paid P8,220 interest at 12.6% for 15 month loan. What was the original loan? 5. Antonieta Zoleta borrowed P150,000 from a Universal Bank at 8.2% interest for 4 years. How much will she pay the bank after 4 years?

Q: What does CAPM allow you to calculate?

A: CAPM model is basically the capital asset pricing model which helps us in determining the expected…

Q: Illustrates how you may obtain the true IRR by using the Goal Seek function?

A: IRR refers to the rate of return at which the net present value of a project is zero. This is the…

Q: What is Monte Carlo simulation analysis?

A: Answer: Monte Carlo simulation is the methodology used to consider the financial, cost, and project…

Q: What would be the equasion for solving this

A: Formula for calculating yearly payment: Yearly payment=(Loan amount * Rate%)1-1(1+Rate%)n

Q: Explain the PSA prepayment model?

A: What Is a Prepayment Model? In lending, a prepayment model is used to estimate the level of…

Q: can you show formulas used to solve this problem?

A: The concept of the time value of money determines that the worth of money gets depreciated over a…

Q: What is the actual formula used to get this answer?

A: Present value of annuity Annuity is a series of equal payments at equal interval over a specified…

Q: Draw a figure to explain Elements of required return - establishing a MARR?

A: The figure is represented as below: Note: Values assumed

Q: Write the note on JIT technique, what is the full form of JIT?

A:

Q: Write out the equation for the CML and explain its meaning.

A: After the investment in different securities, portfolio is prepared which describe the overall…

Q: What is the full form of ERP? Explain ERP with examples?

A: ERP means Enterprise Resource Planning, it is a process management software used by organizations to…

Q: Can you explain DCF model?

A: Introduction Discounted cash flows: DCF is abbreviated as discounted cash flows. The concept of…

Q: how to learn CAPM model?

A: In order to increase the return and reduce the risk, investors generally adding some securities to…

Q: What is the Baumol model, and how is it used?

A: The Baumol model, also known as the Baumol-Allais-Tobin (BAT) model, is a cash management model. In…

Q: Can you please do this problem using an equation.

A: Compound interest is nothing but interest on interest. That means interest is calculated on the…

Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.