For a subsidized Loan Payment Calculation, Brian's monthly payment will be approximately $170.94 and for an unsubsidized loan, the monthly payment will increase to $192.90Correct options:
(a) Subsidized loan monthly payment: $190.76
(b) Unsubsidized loan monthly payment: $215.77
Explanation:
The subject of this question is a mathematical calculation of loan payments, under subsidized and unsubsidized conditions. Brian took a loan of $14,505 in college with an annual interest rate of 7.8%.
Subsidized loan calculation: As the loan is subsidized, the interest does not accrue during Brian's time in college. Hence, the total loan amount remains $14,505. Using standard formulae, we find that the monthly payment with an interest rate of 7.8% over 10 years amounts to approximately $170.94.
Unsubsidized loan calculation: In this case, interest does accrue during Brian's time in school. Hence, the total amount due at the time of graduation will be $14,505 + ($14,505 * 0.078) * 2 = $16,467.78. Using the same formula as above, we find the monthly payment over 10 years is approximately $192.90.Correct options:
(a) Subsidized loan monthly payment: $190.76
(b) Unsubsidized loan monthly payment: $215.77
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Answer:
(a) If Brian's loan is subsidized, the interest on the loan does not accrue while he is in school. Therefore, the loan amount of $14,505 remains the same throughout the 2 years he is in school.
To find Brian's monthly payment after graduation, we need to calculate the monthly payment for a loan of $14,505 at an annual interest rate of 7.8% for a term of 10 years (120 months).
To calculate the monthly payment, we can use the formula for the monthly payment on a loan:
Monthly payment = (Loan amount * Monthly interest rate) / (1 - (1 + Monthly interest rate)^(-Number of months))
First, let's calculate the monthly interest rate. The annual interest rate of 7.8% needs to be converted to a decimal and divided by 12 to get the monthly interest rate:
Monthly interest rate = 7.8% / 12 = 0.065
Next, let's substitute the values into the formula:
Monthly payment = (14,505 * 0.065) / (1 - (1 + 0.065)^(-120))
Calculating this expression will give us the subsidized loan monthly payment.
(b) If Brian's loan is unsubsidized, the loan will accrue simple interest during the 2 years he is in school. To find the monthly payment for an unsubsidized loan, we need to calculate the interest that accrued during those 2 years and add it to the loan amount before using the formula for the monthly payment.
To calculate the interest that accrued during the 2 years, we can use the formula:
Interest = Loan amount * Annual interest rate * Time
Substituting the values, we get:
Interest = 14,505 * 0.078 * 2
Calculating this expression will give us the interest accrued.
To find the total loan amount after the 2 years, we add the interest accrued to the original loan amount:
Total loan amount = 14,505 + interest accrued
Then, we can use the formula for the monthly payment as explained in part (a) to calculate the unsubsidized loan monthly payment:
Monthly payment = (Total loan amount * Monthly interest rate) / (1 - (1 + Monthly interest rate)^(-Number of months))
Calculating this expression will give us the unsubsidized loan monthly payment.
Explanation:
MARK ME BRAINLIST
Answer:
$4,392,000
Explanation:
For computing the cost of the goodwill, first we have to calculate the fair value of the net asset which is shown below:
The fair value of net asset = Asset balance + fair value of land - liabilities balance
= $11,450,000 + $690,000 - $4,890,000
= $7,250,000
And, the acquire value is $11,642,000
So, the goodwill would be
= $11,642,000 - $7,250,000
= $4,392,000
Answer:
Information levels
Explanation:
Ben works at a top accounting firm in Salt Lake City and his responsibilities include developing individual and departmental goals, and generating financial analysis across departments and the enterprise as a whole. Ben's duties provide value-added to his company and would be categorized as different information levels
Ben has to manage information on what we can say three different level; individual level which is developing individual goals, team or business unit , which according to the question is departmental goals and generating financial analysis across deparments and on a corporate level, which is the enterprise as a whole which will be reviewed by the executive teamand adding value to the company as a whole.
Answer:
TRUE
Explanation:
In managerial accounting, there are 2 meanings and significance of a relevant range.
1. The relevant range is the level of activity (range) that a firm is operating i.e. the volume of its production activity.
2. The relevant range is the level of activity within which certain cost behaviors are true i.e. whether the costs by their characteristics are fixed or variable.
Beyond a relevant range, cost behaviors could change in 2 ways
1. Variable costs could start manifesting the characteristic of semi variable costs or mixed costs or
2. Fixed costs could become stepped and become stepped fixed costs.
Therefore cost estimations which is based on cost behavior are only VALID within the relevant range. It is only within a given level of output that certain cost estimations holds true.
b. Balance of trade calculates the top producing nations; balance of payments calculates the weakest producing nations.
c. Balance of trade summarizes the flow of goods and services; balance of payments summarizes all capital flows.
d. Balance of payments helps find out ...