Calculate the modified duration of a 30-year mortgage with level annual payments of principal and interest, assuming the interest rate on the mortgage and the current market interest rate are both 9%. A B U D 8.87 9.67 10.27 11.20 E 12.20

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A: Calculate the monthly payment as follows:

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Completing the Accounting cycle

An accounting cycle is a multiple-step process that analyzes, verify, record and summarize the entities financial data. The accounting cycle starts when the transaction occurs between two parties and ends when the transaction is completed. The accounting cycle changes the entity's financial position as it involves identifying, verifying, and recording the financial transaction in chronological order. Financial position is the summary of business transactions that occurred throughout the particular accounting period. The accounting cycle recurs at the beginning of each financial year.