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- A homeowner planning a kitchen remodeling can afford a $300 monthly payment. How much can the homeowner borrow for 2 years at 9%, compounded monthly, and still stay within the budget? (Round your answer to the nearest cent.)$ _____Step 1: Working out your budget. You have a down payment of $1000, and interest rate of 6%/a compounded monthly for 5 years. Your budget is $350/month. Calculate the maximum price of the car you can afford. R[1-(1+i) Hint: Use PV = (upload a picture of the calculations and paste here, or use insert equation to show all steps in the calculation) Calculate 75% of your budget. (write 75% of your budget here).This is Ben's budget. Use his budget to determine the answer to the following question: Scenario: Suppose Ben wants to buy a house for $251,599. For a 30-year mortgage, Ben gets a 5% interest rate. Calculate his monthly payments for this 30-year mortgage, after 20% down payment. Monthly Income Monthly Expenses ITEM V AMOUNT ITEM Column1 VAMOUNT Income Source 1 $2,000.00 Rent $800.00 Cell phone $100.00 Groceries $200.00 Car payment $273.00 Auto expenses $120.00 Student loans $250.00 Credit cards $100.00 Auto Insurance $78.00 Personal care $50.00 Entertainment $100.00 Miscellaneous $50.00
- CONTRIBUTION MARGIN You rent a retail stall in the mall for $300 a month and use it to sell T-shirts with funny captions of the world we live in. You sell each T-shirt for $25, and your cost for each shirt is $15. You hired a salesperson and pays $400 salary per month plus a commission of $0.50 for every T-shirt sold. Create a contribution margin income statement for two different months: in one month, assume 100 T-shirts are sold, and in the other month, assume 200 T-shirts are sold.Phoenix Management helps rental property owners find renters and charges the owners one-half of the first month's rent for this service. For August 2022, Phoenix expects to find renters for 100 apartments with an average first month's rent of $1,020. Budgeted cost data per tenant application for 2022 follow: ⚫ Professional labor: 1.5 hours at $20.00 per hour ⚫ Credit checks: $66.00 Phoenix expects other costs, including the lease payment for the building, secretarial help, and utilities, to be $4,600 per month. On average, Phoenix is successful in placing one tenant for every three applicants. Actual rental applications in August 2022 were 270. Phoenix paid $8,400 for 380 hours of professional labor. Credit checks went up to $71 per application. Other costs in August 2022 (lease, secretarial help, and utilities) were $5,200. The average first monthly rentals for August 2022 were $1,120 per apartment unit for 90 units. Required: 1. (a) What is the master budget variance for August 2022?…Do you want to be one of the first people to take a commercial flight to outer space which means that you need to save $3522922.  However, currently only have 2333723 in your savings account. Based on an analysis of your monthly budget, you can find a way to add 3437 per month to your account until you have enough. You can earn on average 12.2% APR in your account, compounded monthly how many years will you need to work before you can experience the weightlessness of the final frontier?
- 3. Frank decides he better make a budget! Use the following information to calculate his budget. Frank has net income of $45 000 a year. This table shows his expenses. Expense Amount Student loan payments $115/every 2 weeks Mortgage Insert from above Food $75/week Cell phone plan $69/month Utilities $40/every 2 weeks Car lease $305/month including maintenance) Gasoline $65 every 2 weeks on average Miscellaneous $125/every 2 weeks a) Use the data provided to design a monthly budget for Frank. Show your calculations and indicate whether each expense or income is fixed or variable. b) How much can Frank save in a 3-month period? Show your calculations. c) Is there something Frank is forgetting in his budget? What would you recommend for changes?You plan on starting a lawn mowing business by investing $700 of your own money and purchase $500 of equipment. You plan to work 260 hours per month and charge your customers $23 per hour. Your anticipated costs include: $25.00 per month $26.00 per month $1.40 per hour Assistant's Wages $9.00 per hour Miscellaneous Expenses $40.00 per month Calculate your Variable cost per hour on the budgeted contribution margin income statement. Depreciation Advertising GasK A person buys a phone for $88 and signs up for a single ine phone plan with 2000 monthly anytime minutes. The plan costs $115.93 per month Write an equation that can be used to determine the total cost. C(t), of this phone plan fort months Then, find the cost for 23 months, assuming that the number of minutes the person uses does not exceed 2000 per month An equation that can be used to determine the total cost Con of the phone plan for 1 months is Cm= (Use integers or decimals for any numbers in the expression) The cost for 23 months, assuming that the number of minutes the person uses does not exceed 2000 per month, s empts ) of -
- 8. Wanda wants to open a health-food store. Her monthly expenses are rent $3,500, utilities of $1,000, insurance of $500, and payroll of $4,250. She estimates that her cost of goods is approximately 65 percent of sales. Wanda would like to make $4,000 a month for herself. a. What is Wanda’s contribution margin? . b. How much does she need in monthly sales to break even? c. How much does she need in monthly sales to make a profit of $4,000? d. Construct a break-even chart for Wanda’s health-food store.You are going to open a business making custom cabinets. You can selleach cabinet for $80. It takes a cabinetmaker approximately 45 minutes tomake one cabinet. Each cabinetmaker works an 8-hour day earning $18 perhour. Each cabinet uses $25 in raw materials. You usually produce cabinets20 days a month and can employ two cabinetmakers. You estimate thatyour fixed costs are $5,000 per month.a. What is your contribution margin?b. How many cabinets must you make each month to break even?c. What is your total monthly revenue if you want to earn a $2,000 profit?d. Construct a break-even chart for the custom cabinet firm. Part D is neeededYou are going to open a business making custom cabinets. You can selleach cabinet for $80. It takes a cabinetmaker approximately 45 minutes tomake one cabinet. Each cabinetmaker works an 8-hour day earning $18 perhour. Each cabinet uses $25 in raw materials. You usually produce cabinets20 days a month and can employ two cabinetmakers. You estimate thatyour fixed costs are $5,000 per month.a. What is your contribution margin?b. How many cabinets must you make each month to break even?c. What is your total monthly revenue if you want to earn a $2,000 profit?d. Construct a break-even chart for the custom cabinet firm.