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The Dade Corporation is borrowing $300,000 for one year and paying $27,000 in interest to Miami National Bank. The Bank Requires a 20 percent compensating balance. Waht is the effective rate of interest? What would be the effective rate if the company were required to make 12 monthly payments to retire the loan? The Principal, as used in formula used below refers to the fund the firm can effectively utilize (amount borrowed-compensating balance)
Effective rate on installment loans= 2X Annual no. of payments x interest(Total no. of Payments +1) x Principle
Explain how has a more diversified labor force affected the corporate structure and the economy.
the comparison of the percentage of change in the one variable divided by the percentage change in the other variable. An analytical technique utilized to show best case scenarios of demand and supply curves.
You are the manager of a firm that produces products X and Y at zero cost. You know that different types of consumers value your two products differently.
Suppose two nations are considering specializing in either calculators or personal computers. If solely producing calculators, country A can produce 300 and country B can produce 400.
Explain when an economy ever pursue a contractionary fiscal policy.
Describe the point elasticity of demand with respect to advertisement
Illustrate what do these numbers imply for the decision of when to open a shared facility versus two separate facilities.
a powerful leading indicator of overall future economic activity. Elucidate why is it a more meaningful indictor than housing starts.
The market for hog hats is competitive and demand is given through P=75-Q while supply is given by P=15+2Q. Determine the equilibrium price and quantity in this market?
Illustrate what policies have been proposed or implemented to address the problem your describe.
Suppose two high tech companies, X and Y, are the only producers of a new product that is used my numerous computer manufacturers.
Illustrate what do you think would be the effect of Increases/decreases in the dollar's exchange value on the firm's profitability.
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