Answer Posted / c handu

Amortize means Repayment of a loan by installments; an
accounting procedure allowing gradual repayment
(retirement) of a debt by means of systematic payments of
principal and interest over a period of the estimated life
of the asset on which the loan is made or secured. For
FIXED ASSETS, DEPRECIATION is the allowance for wear-out.
For natural resources, DEPLETION is the allowance for the
wasting away of the asset.

DEPRECIATION is An accounting term for the cost recovery of
REAL PROPERTY and PERSONAL PROPERTY; the EXPENSE deduction
on an INCOME STATEMENT allowing for gradual wearout of a
FIXED ASSET; AMORTIZATION of a fixed asset. The duration of
the depreciation period approximates the useful life of the
asset. Commonly used methods of depreciation include
STRAIGHT-LINE DEPRECIATION; ACCELERATED DEPRECIATION;
ACCELERATED COST RECOVERY SYSTEM; DECLINING-BALANCE METHOD;
SUM-OF-THE-YEARS-DIGITS METHOD.

Reserve Capital and Reserve Capital

2263

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Can you please help me calculate the pre tax profit for credit card for 2014 using the following Assumptions. Request you to list the steps used. Charges Late fee £12 per occurrence Over limit fee £10 per occurrence Cash fees 3% of cash withdrawal value Annual Fee £25 per account, per year Interchange 1% of transaction value KPIs Accounts overdue 10% per month Accounts over limit 15% per month Average APR 30% Balances revolving 90% of balance Average balance £900 at end of 2013 Expected growth in average balance (2014) 10% per annum Assumptions Open accounts 200,000 at 2013 year-end New accounts booked 5,000 per month Annual operating cost £50 per open account Cost of Acquisition £50 per account Provision rate 9% of total balances Annual cost of funds 4% by balance Charge off Unit charge-off rate in 2014 11% of accounts at 2013 year-end Unit charge-off rate in 2014 0% of accounts booked in 2014 Post charge-off recoveries 20% of balance Account Transactions Monthly turnover 5% of total month end balances Cash advances 20% of monthly turnover Additional Assumptions Please state any additional assumptions you have made to calculate your answer Thanks in advance,

1752

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what do Loan Loss Coverage Ratio mens describe it with examples?

2224

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joint venture?

2181

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why you choose accounting as your career ? ?

1767

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please send me last 3 years question & solution

2076

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Short Answer on __________written Down value

1915

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Straight line method to using Indian company names

1933

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what are the content of purchase order?

2061

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Data flow of Accounts payable to General ledger?

1738

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How can you actualize cah flows of 5 years at 8%

2123

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What problems might be encountered if there were no accounting standards?

2976

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Expand SOIT

1887

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What are the benefits ofparticipation in a depository?

2012

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why would you like to opt nbp

2018

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