You quit your job as an analyst making $40,000. You then take you $500,000 in savings and open a Mighty Taco restaurant. You work roughly the same hours as before and make $60,000 per year from the restaurant. Assume the interest rate on government treasury notes is 5%. Calculate the economic profit or loss from your move in year 1. (INCLUDE a negative sign if it’s a loss)

A savings and loan charges 2.225 points for a home buyer to obtain a loan of $275,000. Calculate the discount points (in dollars). (Enter a number.)

1. Your firm has decided to purchase a new $15,000 machine. You can pay now and take a 3 percent discount or pay $6,000 each year for the next three years. What is the interest rate at which the two alternatives are equal? Why?

Suppose you wish to borrow $800 for four weeks and the amount of interest you must pay is $20 per $100 borrowed. What is the arp at which you are borrowing money

If a financial asset that is valued at $18,455 in the Stock Market today would be worth $39,200 in 2 years’ time, what would have been the prevailing interest rate in the financial market?

A firm that owns and manages rental properties is considering buying a building that would cost $800,000 this year, but would yield an annual revenue stream of $50,000 per year for the foreseeable future. For what range of interest rates would this purchase increase the present value of the firm?

Question 15 Many credit card companies will let you determine your interest rate and your credit limit when they approve you for their card. True. False. Question 16 The interest rate a credit card company gives you when you first get your credit card can never be changed, even if your credit gets ruined and you don't make your credit card payments on time. True. False. Save and Quit Sign Your I should take any credit card I can get from a company regardless of terms and DELL %23 $4 % 7 8. 3. y e d g h a

First America Bank's monthly payment charge on a 48-month, $19,000 loan is $508.26. The U.S. Bank's monthly payment fee is $517.70 for the same loan amount. What would be the APR for an auto loan for each of these banks? (Use Table 14.1.) Note: Round your final answers to the nearest hundredth percent. APR First America Bank between % and % U.S. Bank between % and %

Ben Hunt operated a farm under the name of S.B.H. Farms.  Hunt went to Mollary Bank and Trust and requested a loan to build hog houses, buy livestock, and expand farming operations.  The bank agreed to loan S.B.H. Farms $175,000, for which short-term promissory notes were signed by Hunt.  At the same time, oral discussions were held with the loan officer regarding long-term financing for the farm operations.  No dollar amount, interest rate, or repayment terms were discussed.  When Hunt defaulted on the short-term notes, the bank foreclosed on the farm.  Hunt counterclaimed for $750,000 damages, alleging that the bank had breached a contract for long-term financing.  Was there a valid offer for long-term financing offered by the bank?