### We've found 7 Annual Interest Rate tests

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Kolby Cobb
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Annual Interest Rate Finance
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Michael Seabolt
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Daphne Armenta
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Paula Corcoran
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Elizabeth Mcdonald
147 terms
Betty runs a cookie shop where she sells cookies for \$1 each. She employs five people, each of whom worked a total of 500 hours last year; she paid them \$10 per hour. Her costs of equipment and raw materials add up to \$75,000. Her business ability is legendary, and other companies have offered to pay Betty \$100,000 to come to work for them. She also knows she could sell her cookie shop for \$150,000. The bank in town pays an annual interest rate of 3% on all funds deposited with it. Betty is trying to decide at what point she should stop selling cookies, and she knows she cannot change the price of a cookie. She should stop selling cookies if:
her implicit costs are greater than her accounting profits.
Answer the question on the basis of the following information for a bond having no expiration date: bond price = \$1,000; bond fixed annual interest payment = \$100; bond annual interest rate = 10 percent. Refer to the given information. If the price of this bond falls by \$200, the interest rate will:
rise by 2.5 percentage points.
interest on savings is calculated by multiplying the money amount times the opportunity cost times the annual interest rate
False
You wish to borrow \$2,000 to be repaid in 12 monthly installments of \$189.12. The annual interest rate is: A) 24%. B) 8%. C) 18%. D) 12%.
Implied annual interest rate formula
[365 days / (credit period â€“ discount period)] x cash discount rate. Example: 2/10,n/30 (2% discount if paid within 10 days) [365 days / (30 days â€“ 10 days)] x 2% discount rate = 36.5%
Betty runs a cookie shop where she sells cookies for \$1 each. She employs five people, each of whom worked a total of 500 hours last year; she paid them \$10 per hour. Her costs of equipment and raw materials add up to \$75,000. Her business ability is legendary, and other companies have offered to pay Betty \$100,000 to come to work for them. She also knows she could sell her cookie shop for \$150,000. The bank in town pays an annual interest rate of 3% on all funds deposited with it. Bettyâ€™s implicit and explicit costs are equal to:
204,5