In buying a computer disk, the buyer was offered the options of paying P250 cash at the end of 30 days or P270 at the end of 120 days. At what rate is the buyer paying simple interest if he agree to pay at the end of 120 days? 28% O 32% O 40% O 25%

Q: What is the equivalent of a current deposit of $32,000.15 years from now at 8.5% interest compounded…

A: Current deposit account is a type of savings deposit with no deposit term specified. It can be used…

Q: How much would be in your account in 8 years after depositing $2000 now? The annual interest rate is…

A: Calculate the future value as shown below Therefore, the correct option is (d)

Q: A man deposited P5,000 in a bank at a rate of 10 % per annum for 3months and 25days. Find the…

A: Given: Amount=P 5000 rate=10% Time=3 months 25 days Note: Due to multiple questions being posted,…

Q: On their saving accounts, Al- Rajhi Bank offers an annual interest rate of 16% nominal, Compounded…

A: Given information, Present value (p)= $22,000 Interest rate (r)= 16% Compounded period (m)= 4…

Q: 5) Find the present worth at i=10% per year for the cash flow shown below. $4,000 0 1 $3,000 2 3 4 5…

A: Cash flow refers to the movement of money into or out of a business or individual's financial…

Q: If the first payment of $12,000 is received now, what is the present worth of a certain contract,…

A: The present value method is an equivalency method in which a project's cash flows are discounted to…

Q: Find the net present worth of the following cash flow series at an interest rate of 9%.

A: Net present value (NPV) formula: NPV = ∑i=1nCi(1+r)i  - Initial investment. Where Ci is cash flow in…

Q: How would we compute the present discounted value of payments of $8,000 received thre years in the…

A: The present discounted value gives the amount of dollars that an individual is willing to invest for…

Q: 1. For the cash flows shown below, find the equivalent amount at time t=12. $450 $500 $100 $100 $100…

A: Explanation of Present Value (PV): Present Value is the current worth of a future sum of money,…

Q: Consider an EOY geometric gradient, which starts at EOY 2 with an initial value $13500 and continues…

A: A geometric gradient refers to a series of values or cash flows that change by a constant ratio over…

Q: You are currently thinking about setting up a retirement fund. You want to deposit $4000 every year…

A: Future value refers to the value of the money that an original investment will increase, over time,…

Q: Your company borrowed $50,000 from a bank and have agreed to pay the principal back by making…

A: Simple interest:Simple interest is the amount that you get on your deposits. it is fixed not…

Q: You can buy a mountain bike on sale for only $562.97. What is the percent markdown if the original…

A: Sale price= $562.97 Original price = $659.50

Q: Assume there is a bond with the coupon rate of 15.2%, yield to maturity (YTM) of 9.4%, and with the…

A: Present value is the value of investment in today's dollar.  Future value is the value of investment…

Q: A $1,000 bond pays an interest of $50 each year for 20 years. The bond will mature at the end of 20…

A: here we calculate the rate of return , investor receive by calculating the given cashflow , and…

Financial Statements

Financial statements (or financial reports) are the formal records of the financial activities that are undertaken by a firm. They are convenient instruments used for analyzing a company’s financial position and performance. Financial ratios are created with the help of the numerical values that are derived from the financial statements. They give meaningful information about the financial performance of the company.