Answered: No Plagiarism Please! 21. Complete the…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

No Plagiarism Please!

21. Complete the following transactions and explain how they would appear in your register.

You opened your bank account on April 16 with a tax refund check of $145.00.
You pay SellUPhone $65.34 on April 18. (Check 794)
You deposit your paycheck on April 23, ($9.76/hour for 35 hours)
You buy $61.32 (4% sales tax not included) in clothes from BargainsRUs on April 24 using your debit card.

Be sure to include in your response:

the steps you followed to complete your computations
the balance as of April 24
the process for entering the transaction in the registry

Could someone also please check my answer for another question to.

22. You place $4,000.00 in a bank account with an interest rate of 5.25% APR and another $2,000.00 in an account with an interest rate of 6.00% APR.

a. How much interest will be earned for each account on the original principal in 6 months?

b. What is the difference in the amount of interest earned?

c. Which account has your money working for you the best?

Be sure to include in your response:

• the steps you followed to complete your computations

• the final answers to each question

• the mathematical reasoning for the answer to "c"

answer is in the Image

P1 = 4,000.0
P2=10,00 0,00
R1=5.25. APR
R2=6.00** APR
Now when Case (1) we take P1 and R1
Now, After Over 6 months = 1/2 Year
R=P1 (1+R1/200)2
A-4000 (1+5.25/200] 2* 1/2
A1=4000 [205.25/200
A1 = 410 5
compound Internet = Amount Principal
|c1=4105-4000
|C1=$105
Case (2) now we take P2 and R2
Now, after 6 months = 1/2 years
A2-P2 c 1+R2/200) 2R
A2-2000 (1+6/200)2*1/2
A2-2000(206/200)
A2-2060
C2-A2-P2
C2=60
The difference in the amount of interest
=C2-C2
=105-60
=$45
In my opinion, if I take the case (2) it is more beneficial for me if I am the creditor because due to a high interest I got a
higher amount, but in case (1) we have a higher principal amount so it gives more than case (2) so you should take
case (1) case (1) is better than case (2)

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