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- Question 1 A Collage student borrowed $5,000 on August 1 from the bank and must repay a total of $5,300 on July 31st of next year. Determine the interest amount. O a. $5,000 O b.$5,350 Oc. $ 350 O d.$ 300The present value of a fixed-payment loan is calculated as the, all cash flow payments. of the present value of Select one: O a. log b. sum c. multiple d. differenceIt refers to an annual decrease in value of physical properties with passage of time and use O A. Annuity O B. Depreciation O C. Stock O D. Bond
- is a measure of how much money can be afforded for investment in excess of cost O a. Future Cost O b. Present Worth O c. Future Worth O d. Present Costuestion 3 If you want to minimize interest payments on a loan, you'll need one that has a simple interest rate so that yo John opened an account, and knew exactly how much it would be worth at the end of the year, because it used year. What is simple interest? Oa. Interest only on original amount saved or borrowed Ob. interest on original amount saved, borrowed and other interest earned Oc. a fee paid for the use of someone else's money Od. taxes on the original amount saved or borrowed L A Moving to another question will save this response. →Question 20 If I pay off my entire credit card bill before this date, I do not have to pay interest on the money I have borrowed on my credit card. What is this called? O A. Forbearance period. O B. Grace period. Oc. Default. O D. Probationary period. Save and Quit DELL Ce & # 7 8. 4. e f 1. S d.
- Suppose the market for loanable funds is currently in equilibrium. Which of the following factors will cause an increase in the interest rate? Select one: O a. An increase in the household saving rate O b. An expansionary monetary policy Oc. An increase in business confidence O d. A decrease in government budget deficits Travis buys a 20-year, $10,000 US Treasury bond with a coupon rate of 5%. After three years, he has some unexpected expenses and decides to sell the bond. In which market will Travis sell his bond? Select one: O a. The secondary bond market O b. The primary bond market O c. The Treasury bond market Od. The T-bond marketWhat is the main advantage for an LLC or Corporation? Select one: O a. taxes O b. to avoid personal liability O C. to raise capital O d. easy to createAdam, a farmer, wants to buy a new equipment in three years from now. He expects that the price of the equipment will be $15000 in three years. Approximately. how much money should Adam put currently in his savings account if a bank pays 5% interest rate on that account? of Select one: O a. $12958 O b. $12465 O c. $19284 O d. $15928
- 19. Which of the following is considered an acepua A. Son buys home from his father 17. The market value of a newly constructed homes MOST likely very similar to its were much smaller than those built at the end of Tave ing to pay more for these smaller houses than for 18. The first few houses constructed in a subdivision A. B. substance. hich C. depreciation. pe D. functionality. a A.highest and best use. B. Cost. C. depreciated value. D. worth. a the building phase. However, buyers are still to a larger one in a different subdivision. This i. example of A. highest and best use.o biano B. conformity. C. progression. D. plottage. TheappraiseT Toperties oft the value ocouciistiou lu nive LI an comparable sale? A. Son buys home from his father B. Property purchased at a tax Sulsv sale d9:48 O O 90% iwe-nnoq-seu ► PROBLEM SOLVING LA bil for a motorbort indicates a cost of P2, s00 dur in 100 deys. but promites a % tistounti Pimbursed within 30 days What is the highest umple interest rate at which the buyer can berrow money in orter to henete trom the tiscnunt? 2. The salling prica ot a TV sat it doutlu that at its net cant, It the TV sut li solit te a ustomer at a profit of 25% af the net cot, how much discount was gven to the customer? 3. A salestady's morthly come at Jessie's Department Stare s partly fied and partiaty variabke, dependng on the value uf her sales for the month When the manthly value uf her salen b P10c00.00, her montiy salary PSOL.cO. Her moothiy income increases to FLO00,00 when hur mnnthiy vales reach PIL00U D0 What must the value of her monthly sales be in order for her monthly salary to reath 4, You re buyng new televnien, From pant experience you estimate future repair cont es S00 during the fiest year, P1800 during second year, P2700 during the…Interest 6% lonable fund is 4trillion. Suppose there was a change in the tax laws to encourage savers to save more and as a result, assume the equilibrium interest rate falls by 2 % point. By how much the equilibrium loanable funds saved and invested would rise or fall?