Future Value is $7,327.20
<h3>What is compound interest ?</h3>
Compound interest is the interest on deposits that is computed using both the original principal and the interest accrued over time.
It is thought that the concept of "interest on interest" or compound interest first appeared in Italy in the 17th century. Compared to simple interest, which is just charged on the principal amount, it will cause a sum to grow more quickly.
Money grows more quickly when it is compounded, and compound interest increases as the number of compounding periods increases.
CI formula : A = P(1 + r/n)^nt
where,
P = principal balance,
r = interest rate,
n = number of times interest is compounded per time period and
t = number of time periods.
To solve this question :
A = P(1 + r/n)^nt
= 6,000 (1 + 0.02/12) 120
= USD 7,327.20
To know more about compount interest, visit :
brainly.com/question/14295570
#SPJ4
It depends but variable costs are usually associated with unit production like ingredients or materials so fixed costs like capital expenditure might be the larger part of a budget
Answer:
3.4%
Explanation:
The computation of the Purple Swift’s paint capacity cushion is shown below:
Time to paint 10 birdhouses (45 × 10 ÷ 60) 7.5 hours
Changeover time 1 hours
Total Operations time per lot (7.5 + 1) 8.5 hours
Hours available per year (8 × 220) 1760
Capacity (number of lots each year) (1760 ÷ 8.5) 207.06
Capacity (number of birdhouses each year) =207.06*10 2070.6
Actual Production given 2000
Utilization (2000 ÷ 2070.6) 96.6%
Capacity cushion = 100% - Utilization
= 100% - 96.6%
= 3.4%