James invests a total of $3,000 in two accounts. The first account earned a rate of return of 10% (after a year). However, the second account suffered a 8% loss in the same time period. At the end of one year, the total amount of money gained was $120.00. How much was invested into each account? %41 was invested in the account that gained 10% and was invested in the account that lost 8%. Submit Question

James invests a total of $3,000 in two accounts. The first account earned a rate of return of 10% (after a year). However, the second account suffered a 8% loss in the same time period. At the end of one year, the total amount of money gained was $120.00. How much was invested into each account? %41 was invested in the account that gained 10% and was invested in the account that lost 8%. Submit Question

Financial Accounting: The Impact on Decision Makers

10th Edition

ISBN:9781305654174

Author:Gary A. Porter, Curtis L. Norton

Publisher:Gary A. Porter, Curtis L. Norton

Chapter9: Current Liabilities, Contingencies, And The Time Value Of Money

Section: Chapter Questions

Problem 9.21MCE

See similar textbooks

Similar questions

Answer in 10 minutes please Vince Company invested P2,000,000 in Alfred Company for 25% interest. Alfred paid out 40% of net income in dividends each year. The investment account showed the following details: Initial cost P5,000,000 Debit to the investment account 1,000,000 Credit to the investment account ( 400,000) Investment balance at year-end P5,600,000 What amount of investment income was reported by Vince? a. P 650,000 b. P1,000,000 c. P1,600,000 d. P1,400,000
Why are Old Men so Daggum Stubborn (OMDS) had the following information for the previous calendar year: Operating income: $66,880 Invested assets: $167,200 Sales: $836,000 What is OMDS' return on investment? For percentages, please enter your answer as a decimal (i.e., 20% is 0.20). For dollar amounts, please provide your answer to two decimal places (i.e. $3.00 is 3.00)
A businessman invested to a medium scale business with a net annual return of P 50,000 each year for 5 years. Compute the amount of invested money if the annual interest is 7% and the benefit-ratio is 1.20. a. P12,148.00 b. P12,841.00 c. P12,418.00 d. P11,418.00
A customer has a balance of $4,000 to be invested in a savings account with 5% interest per year. A. Calculate the Future Value in the account in the 2nd year, 6th year and 10th year? B. From the results found in question A, calculate the amount of interest earned on: first two years (years 1 to 2)the next four years (years 3 to 6)past four years (years 7 to 10) C. From the results obtained in question B, why does the amount of interest earned increase in each subsequent period?
$1024 invested into an account that pays 1.56% interest compounded daily, for 4 years. a) What is the value of the investment after 4 years? b) How much intested was earned?
Vince Company invested P2,000,000 in Alfred Company for 25% interest. Alfred paid out 40% of net income in dividends each year. The investment account showed the following details: Initial cost P5,000,000 Debit to the investment account 1,000,000 Credit to the investment account ( 400,000) Investment balance at year-end P5,600,000 What amount of net income was reported by Alfred? a. P4,000,000 b. P1,600,000 c. P2,400,000 d. P5,600,000
6. After graduation, you and a few business partners begin a small business. The first year, earn a profit of $10,000. Your profit increases by 12% each year. As a team, you and your business partners have decided to invest all of your profits into an account that you will use to fund a business expansion. Money in the account earns 6% compound annual interest. Use this information to answer the following questions. a. How much would be available in the account at the end of 10 years to fund business expansion? (please explain how to solve this in steps using formulas and showing how :)
You invested $4,800 into an account. Your balance is now $14,400. Your compound annual rate of return was 4.65%. How long ago did you open the account? Question 4 options: 25.1 years 26.4 years 24.2 years 27.6 years 28.1 years
Solve in digital format step by step A capital of $ 65,000 was invested for 9 years, in the first 3 years the interest rate was 3.5% with monthly capitalization, in the following 2 years the rate was 9% with bi-monthly capitalization and in the last 4 years the rate interest was 18% with quarterly capitalization. How much he received in the 9 years.
PA9. Mohammed LLC is a growing consulting firm. The following transactions take place during thecurrent year.A. On June 10, Mohammed borrows $270,000 from a bank to cover the initial cost of expansion. Terms ofthe loan is payment due in four months from June 10, with and an annual interest rate of 5%.B. On July 9, Mohammed borrows an additional $100,000 with payment due in four months from July 9,and an annual interest rate of 12%.C. Mohammed pays their accounts in full on October 10 for the June 10 loan, and on November 9 for theJuly 9 loan.Record the journal entries to recognize the initial borrowings and the two payments for Mohammed.
A3 Samuel made periodic deposits into a savings account at the end of every month for 2 years. The investments were earning 7.50% compounded quarterly and grew to $13,375.00 at the end of 2 years. a. Calculate the size of the month-end deposits. $542.77 $518.51 $446.40 $496.19 b. How long will it take for the $13,375.00 to accumulate to $39,295.00 if the interest rate remained the same and he continued making the same month-end deposits throughout the term? 4 years and 3 months 5 years and 3 months 3 years and 3 months 3 years and 5 months
Use the five-step strategy for solving word problems: You invested $9000 in two funds paying 4% and 7% annual interest. At the end of the year, the total interest from these investments was $555. How much was invested at each rate?