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Please answers all parts of this question Liz's Health Food Store has estimated monthly financing requirements for the next six months as follows: Short-term financing
Please answers all parts of this question
Liz's Health Food Store has estimated monthly financing requirements for the next six months as follows: Short-term financing will be utilized for the next six months. Projected annual interest rates are: Shorttem financing will be utilized for the next six months. Projected annuel interest rates are: a. Compute total dollat interest payments for the six months. To convert an annual rate to a monthly rate, dlvide by 12 . (Round Intermediate calculations and final answers to 2 decimal places.) Total dollat interest payments b-1. Compule the total dollar interest payments if fongtetm financing at 12 percent had been utirized throughout the six monthsi Assume a longterm tate is locked in on an interest tonly loan. Total dollar interest payments b-2. If long-term finanaing at 12 percent ivid been utilized throughout the six months, would the total-dolar interest payments be larger or smaller? Smolier targer Step by Step Solution
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