Which of the following statements is CORRECT, assuming positive interest rates and holding other things constant?
A. Banks A and B offer the same nominal annual rate of interest, but A pays interest quarterly and B pays semiannually. Deposits in Bank B will provide the higher future value if you leave your funds on deposit.
B. The present value of a 5-year, $250 annuity due will be lower than the PV of a similar ordinary annuity.
C. A 30-year, $150,000 amortized mortgage will have larger monthly payments than an otherwise similar 20-year mortgage.
D. A bank loan's nominal interest rate will always be equal to or greater than its effective annual rate.
E. If an investment pays 10% interest, compounded quarterly, its effective annual rate will be greater than 10%.
Answer: E
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Which of the following is part of the outbound portion of a company’s supply chain?
a. local or foreign suppliers of product ideas and designs b. suppliers of raw materials c. distribution centers d. suppliers of partly assembled products and other inputs
The consumer goods companies listed below all pursue the same business model with the exception of
A. Nintendo Wii. B. Epson printers. C. Keurig espresso coffee machines. D. Acer laptops. E. Gillette razors.
Franklin Company obtained a $160,000 line of credit from State Bank on January 1, Year 1. The company agreed to accept a variable interest rate that was set at 1% above the bank's prime lending rate. The bank's prime rate of interest and the amounts borrowed or repaid during the first three months of Year 1 are shown in the following table. Assume that Franklin borrows or repays on the first day of each month. Amount Borrowedor (Repaid)Prime Rate forthe Month1-Jan$52,000? 4.0% 1-Feb (21,000)? 4.5% 1-Mar 52,000? 5.0% What is the amount of interest expense recognized in March? (Do not round your intermediate calculations. Round your final answer to the nearest whole number.)
A. $415 B. $277 C. $311 D. $346
The primary purpose of a data warehouse is to perform analytical process.
Answer the following statement true (T) or false (F)