Example 1: Your manager enters your office with receipts from a restaurant and bar and asks for reimbursement. The manager claims the expenses were incurred while entertaining a client. Later that day, your manager’s wife comes to the office to drop off his lunch and mentions to you the expensive restaurant her husband took her to the night before and tells you exactly what she ordered. While processing the receipt for reimbursement, you could not help but notice the itemized receipt included the exact items the manager’s wife mentioned she had for dinner. What do you do?

Biochemical corp. requires $600,000 in financing over the next three years. the firm can borrow the funds for three years at 10.80 percent interest per year. the ceo decides to do a forecast and predicts that if she utilizes short-term financing instead, she will pay 7.50 percent interest in the first year, 12.15 percent interest in the second year, and 8.25 percent interest in the third year. assume interest is paid in full at the end of each year. a)determine the total interest cost under each plan. a) long term fixed rate: b) short term fixed rate: b) which plan is less costly? a) long term fixed rate plan b) short term variable rate plan