User Account

All Pages

How much total interest will flounder pay on payment plan

Assignment Help Accounting Basics
Reference no: EM132166277

Question - Flounder Excavating Inc. is purchasing a bulldozer. The equipment has a price of $96,700. The manufacturer has offered a payment plan that would allow Flounder to make 8 equal annual payments of $18,790.86, with the first payment due one year after the purchase.

How much total interest will Flounder pay on this payment plan?

Flounder could borrow $96,700 from its bank to finance the purchase at an annual rate of 10%.

Should Flounder borrow from the bank or use the manufacturer's payment plan to pay for the equipment?

Reference no: EM132166277

Questions Cloud

Thoughts about these two csr business models : What are some thoughts about these two CSR business models?
Dilemma regarding cash flow to other entities in corporation : Assess the ethical issues related to Brad’s dilemma regarding cash flow to other entities in the corporation.
Explain why an on-boarding process needs to be created : Explain why an on-boarding process needs to be created. Then create an outline of an on-boarding process. Include a brief explanation of each step.
What may be causing the results : "Many people today are using Fitbit fitness trackers. The tracker's built in goal is for the user to take 10,000 steps per day."
How much total interest will flounder pay on payment plan : Flounder Excavating Inc. is purchasing a bulldozer. How much total interest will Flounder pay on this payment plan
Regulations for a foreign firm entering in japan : What are the regulations for a foreign firm entering in Japan. Cite laws rules, etc. Also what kind of law does japan follow, is it different from USA?
Improve the position of warner music group : What are the key issues you must grapple with to improve the position of Warner Music Group (WMG)?
Why would you want to have a thorough on-boarding process : Why would you want to have a thorough on-boarding process in place at your company? Reference work from the textbook.
Pros and cons to investing in learning and development : In the work environment discuss the pros and cons to investing in learning and development. Which outweigh the other?

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd