What apr rate should you charge your customers

Reference no: EM13303391

As a jewelry store manager, you want to offer credit, with interest on outstanding balances paid monthly. To carry receivables, you must borrow funds from your bank at a nominal 9%, monthly compounding. To offset your overhead, you want to charge your customers an EAR (or EFF%) that is 2% more than the bank is charging you. What APR rate should you charge your customers?

Reference no: EM13303391

Questions Cloud

How much net working capital will the firm recapture : The firm also estimates the project will require an additional 7000 a year in current assets for each one of the four years of the project. How much net working capital will the firm recapture?

Bad grammar in advertising : Use an search engine on the Internet to find examples of images or Web sites with images of bad grammar used in advertising, company Web sites, or news articles. For example, you can search "bad grammar in advertising" or "bad grammar examples"

Estimate the direct runoff in inches for a design storm : Of this total, 2000 acres are residential(CN=68), 500 acres are industrial (CN=88), and 2500 acres are forest with good cover (CN=55). For a design storm of with a total precipitation of 7 inches, estimate the direct runoff in inches.

The bond markets are important because they : The bond markets are important because they are A) easily the most widely followed financial markets in the United States. B) the markets where foreign exchange rates are determined.

What apr rate should you charge your customers : To offset your overhead, you want to charge your customers an EAR (or EFF%) that is 2% more than the bank is charging you. What APR rate should you charge your customers?

Make the flowchart of the above business processes : create the flowchart of the above business processes. The assignment will be completed in 2 parts:1. AS-IS Model2.TO-BE Model once feedback is given from Professor after completing Part 1 (AS-IS Model)

Calculate the direct runoff using the scs method : A hyetograph has a uniform rainfall intensity of 1.5 in/hr in the first hour, 2.0 in/hr in the second, and 0.75 in/hr in the third. Calculate the direct runoff (in inches) using the SCS method. Assume a curve number of 65.

Find how fast the fish is moving : A vertical spring has one end attached to the ceiling and a 2.50-kg fish attached to the other one. find how fast the fish is moving after it drops 20.0 cm

Compute cost of new common stock : Expected cash dividends are $2.50, the dividend yield is 6%, flotation costs are 4% of price, and the growth rate is 3%. Compute cost of new common stock.

User Account

All Pages