Answer:
Explanation:
An import restriction as the term implies is done to limit the amount of a certain good that is imported into the country. Usually this is done to protect the domestic producers of the good in question who are not be as efficient as the country being imported from and so charge higher prices.
The people in the economy will experience a net loss in welfare because they will now be paying higher prices and as well will be transferring some of their income to their government because import restrictions like tariffs will see their costs passed on to the consumer.
Why is an investment portfolio containing a mix of stocks and bonds less risky than one containing a single asset class?
A. Because stocks and bonds are negatively correlated.
B. Because bonds typically have a high variance and stocks typically have a low variance.
C. Because the markets for stocks and bonds tend to move in the same direction at the same time.
D. Because stocks and bonds are positively correlated.
Answer: A. Because stocks and bonds are negatively correlated
Explanation:
An investment portfolio containing a mix of stocks and bonds is less risky than one containing a single asset class because stocks and bonds are negatively correlated.
In business, diversification of ones portfolio is essential in order to mitigate risks. Stocks and bonds are negatively correlated as one goes up, the other falls. Therefore bonds and stocks compensate each other.
A disadvantage of flextime plans is that they often
Answer:
A disadvantage of flextime plans is that they often: require supervisors and managers to work longer hours.
Explanation:
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BE happy nit sAD
Flextime is a work course of action in which employees can select the beginning and wrapping up times of their workday.
Disadvantages of flextime plans are:
Prevent communication between administration and staff. When planning gatherings, interviews, and training sessions, planning issues are unavoidable.
Make periods of understaffing. Flextime may not be open in adequate numbers to cover all necessary assignments if too numerous employees utilize it.
Make it challenging to screen representative hours. It can be challenging to track an employee's hours and make any doubt they are satisfying their commitments on the off chance that they are not pushed to clock in and out.
A rise in the possibility of staff burnout. Giving representatives more noteworthy control over their work-life adjustments through flextime can be a marvelous thought.
It is important to carefully consider the potential disadvantages before implementing a flextime policy for the employees.
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Gravel Company reported net income of $4,500,000 in 2021. The weighted average number of common shares outstanding during 2021 was 200,000 shares. Gravel paid $250,000 in dividends on preferred stock, which was convertible into 40,000 shares of common stock. How much is diluted earnings per share for 2021
Answer:
the diluted earning per share is $17.71
Explanation:
The computation of the diluted earning per share is shown below:
Diluted earning per share is
= (Net income - preference dividend) ÷ ( oustanding common stock shares + convertible shares)
= ($4,500,000 - $250,000) ÷ (200,000 + 40,000)
= $4,250,000 ÷ 240,000 shares
= $17.71
hence, the diluted earning per share is $17.71
We simply applied the above formula so that the correct value could come
And, the same is to be considered
What is the difference between earnings per share (EPS), funds from operations (FFO), adjusted funds from operations (AFFO), and dividends per share?
Answer:
Earnings per share is defined as the net earnings/ profit of a company divided by the number of common stock outstanding. It therefore shows just how much the company made per individual share.
Funds from Operations (FFO) on the other hand refer to cashflow from operations of Real Estate Investment Trusts (REITs). REITS use this as their EPS and so it is sometimes quoted per-share.
Adjusted Funds From Operations (AFFO) are calculated in similar fashion to FFOs and used by REITS as well. This one adjusts the FFO for costs incurred which means it is more accurate and so preferred over FFO.
Dividend per share is the amount of dividend that has been paid to each share within a period. This definition means that even interim dividends are included in the calculation which is done by dividing the total dividends over a period by the number of outstanding shares a company has.
A company issued.. A company issued 10-year, 6.00% bonds with a face value of $100,000. The company received $97,767 for the bonds. Using the straight-line method of amortization, the amount of interest expense for the first interest period is:________.a) $2.233.00 b) $5,776.70 c) $6,000.00 d) $6,223.30
Answer:
d) $6,223.30
Explanation:
Interest payable in cash = 100000*6% = $6000
Amortization of bond discount (Straight line) = Discount in issue of bond / number of years
Amortization of bond discount = (100000 - 97,767) / 10
Amortization of bond discount = 2233 / 10
Amortization of bond discount = 223.3
Amount of interest Expense = 6000 + 223.3
Amount of interest Expense = $6,223.30
Ayayai Corp. has the following inventory data:________. July 1 Beginning inventory 43 units at $20 $860 7 Purchases 126 units at $24 3024 22 Purchases 31 units at $22 682 $4566 A physical count of merchandise inventory on July 30 reveals that there are 49 units on hand. Using the average cost method, the value of ending inventory is:__________.
Answer:
the ending inventory is $1,118.67
Explanation:
The computation of the ending inventory using the average cost method is shown below:
But before that first determined the average cost per unit which is
= Total cost ÷ total number of units
= $4,566 ÷ (43 units + 126 units + 31 units)
= $22.83 per unit
Now there is the ending inventory units i.e. 49 units
So, the ending inventory is
= $22.83 × 49 units
= $1,118.67
Hence, the ending inventory is $1,118.67
Business consultant Peter Drucker said that the most important factor of production is knowledge.a. Trueb. False
Answer:
True
Explanation:
Peter Drucker proposed the idea of knowledge management. He praised knowledge as being the most important factor of production, I guess he associated knowledge with technology. He even used the terms knowledge worker and knowledge productivity. He was one of the most influential authors about management and he focused a lot on continuous learning.
Which of the various interpersonal skills is most important? Justify your answer.
Explanation:
Communication. One of the most important interpersonal skills in any job is communication. Whether you work in IT, customer service, construction, or any other industry, you will need to be able to communicate clearly and effectively with others through both oral and written communications.
Communication is the most important interpersonal skill.
What is interpersonal skill?The actions and strategies a man does to communicate with one another successfully are known as interpersonal skills. People constantly contact others when doing so, whether that is at jobs, in social environments, or even within their families.
Communication is one of the most important interpersonal skills that a person can have. As it helps in telling what the person is wanted to tell. It also helps in understanding. It develops empathy as well as emotional intelligence.
As communication is good it would help to convey the message that you want to portray to another being. It helps in developing the personality and to most of the people nowadays used. Communication comes under the category of interpersonal skills.
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According to the Institute of Management Accountants (IMA), the final step in resolving an ethical dilemma is to:
Answer: A. consult your own attorney as to legal obligations and rights concerning the ethical conflict.
Explanation:
After considering the relevant implications of an ethical dilemma, the final step is to reach out to your own lawyer to find out your legal rights as well as obligations concerning the courses of action that are presenting the dilemma.
The logic is that your own attorney should have your best interests at heart and so will tell you what each action could do to you which will then help you decide which course of action to take.
Suppose you have the following three zero-coupon bond (ZCB) available: a 1-year ZCB that costs $97, a 2-year ZCB that costs $95, and a 3-year ZCB that costs $92. Assume that the par values are $100.
a. What must the price of a 3-year coupon bond with at 8% coupon rate?
b. How would you make an arbitrage profit if the coupon bond was trading at $100?
c. How much arbitrage profit would you make per $100 of the 3-year coupon bond trade?
Answer:
Bond price = Par value / (1 + 1 year spot rate)1
$97 = $100 / (1 + 1 year spot rate)^1
(1 + 1 year spot rate)^1 = $100 / $97
(1 + 1 year spot rate) = 1.030928
1 year spot rate = 3.0928%
Bond price = Par value / (1 + 2 year spot rate)^2
$95 = $100 / (1 + 2 year spot rate)^2
(1 + 2 year spot rate)^2 = $100 / $95
(1 + 2 year spot rate)^2 = 1.052632
(1 + 2 year spot rate) = (1.052632)(1 / 2)
(1 + 2 year spot rate) = 1.025978
2 year spot rate = 2.5978%
Bond price = Par value / (1 + 3 year spot rate)^3
$92 = $100 / (1 + 3 year spot rate)^3
(1 + 3 year spot rate)^3 = $100 / $92
(1 + 3 year spot rate)^3 = 1.086957
(1 + 3 year spot rate) = (1.086957)(1 / 3)
(1 + 3 year spot rate) = 1.028184
3 year spot rate = 2.8184%
Coupon per period = (Coupon rate / No of coupon payments per year) * Par value
Coupon per period = (8% / 1) * $100
Coupon per period = $8
a) Bond price = Coupon / (1 + 1 year spot rate)^1 + Coupon / (1 + 2 year spot rate)^2 + (Coupon + Par value) / (1 + 3 year spot rate)^3
Bond price = $8 / (1 + 3.0928%)^1 + $8 / (1 + 2.5978%)^2 + ($8 + $100) / (1 + 2.8184%)^3
Bond price based on spot rates = $114.7199
b. Bond price based on spot rates is greater than traded bond price to exploit this arbitrage the following strategy must be implemented
The 3 year 8% coupon bond should be bought at $100.
Portfolio = -$100
1 year zero coupon bond with face value $8 must be sold
Portfolio = (Price of 1 year zero coupon bond / Face value) * Amount of Face value to be Sold
Portfolio = ($97 / $100) * $8
Portfolio = $7.76
2 year zero coupon bond with face value $8 must be sold
Portfolio = Price of 2 year zero coupon bond / Face value) * Amount of Face value to be Sold
Portfolio = ($95 / $100) * $8
Portfolio = $7.6
3 year zero coupon bond with face value $108 must be sold
Portfolio = Price of 3 year zero coupon bond / Face value) * Amount of Face value to be Sold
Portfolio = ($92 / $100) * $108
Portfolio = $99.36
Arbitrage profit = -$100 + $7.76 + $7.6 + $99.36
Arbitrage profit = $14.72
c) Arbitrage profit = Bond price based on spot rates - Traded Bond price
Arbitrage profit = $114.72 - $100
Arbitrage profit = $14.72
Arbitrage profit would you make per $100 = $14.72
What are the different structures of the market
Answer:
Perfect Competition, Imperfect Competition, Oligopoly, and Monolopy
Explanation:
There are four basic types of market structures: perfect competition, imperfect competition, oligopoly, and monopoly.
Reyes Corporation applies overhead using a normal costing approach based upon machine-hours. Budgeted factory overhead was $266,400, budgeted machine-hours were 18,500. Actual factory overhead was $287,920, actual machine-hours were 19,050. How much is the over- or underapplied overhead
Answer:
Under/over applied overhead= 13,600 underapplied
Explanation:
First, we need to calculate the predetermined overhead rate:
Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Predetermined manufacturing overhead rate= 266,400/18,500
Predetermined manufacturing overhead rate= $14.4 per machine hour
Now, we can allocate overhead:
Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base
Allocated MOH= 14.4*19,050
Allocated MOH= $274,320
Finally, the over/under allocation:
Under/over applied overhead= real overhead - allocated overhead
Under/over applied overhead= 287,920 - 274,320
Under/over applied overhead= 13,600 underapplied
CDB stock is currently priced at $82. The company will pay a dividend of $4.65 next year and investors require a return of 10.9 percent on similar stocks. What is the dividend growth rate on this stock?
a. 5.67%
b. 5.23%
c. 4.88%
d. 4.96%
e. 4.97%
Answer:
b. 5.23%
Explanation:
The computation of the dividend growth rate is shown below:
As we know that
Value of stock = Current year dividend ÷ (Required rate of return - growth rate)
$82 = $4.65 ÷ (0.109 growth rate)
$8.938 - 82 × growth rate = $4.65
82 × growth rate = 4.288
growth rate = 4.288 ÷ 82
= 5.23%
Hence, the dividend growth rate is 5.23%
Therefore the correct option is b.
Backdating refers to:_________ A. choosing the grant date of a stock option retroactively. B. choosing the exercise date of the stock option retroactively. C. choosing the strike price of a stock option retroactively. D. choosing the share conversion ratio retroactively.
Answer:
A. choosing the grant date of a stock option retroactively
Explanation:
Stock options are the priviledge that an individual has to purchase a stock at a particular time and date.
Usually it is given to those that already have shared.
Companies give this priviledge to existing shareholders to reduce stock dilution.
Backdating of stock options means that the options grant date can be altered to a time when the option price was lower.
In effect those that practice this get stock at lower prices and make more profit per share.
The grant date is chosen retroactively
Answer:
A. choosing the grant date of a stock option retroactively.
Explanation:
First of all, backdating is usually illegal and sadly, many companies do it to boost employee compensation. This is an example of agency conflicts since management puts their interests ahead of the interests of stockholders.
Backdating refers to retroactively setting the date of a contract in order to benefit one party. If management had done things properly, why would they need to backdate a compensation plan?
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Does a labor market equilibrium really exist?
Explanation:
I don't think so because now it is the employers who fixed to pay for a labour
The contribution margin ratio:_________. A. Is the percent of each sales dollar that remains after deducting the total unit vaniable cost B. Is the percent of each sales dollar that remains after deducting the total unit fixed cost C. Is the percent of each sales dollar that remains to cover the variable and fixed costs D. Cannot be used in conjunction with other analytical tools E. ls the same as the unit contribution margin
Answer:
A
Explanation:
the difference between a company's sales and variable costs, expressed as a percentage. This ratio shows the amount of money available to cover fixed costs.
Terri Ronsin had recently been transferred to the Home Security Systems Division of National Home Products. -Shortly after taking over her new position as divisional controller, she was asked to develop the division's predetermined overhead rate for the upcoming year. The accuracy of the rate is important because it is used throughout the year and any overapplied or under- applied overhead is closed out to Cost of Goods Sold at the end of the year. National Home
Products uses direct labor-hours in all of its divisions as the allocation base for manufacturing overhead. To compute the predetermined overhead rate, Terri divided her estimate of the total manufacturing overhead for the coming year by the production manager's estimate of the total direct labor-hours for the coming year. She took her computations to the division's general manager for approval but was quite surprised when he suggested a modification in the base. Her conversation with the general manager of the Home Security Systems Division, Harry Irving, went like this:
Ronsin: Here are my calculations-for next year's predetermined overhead rate. If you approve, we can enter the rate into the computer on January 1 and be up and running in the job-order costing system right away this year. Irving: Thanks for coming up with the calculations so quickly, and they look just fine. There is, however, one slight modification I would like to see. Your estimate of the total direct labor- hours for the year is 440,000 hours. How about cutting that to about 420,000
hours?
Ronsin: I don't know if I can do that. The production manager says she will need about 440,000 direct labor-hours to meet the sales projections for the year. Besides, there are going to be over 430,000 direct labor-hours during the current year and sales are projected to be higher next year.
Irving: Teri, I know all of that. I would still like to reduce the, direct labor-hours in the base to something like 420,000 hours. You probably don't know that I had an agreement with your predecessor as divisional controller to shave 5% or so off the estimated direct labor-hours every year. That way, we kept a reserve that usually resulted in a big boost to net operating income at the end of the fiscal year in December. We called it our Christmas bonus. Corporate headquarters always
seemed as pleased as punch that we could pull off such a miracle at the end of the year. This system has worked well for many years, and I don't want to change it now.
Required:
a. Explain how shaving 5% off the estimated direct labor-hours in the allocation base for the predetermined overhead rate usually results in a big boost in net operating income at the end of the year.
b. Should Terri Ronsin go along with the general manager's request to reduce the direct labor- hours in the predetermined overhead rate computation to 420,000 direct labor-hours?
Answer:
Home Security Systems Division of National Home Products
Predetermined Overhead Rate for the division:
a. Cutting off 5% off the estimated direct labor-hours every year implies that the predetermined overhead rate will be higher than what it is supposed to be. Thus, as a higher rate is applied to overheads, the division will report over-applied overhead costs, which is used to reduce the Cost of Goods sold at the end of the year, and thus boost the net operating income.
b. Terri Ronsin should not go along with the general manager's request to reduce the direct labor-hours in the predetermined overhead rate computation to 420,000 as it is unethical with self-interest bias.
Explanation:
a) Data and Calculations:
Estimated direct labor-hours = 440,000
5% shaving = 22,000 (440,000 * 5%)
General manager's requested direct labor-hours = 420,000
Difference in estimated and requested = 20,000 direct labor-hours.
b) The predetermined overhead rate = Estimated total manufacturing overhead divided by the estimated total direct-labor-hours
Treasury bonds paying an 8% coupon rate with semiannual payments currently sell at par value. What coupon rate would they have to pay in order to sell at par if they paid their coupons annually?
Answer:
8.16%
Explanation:
Note that when a bond pays a semiannual coupon, coupon payments are made twice a year, hence, in order to determine its annual coupon rate if the coupon is paid once a year, we need to determine its effective annual rate using the formula below:
effective annual rate=(1+coupon rate/n)^n-1
current coupon rate=8%
n=number of times in a year that coupon payments are made=2
effective annual rate=(1+8%/2)^2-1
effective annual rate=(1.04)^2-1
effective annual rate=8.16%
A tax exempt money market fund has an annual return of 3.82 percent. What is your equivalent taxable rate if you are in a 32 percent marginal tax bracket?
A) 3.15 percent
B) 3.38 percent
C) 5.62 percent
D) 6.11 percent
E) 6.81 percent
Answer:
C) 5.62 percent
Explanation:
Tax exempt rate = Taxable Rate * (1 - tax rate)
3.82 = Taxable Rate * (1 - 0.32)
3.82 = Taxable Rate * 0.68
Taxable Rate = 3.82 / 0.68
Taxable Rate = 5.617647058823529
Taxable Rate = 5.62%
Jill Bower purchased 320 shares of stock for $29 a share and sold it for $35 a share. The commissions required to buy and sell her stock totaled $300 for each transaction. Assuming she received no dividends during the time she owned the stock, what is her total investment on the purchase of this stock?a. $2.140.b. $2.500.c. $1,580.d. $625.e. $1860.
Answer:
Jill Bower
Her total investment on the purchase of this stock is:
$9,880.
Explanation:
Number of shares purchased = 320
Share price at purchase = $29
Cost of the purchase = $9,280
Purchase Commission = 300
Total cost = $9,580
Sales proceeds = $11,200
Sales Commission = 300
Net proceeds = $10,900
Therefore, the total investment will be equal to the purchase cost (initial investment) + the sales commission, which is equal to $9,880.
= $9,580 + $300
= $9,880
He has $800 to spend and wants to buy either a camera or a new photo editing software. Both the camera and the software cost $800, so he can only buy one. This illustrates the principle that:__________.
Answer: b. people face trade-offs.
Explanation:
Due to scarcity in the resources that we possess, i.e our resources are not infinite, we are forced to make decisions sometimes that will see us giving up something we want for another thing that we want.
This is called trade-offs and people face them all the time. This man want to wants to buy either a camera or an editor but due to the price can only buy one. He would therefore have to give up one for the other which makes this a trade-off.
A $5,000 face value bond has a coupon rate of 6.5%, sells for $5,937, and matures in 7 years. What is its yield to maturity?a. 3.44%.b. 5.47%.c. 6.12%.d. 4.08%.
Answer:
YTM = 0.03495343461 or 3.495343461% rounded off to 3.50%
Explanation:
The yield to maturity or YTM is the yield or return that an investor can earn on the bond if the bond is purchased today and is held till the bond matures. The formula to calculate the Yield to maturity of a bond is as follows,
YTM = [ ( C + (F - P / n)) / (F + P / 2) ]
Where,
C is the coupon payment
F is the Face value of the bond
P is the current value of the bond
n is the number of years to maturity
Assuming that the bond pays coupon annually,
Coupon payment = 5000 * 0.065 = $325
Number of periods remaining till maturity = 7
YTM = [ (325 + (5000 - 5937 / 7)) / (5000 + 5937 / 2)
YTM = 0.03495343461 or 3.495343461% rounded off to 3.50%
Accounting Employees view budgeting more positively when goals are established for them by senior management.
a. True
b. False
Answer:
B
Explanation:
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•What market/s do we consider when it comes to raw materials?
Answer:
factor market
Explanation
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Wandering RV is evaluating a capital budgeting project that is expected to generate $36,950 per year during its six-year life. If its required rate of return is 10 percent, what is the value of the project to Wandering RV?
Answer:
the value of the project is $16,096.88
Explanation:
The computation of the value of the project is shown below:
= (Expected amount generated per year × (1 - (1 ++ rate of returm)^-time period )) ÷ rate of return
= $36,950 × [1 - 1.1^-6] ÷ 0.1
= $16,0926.88
Hence, the value of the project is $16,096.88
We simply applied the above formula so that the correct value could come
And, the same is to be considered
*economics*
How do changes in the discount rate affect economic behavior?
A. Raising the discount rate makes individuals less likely to borrow
money
B. Lowering the discount rate encourages banks to keep more money
in reserve.
C. Raising the discount rate prevents investors from buying treasury
securities
D. Lowering the discount rate makes businesses less likely to hire
new employees
The changes in the discount rate affect economic behavior is Raising the discount rate makes individuals less likely to borrow money.
A reduction in the discount rate makes it cheaper for commercial banks to borrow money, which can an increase in available credit and lending work throughout the economy.The discount rate is simply known as the interest rate charged to commercial banks and other financial institutions for short-term loans.
The interest rate used in discounted cash flow (DCF) analysis to determine the present value of future cash flows.Conclusively, The discount rate serves as an main point of the condition of credit in an economy.
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Answer: A. Raising the discount rate makes individuals less likely to borrow money
The lengths of service of all the executives employed by Standard Chemicals are:
Name Years
Mr. Snow 20
Ms. Tolson 22
Mr. Kraft 26
Ms. Irwin 24
Mr. Jones 28
(a) Using the combination formula, how many samples of size 2 are possible?
(b) List all possible samples of 2 executives from the population and compute their means.
(c) Organize the means into a sampling distribution.
(d) Compare the population mean and the mean of the sample means.
Solution :
a). There are total 5 executives. Therefore the possible sample size of 2 is
[tex]$^nC_r=\frac{n!}{r!(n-r)!}$[/tex]
[tex]$^5C_2=\frac{5!}{2!(5-2)!}$[/tex]
[tex]$=\frac{5!}{2! \ 3!}$[/tex]
= 10
So, there are 10 possible ways for selection of sample size of 2.
b).
Sample Samples of service length Sample mean
Snow, Tolson 20, 22 (20+22)/2 = 21
Snow, Kraft 20, 26 23
Snow, Irwin 20, 24 22
Snow, Jones 20, 28 24
Tolson, Kraft 22, 26 24
Tolson, Irwin 22, 24 23
Tolson, Jones 22, 28 25
Kraft, Irwin 26, 24 25
Kraft, Jones 26, 28 27
Irwin,Jones 24, 28 26
c). The mean and the standard deviation of the means of the sampling distribution is given by :
[tex]$\bar{X}= \sum_{i-1}^{10}\frac{\bar{x}_i}{n}$[/tex]
[tex]$=\frac{21+23+22+24+24+23+25+25+27+26}{10}$[/tex]
[tex]$=\frac{240}{10} $[/tex]
= 24
The variance of the sample means :
[tex]$S^2=\frac{1}{n}\sum_{i-1}^{10}\left(\bar x_i - \bar X \right)^2$[/tex]
[tex]$=\frac{1}{10}\sum_{i-1}^{10}\left(\bar x_i - 24 \right)^2$[/tex]
[tex]$=\frac{1}{10}\times(30)$[/tex]
= 3
Therefore the standard deviation of the sample means is
[tex]$S=\sqrt{variance}$[/tex]
[tex]$=\sqrt3$[/tex]
= 1.732
d). The population means is given by:
[tex]$\mu =\frac{20+22+26+24+28}{5}$[/tex]
[tex]$=\frac{120}{5}$[/tex]
= 24
Therefore, we can say that the mean of the sample means is a point estimate of the population mean.
What companies are considered as monopolies ,and what companies are considered oligopolies (give examples)
Answer:
Oligopolies are prevalent throughout the world and appear to be increasing ever so rapidly. Unlike a monopoly, where one corporation dominates a certain market, an oligopoly consists of a select few companies having significant influence over an industry. Oligopolies are noticeable in a multitude of markets. While these companies are considered competitors within the specific market, they tend to cooperate with each other to benefit as a whole, which can lead to higher prices for consumers.
Explanation:
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Which form of business having Unlimited liability?
a.
Sole proprietor business
b.
Corporate business
c.
None of the above
d.
Partnership business
Answer:
A
Explanation:
Within a sole proprietorship, the single business owner is subject to bankruptcy and even loosing personal belonging to debt if things go wrong. So this form has unlimited liability.
A trustworthy friend asks to borrow money from you today. She promises to pay you exactly $3750 in 3 years, and she insists on your earning the same interest rate on your loan to her as you would have earned keeping your money in your savings account that earns 2%. How much can you lend her today?
Answer:
$3,533.71
Explanation:
Amount to be lent today = Future value/(1+Interest rate)^Number of years
Amount to be lent today = 3750/(1.02)^3
Amount to be lent today = 3750/1.061208
Amount to be lent today = $3,533.71
Hence, amount to be lent today = $3,533.71