### Determine the total two-year interest cost

Assignment Help Finance Basics
##### Reference no: EM1366918

Boatler Used Cadillac Corporation needs \$80,000 in financing over the next 2-years. The company can borrow  funds for 2-years at 9% interest every year. Mr. Boatler decides to do economic forecasting and determines that if he utilizes short-term financing instead, he will pay 6.75 percent interest in the first year and 10.55 percent interest in the second year. Determine the total two-year interest cost under each plan. Which plan is less costly?

#### What is the bond current yield

a. What is the bond's current yield? Round your answer to two decimal places. Do not round intermediate calculations. b. What is the bond's nominal annual yield to maturity (

#### Explain what each ratio and piece of financial data means

Explain what each ratio and piece of financial data means and explain the trends in each; are they increasing or decreasing and is this trend positive or negative for the fi

#### What is the maximum amount of dividends

what is the maximum amount of dividends PER SHARE that the firm could pay? In terms of cash availability, what is the maximum amount of dividends PER SHARE the firm could pa

#### Managers and financial teams face

At least 2 ethical issues that managers and financial teams face when preparing financial reports. What regulations should be considered when making a decision about each issu

#### Calculate total real return

Suppose you purchased one of Great White Shark Repellant Co.'s 7 percent coupon bonds one year ago for \$870. These bonds make annual payments and mature 11 years from now.

#### A supermarket the in-store computerized inventory

ABC has a chain of twenty supermarkets. When stock items reach their re-order level in a supermarket the in-store computerized inventory system informs the stock clerk. The

#### Relevant asset positions and any arbitrage profits

If the prevailing bank bill rate is 6 per cent per annum and the dividend rate d = 4 per cent per annum, does this represent an arbitrage opportunity? Use a table show the r

#### What will be the estimation of his reserve funds

krishna spares Rs 24000 a year for a long time, and Rs.30,000 a year for a long time from that point. On the off chance that the rate of hobby is 9 percent intensified yearly,