CPAN112_FinalTest_Tyler_Escobar

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Humber College *

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112

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Feb 20, 2024

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Fundamentals of Numeric Computing CPAN 112 Final Test Please read the following instruction very carefully before answering any questions: Please read all the questions very carefully. Please provide your answers in the boxes below each question, and do not change the text colour. Your answer MUST show the solution procedure. There is no credit if you only state the final answer. Please highlight your final answer to each question. Please keep the naming conventions requested in this lab and each question. Once you complete your lab, rename your word document file to the ( CPAN112_FinalTest_FirstName_LastName ). Replace FirstName and LastName with your first name and last name, respectively. It will be a 10% mark deduction if you do not follow the guidelines mentioned above.
1) Unique Furniture bought coffee tables for $399.00 less 23%, 10%, 5.5%. The store's overhead expenses come out to be 30% of regular selling price and the target profit is 55% of regular selling price. [20 points] a. What is the maximum rate of markdown that the store can offer to break even? [10 points] 399.00(1 – 0.23)(1 - 0.1)(1 – 0.055) = 399.00(0.77)(0.9)(0.945) = $261.30 Tables Bought for $261.30 Expenses = 30% of x = 0.3x Profit = 55% of x = 0.55x X = 261.30 + 0.3x + 0.55x X – 0.3x - 0.55 x = 261.30 0.15x/0.15 = 261.30/0.15 X = 1742 Markdown = 1742 – 399 = 1343 Rate of Markdown = (Markdown/Selling Price) * 100 (1343/1742) * 100 = 77.1% Markdown Rate b. What is the realized rate of markup based on cost if the items are sold at the break-even price? [10 points] Rate of Markup based on Cost = Markup/Cost = Markup/261.30 2) Two debts must be paid today. One debt is $720 from two years ago and the other was $610 from five months ago. Determine the single payment today that would fully repay the debts if both debts accumulated simple interest at 1.15% per annum. [20 points] FV = PV(1 + I) n PV1 = 720 I = J/M J = 1.15% or 0.0115 M = Annum = Year = 1 I = 0.0115
N1 = 2 x 1 = 2 FV1 = 720(1 + 0.0115) 2 FV1 = 736.65 PV2 = 610 N2 = 5 months = 5/12 = 5/12* 1 = 5/12 FV2 = 610(1 + 0.0115) 5/12 FV2 = 612.91 612.91 + 736.65 = 1349.56 The Single Payment that would have to be made today to repay all the Late Debts would be $1349.56 3) What amount of money must have been invested on March 25, 2019, to amount to $8400 on December 15, 2019, at 7.2% per annum? [20 points]A FV = 8400 I = J/M J = 7.2%/ 0.072 M = Annum = 1 I = 0.072 N = March 25, 2019, to Dec 15, 2019, = 265 Days 265/365 years N = 1 x 265/365 = 265/365 PV = FV/(1 + I) n PV = 8400/(1 + 0.072) 265/365 PV = $7986.51 The amount that would have been invested on March 25 for it to cumulated into $8400 would have been $7986.51 4) Zach must make a tuition payment of $8200 today. However, he has the option to make three equal payments two months, four months, and eight months from now. Determine the size of the equal payments if his money is compounded at 3.6% p.a. monthly. [20 points] PV = 8200 I = J/M J = 3.6%/ 0.036 M = Monthly = 12 N1 = 2/12 * 12 = 2
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