the premium on December 31, 2020.

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Credit Cash $230815

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Credit Cash $2380815

(4) The payment of interest and the amortization of the premium on December 31, 2021.

Debit Interest expense $228975

Debit Premium on bonds payable $1940

Credit Cash $230815

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3 years ago