Answer:
Additional Earnings = $3386.940745 rounded off to $3386.94
Explanation:
To calculate the amount of additional income, we must first calculate the interest earned at 5% and 6% semi annual compounding for 7 years and then deduct the interest earned at 6% from the interest earned at 5%. The formula to calculate the interest earned under semi annual compounding is,
Interest earned = Principal * (1 + i/n)^(t*n) - Principal
Where,
- i represents the interest rate in annual terms
- n represents the number of compounding periods per year
- t is the time period in years
As the compounding is done semi annually, we can say that the interest is compounded 2 times in a year. Thus, n = 2
<u>At 5 % semi annual compounding</u>
Interest earned = 34000 * (1 + 0.05/2)^(7*2) - 34000
Interest earned = $14041.1099 rounded off to $14041.11
<u>At 6 % semi annual compounding</u>
Interest earned = 34000 * (1 + 0.06/2)^(7*2) - 34000
Interest earned = $17428.05065 rounded off to $17428.05
Additional earnings = 17428.05065 - 14041.1099
Additional Earnings = $3386.940745 rounded off to $3386.94
Answer:
The slope for the relationship between the price and the quantity of ice cream sold would be of -1/15
Explanation:
In order to calculate the slope for the relationship between the price and the quantity of ice cream sold we would have to calculate the following formula:
Slope= change in yaxis( vertical)/change in xaxis(horizontal)
Slope= change in price/change in quantity demand
Slope=P2-P1/Q2-Q1
Slope=3-4/35-20
Slope=-1/15
The slope for the relationship between the price and the quantity of ice cream sold would be of -1/15
Answer:
The correct answer is letter "D": optimal currency area.
Explanation:
An Optimal Currency Area or OCA refers to a region that allows the establishment of a common currency for different countries that have similar economic patterns allowing them to set similar macroeconomic policies. The objective is the integration of those economies promoting growth and currency stability.
However, <em>economic hardship in Greece put block currencies such as the euro at risk since it unbalanced the Euro weight in western Europe. The relatively recent United Kingdom auto exclusion of the European Union (EU) through the "Brexit" is also a sign that the European zone has many countries looking for different interests.</em>
Answer:
The correct answer is a) Constructive resistance.
Explanation:
Constructive Resistance is the ability of structural elements to withstand the efforts to which they are subjected without breaking. It depends on many factors among which the material used, its geometry and the type of union between the elements stand out.
Answer:
a) 14.43% , The amount is reasonable
b) Pay as you go
c) Yashari should should prioritize paying the Loan instalment before saving for the emergency fund
d) Standard repayment plan
Explanation:
Yashari Monthly take-home pay = $1850
<u>a) Determine the % of her paycheck goes toward student loans if she chooses standard repayment</u>
Rate of interest = 4.30%
hence % of her paycheck that goes toward student loan = 14.43%
The repayment amount = $32035. which is very reasonable as well
b) what plan that has the longest repayment period
PAYE ( pay as you earn ) has the longest repayment period
<u>c) prioritizing between her emergency fund goal and student loan </u>
Yashari should should prioritize paying the Loan instalment before saving for the emergency fund because of the penalties that comes with loan defaulting
d) Yashari should select the Standard repayment plan because the final amount paid using this plan is lower
