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horrorfan [7]
1 year ago
7

A conventional mortgage loan closed on July 1 for $165,000 at 3.75% interest amortized over 25 years at $857.06 per month. Using

a 360-day year and interest paid in arrears, what would the principal amount be after the monthly payment was made August 1 ?
A. $164,936.30
B. $164,484.38
C. $164,142.94
D. $164,658.57
Business
1 answer:
puteri [66]1 year ago
5 0

Answer:

D. $164,658.57

Explanation:

Initial Borrowing = $165000

Annual Interest Rate = 3.75%

Monthly Payments = $ 857.06

Interest Accrued Between 1st July and 1st August = (30/360) * 0.0375 * 165000 = $516.625

Principal Repaid in first monthly payment = Monthly Repayment - Interest Accrued

= $857.06 - $515.625

= $341.435

Principal Outstanding post 1st Monthly Repayment = $165,000 - $341.435

= $164658.565

= $164658.57

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A speed boat bought for $13,000 depreciates at 10% per annum compounded continuously. What is its value after 7 years? Round the
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Answer:

$3,900

Explanation:

A speed boat bought for $13,000 depreciates at 10% per annum compounded continuously. What is its value after 7 years?

Round the answer to nearest dollar.

Amount of depreciation per annum =  13,000 x 10% = $1,300

Amount of depreciation in 7 years = 1,300 x 7 = $9,100

Value of Speed boat after 7 years = 13,000 - 9,100 = $3,900

6 0
2 years ago
Decko Industries reported the following monthly data: Units produced 52,000 units Sales price $ 33 per unit Direct materials $ 1
Rus_ich [418]

Answer:

$1,275,000

Explanation:

The computation of the  contribution margin is shown below:

As we know that

Contribution margin = Sales - variable cost

or

Selling price per unit - variable cost per unit

And, the direct material per unit, direct labor per unit, and the  Variable overhead per unit are variable cost

So, if 50,000 units are sold, the contribution margin per unit is

= 50,000 × ($33 - $1.50 - $2.50 - $3.50)

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3 0
2 years ago
Answer the following question in your own words:
soldi70 [24.7K]

Answer:

C

Explanation:

8 0
2 years ago
Order the bond types below from lowest to highest risk of default.
Ymorist [56]

Answer:

According to the risk of default from lowest to highest:

1. U.S. Treasury bonds.

2. Corporate bonds.

3. Junk bonds

Explanation:

Bonds are ways through which a governments and corporations are able to raise money in-order to finance the big projects.

It is issued to the public through a mapped out auction based in months or years validity. <em>And, by buying a bond, you're giving the issuer a loan, and they agree to pay you back the face value of the loan on a specific date, and to pay you periodic interest payments.</em>

4 0
2 years ago
Read 2 more answers
Atlas Manufacturing produces a unique valve, and has the capacity to produce 50,000 valves annually. Currently Atlas produces 40
LekaFEV [45]

Answer:

The Total manufacturing costs will increase while the unit manufacturing costs will decrease

Explanation:

The most likely behavior of the total manufacturing costs as well as the unit manufacturing costs is that the Total manufacturing costs will increase while the unit manufacturing costs will decrease because Atlas Manufacturing has the capacity to produce 50,000 valves annually which is per year in which it produces 40,000 valves and is about to increase the production to 45,000 valves the next coming year which will cause the manufacturing costs to increase and inturn cause the unit manufacturing costs to decrease.

6 0
2 years ago
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