User Account

All Pages

What would be the accumulated value of the loan

Assignment Help Accounting Basics
Reference no: EM132943798

Question - Reuben has the option of receiving a loan of $10,125 for 20 years at an interest rate of either 4.73% compounded monthly or 4.73% compounded semi-annually.

a. What would be the accumulated value of the loan at the end of the term, if it was received at the interest rate of 4.73% compounded monthly?

b. What would be the accumulated value of the loan at the end of the term, if it was received at the interest rate of 4.73% compounded semi-annually?

c. How much more interest would Reuben have to pay if he chose the monthly compounding interest rate intead of the semi-annually compounding rate?

Reference no: EM132943798

Questions Cloud

What is the value of a put option : A stock with an annual standard deviation of 13 percent currently sells for $63. The risk-free rate is 2.9 percent. What is the value of a put option
Discuss the role that corporate social responsibility : Discuss the role that corporate social responsibility will play in the implementation of your concept. My concept is called Guber. Guber is an all-female drivin
What are the components of financial statement : What are the components of financial statement? Identify the users of accounting information and state for each 3 informational needs
Find what contribution margin per unit is needed : What is Charity's breakeven volume in number? What contribution margin per unit is needed on the remaining 4,500 discharges in order to reach the target profit?
What would be the accumulated value of the loan : What would be the accumulated value of the loan at the end of the term, if it was received at the interest rate of 4.73% compounded monthly
Prepare a balance sheet as of december : Prepare a balance sheet as of December 31, 2006 for Jake's Car Rental Agency owned and operated by Jake Reyes. Unpaid household bills 2,500
What is the opportunity cost of adding petite sizes : The cost of identical machines with a life of 8 years is $1 300 000. Assume the opportunity cost of capital is 15 per cent. What is the opportunity cost
Primary difference between public and private accounting : 1.MR X runs a business in the state, your association is thinking about running a venture which will involve a speculation of $1,000,000. The item from the vent
What owner equity on december was : During the year the assets increased by P100,000 and the liabilities decreased by P50,000. Owner's equity on December 31 was

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