Carmens Beauty Salon 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:
a. Compute total dollar interest payments for the six months.
Note: 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?
Note: Round your monthly interest rate to 2 decimal places when expressed as a percent. Round
your interest payments to the nearest whole cent.
January$ 9,200April$ 9,200February3,200May10,200March4,200June5,200