« previous next »

Author Question: Lockbox arrangement benefits include A) increased cash flows from delays in uncollectible check ... (Read 37 times)

karateprodigy

  • Hero Member
  • *****
  • Posts: 550
on: Jul 10, 2018
Lockbox arrangement benefits include
 
  A) increased cash flows from delays in uncollectible check processing.
  B) elimination of bank charges for handling and audit functions.
  C) increased working capital from shorter receivables/cash transformation time.
  D) all of the above are benefits from this arrangement.

Question 2

You put 20 down on a home with a purchase price of 150,000, or 30,000. The remaining balance will be 120,000. A bank will loan you this remaining balance at 4.375 APR.
 
  You will make monthly payments with a 20-year payment schedule. What is the monthly annuity payment under this schedule?
  A) 751.11
  B) 830.53
  C) 910.12
  D) 5,250.18


1_Step_At_ATime

  • Sr. Member
  • ****
  • Posts: 342
Reply #1 on: Jul 10, 2018
Answer to Question 1

C

Answer to Question 2

Answer: A
Explanation: A) The bank loan of 120,000 is the PV.
The PVIFA using r = = 0.36458 and n = 20  12 = 240 periods is 159.7643.
The monthly annuity payment = PMT = = = 751.11.
MODE = END
INPUT 240 4.375/12 -120,000 ? 0
KEY N I/Y PV PMT FV
CPT 751.11


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

If you use artificial sweeteners, such as cyclamates, your eyes may be more sensitive to light. Other factors that will make your eyes more sensitive to light include use of antibiotics, oral contraceptives, hypertension medications, diuretics, and antidiabetic medications.

Did you know?

Of the estimated 2 million heroin users in the United States, 600,000–800,000 are considered hardcore addicts. Heroin addiction is considered to be one of the hardest addictions to recover from.

Did you know?

Addicts to opiates often avoid treatment because they are afraid of withdrawal. Though unpleasant, with proper management, withdrawal is rarely fatal and passes relatively quickly.

Did you know?

It is believed that the Incas used anesthesia. Evidence supports the theory that shamans chewed cocoa leaves and drilled holes into the heads of patients (letting evil spirits escape), spitting into the wounds they made. The mixture of cocaine, saliva, and resin numbed the site enough to allow hours of drilling.

Did you know?

Since 1988, the CDC has reported a 99% reduction in bacterial meningitis caused by Haemophilus influenzae, due to the introduction of the vaccine against it.

Organisms exhibit a diversity of behaviours, which include (clockwise from upper left), foraging and Organisms exhibit a diversity of behaviours, which include (clockwise from upper left), foraging and
Arrangement of Lesions Arrangement of Lesions
Verification of benefits worksheet. Verification of benefits worksheet.
To check to see if the electric fuel pump can be operated from the relay contacts, use a fused ... To check to see if the electric fuel pump can be operated from the relay contacts, use a fused ...
Effects of septal defects: (A) normal shunt; no cyanosis; (B) increased pressure in right ventricle; ... Effects of septal defects: (A) normal shunt; no cyanosis; (B) increased pressure in right ventricle; ...
Combination of arrangement and sequence is correct Combination of arrangement and sequence is correct
Video: Prone Position

For a complete list of videos, visit our video library