What was the minimum amount Alex could borrow

Assignment Help Accounting Basics
Reference no: EM133069820

Question - Linda Davis agreed to lend money to Alex Luciano at a special interest rate of 8% per year, on the condition that he borrow enough that he would pay her $400 in interest over a four-year period. What was the minimum amount Alex could borrow?

Reference no: EM133069820

Questions Cloud

What is the promised yield-to-maturity : Prices for zero-coupon corporate bonds with face values of $1,000 and one year until maturity are summarized in the following table:
Find the net amount to be recognized : The fair value less costs to sell of the herd at Dec. 31, 2019 is 1,400,000. Find the net amount to be recognized in 2019 profit or loss
Find the ordinary interest : A loan for $2,000 with a simple annual interest rate of 20% was made on September 4 and was due on November 5. Find the ordinary interest
Describe capital structure : Mary Francis has just returned to her office after attending preliminary discussions with investment bankers. Her last meeting regarding the intended capital st
What was the minimum amount Alex could borrow : Linda Davis agreed to lend money to Alex Luciano at a special interest rate of 8% per year, What was the minimum amount Alex could borrow
Calculate the intrinsic value of lfm stock : LFM Corporation has an estimated free cash ?ow to equity {FCFE} of $2.50 per share in the current year. Moreover, its FCFE is expected to grow at a constant rat
What is the immediate net cash position : Ted and Terri Tomkin, both aged 35, have three small children. Talia age 10, Tony age 8, and Tania, age 3. The Tomkin's want to ensure that they have adequate r
What is the amount and type of gain on this sale : In 2015, Grant purchased land for $104,050 for use in his business. He sold it in 2018 for $115,650. What is the amount and type of gain on this sale
What is the project expected npv and irr : Sunshine Smoothies Company (SSC) manufactures and distributes smoothies. SSC is considering the development of a new line of high-protein energy smoothies. SSC'

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.

  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!

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