Question
Carmens Beauty Salon has estimated monthly financing requirements for the next six months as follows: January $ 8,300 April $ 8,300 February 2,300 May 9,300
Carmens Beauty Salon has estimated monthly financing requirements for the next six months as follows: January $ 8,300 April $ 8,300 February 2,300 May 9,300 March 3,300 June 4,300 Short-term financing will be utilized for the next six months. Projected annual interest rates are: January 7.0 % April 14.0 % February 8.0 % May 12.0 % March 11.0 % June 12.0 % a. Compute total dollar interest payments for the six months. (Round your monthly interest rate to 2 decimal places when expressed as a percent. Round your interest payments to the nearest whole cent.) b-1. Compute the total dollar interest payments if long-term financing at 12 percent had been utilized throughout the six months? (Round your monthly interest rate to 2 decimal places when expressed as a percent. Round your interest payments to the nearest whole cent.)
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