The reynolds corporation buys from its suppliers on terms of 2/19, net 50. reynolds has not been utilizing the discounts offered and has been taking 50 days to pay its bills. ms. duke, reynolds corporation's vice president, has suggested that the company begin to take the discounts offered. duke proposes that the company borrow from its bank at a stated rate of 15 percent. the bank requires a 13 percent compensating balance on these loans. current account balances would not be available to meet any of this compensating balance requirement. a. calculate the cost of not taking a cash discount. (use a 360-day year. do not round intermediate calculations. input your answer as a percent rounded to 2 decimal places.) b. what is the effective rate of interest on the bank loan? (use a 360-day year. do not round intermediate calculations. input your answer as a percent rounded to 2 decimal places.)

You have just been hired as a financial analyst for barrington industries. unfortunately, company headquarters (where all of the firm's records are kept) has been destroyed by fire. so, your first job will be to recreate the firm's cash flow statement for the year just ended. the firm had $100,000 in the bank at the end of the prior year, and its working capital accounts except cash remained constant during the year. it earned $5 million in net income during the year but paid $800,000 in dividends to common shareholders. throughout the year, the firm purchased $5.5 million of machinery that was needed for a new project. you have just spoken to the firm's accountants and learned that annual depreciation expense for the year is $450,000; however, the purchase price for the machinery represents additions to property, plant, and equipment before depreciation. finally, you have determined that the only financing done by the firm was to issue long-term debt of $1 million at a 6% interest rate. what was the firm's end- of-year cash balance? recreate the firm's cash flow statement to arrive at your answer

Choose the list of the best uses for word processing software. lists, resumes, writing a book, and payroll data letters to your friends, resumes, spreadsheets, and school papers resumes, cover letters, databases, and crossword puzzles book reports, letters to your friends, resumes, and contracts

During which of the following phases of the business cycle does the real gdp fall? a. trough b. expansion c. contraction d. peak