This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Dazzly Diamond Corp. called for credit at the Home Alone Bank of Paris, TX. The terms included a ... (Read 415 times)

abern

  • Hero Member
  • *****
  • Posts: 533
on: May 1, 2019
Dazzly Diamond Corp. called for credit at the Home Alone Bank of Paris, TX. The terms included a $35,000 maximum loan with interest of 1 percent over prime, and the agreement also requires a 15% compensating balance throughout the year. The prime rate is currently 12 percent.

a.If Dazzly Diamond Corp. maintains a balance in its account of $5,250 to $6,000, what is the
effective cost of credit through the line-of-credit agreement where the maximum amount of the loan is used?

b.Recompute the effective cost of credit to Dazzly Diamond if it will have to borrow the
compensating balance and the maximum amount possible under the agreement.
Foundations of Finance ¦ Keown, Petty, Martin ¦ 9th Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by abern on May 1, 2019

ndhahbi

  • Sr. Member
  • ****
  • Posts: 390
Reply #1 on: May 1, 2019
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 45% of students answer this correctly


abern

  • Hero Member
  • *****
  • Posts: 533
Reply #2 on: May 1, 2019
TY


ndhahbi

  • Sr. Member
  • ****
  • Posts: 390
Reply #3 on: May 1, 2019
You're welcome


« previous next »
 

Did you know?

Patients should never assume they are being given the appropriate drugs. They should make sure they know which drugs are being prescribed, and always double-check that the drugs received match the prescription.

Did you know?

The Centers for Disease Control and Prevention (CDC) was originally known as the Communicable Disease Center, which was formed to fight malaria. It was originally headquartered in Atlanta, Georgia, since the Southern states faced the worst threat from malaria.

Did you know?

Alzheimer's disease affects only about 10% of people older than 65 years of age. Most forms of decreased mental function and dementia are caused by disuse (letting the mind get lazy).

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?

In the United States, an estimated 50 million unnecessary antibiotics are prescribed for viral respiratory infections.

Reindeer antlers grow again each year under a layer of fur called velvet. This reindeer is losing th Reindeer antlers grow again each year under a layer of fur called velvet. This reindeer is losing th
The pancreas. This organ sits just below the stomach and is both an exocrine and an endocrine gland. The pancreas. This organ sits just below the stomach and is both an exocrine and an endocrine gland.
Photograph of the flea that transmits Yersinia pestis to cause bubonic plague, called the oriental r Photograph of the flea that transmits Yersinia pestis to cause bubonic plague, called the oriental r
Bank Bank
Bank teller assisting with customer service. Bank teller assisting with customer service.
One way to think about the different phases or stages of adulthood is in terms of the relative ... One way to think about the different phases or stages of adulthood is in terms of the relative ...
Video: Interview with Person who has Panic Attacks

For a complete list of videos, visit our video library