Teagan wants to buy a new refrigerator. The refrigerator costs $1650. Teagan decides to finance the refrigerator for 24 months a
t an APR of 12.5%. Determine Teagan's monthly payment. Round your answer to the nearest cent, if necessary. Formulas
1 answer:
Answer:
$78.06
Explanation:
For computing the monthly payment we need to apply the PMT formula i.e. to be shown in the attachment below:
Given that,
Present value = $1,650
Future value or Face value = $0
RATE = 12.5% ÷ 12 = 1.0416%
NPER = 24 months
The formula is shown below:
= PMT(RATE;NPER;-PV;FV;type)
The present value come in negative
So, after applying the above formula, the monthly payment is $78.06
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Answer:
The events have been explained below while the Horizontal Statement is attached for Expert Computers as of 2018.
Explanation:
Expert Computers
Horizontal statements model
For the year ending 2018
2. It means that if Expert Computers opt to pay for merchandise inventory within 10 days than they can avail the discount of 2%, otherwise they will be paying net amount in 30 days.
3. A/C Payable Balance = $70,000
Paid 1 Half = $70,000 x 1/2 = $35,000
Discount = $35,000 x 2% = $700
Cash Decrease by = $35,000 - $700 = $34,300
4. It means that if the buyer pays the amount within 20 days of the purchase than Expert Computers will give 1% discount, otherwise full amount needs to be paid within 30 days.
5. This is the cost of goods sold.
6. Account Receivables = $56,900
Discount Allowed = $56,900 x 1% = $569
Cash = $56,900 - $569 = $56,331
8. Since the discount is not availed as payment to vendor made within 30 days. Hence, the remaining amount of current liability will balance out with $35,000.
