The three basic questions in Economics are all of these,except When to produce
A type of long term permanent financing for residential construction or large construction projects, that replaces the construction loan is called a takeout loan.
<h3>
What is a takeout loan?</h3>
A takeout loan is a method of financing whereby a loan that is procured later is used to replace the initial loan.
More specifically, a takeout loan, or takeout financing, is long-term financing that the lender promises to provide at a particular date or when particular criteria for completion of a project are met.
A take-out loan provides a long-term mortgage or loan on a property that "takes out" an existing loan.
The take-out loan will replace interim financing, such as replacing a construction loan with a fixed-term mortgage.
If the take-out loan is used to finance a rental or income-generating property, the take-out lender may be entitled to a portion of the rents earned.
To learn more about take-out loan, refer
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A.) "Below-Average" <span>generally switch companies easily
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<span>Jorge has a debt ratio 37% which means he has more money to spend for the month, Jose has debt ratio of 102% which means he has relatively less money to spend in the current month and their take home pay is same. So their current financial situation is Jorge is currently solvent where as Jose is currently insolvent. So these are the conclusion drawn from their debt ratios.</span>
Answer:
the total cost of ordering and holding sugar is $1,000 per year
Explanation:
<em>Step 1 Calculate the Economic Order Quantity(EOQ).</em>
EOQ = √(2×Total Demand×Ordering cost)/ Holding Cost per Unit
= √(2×250×20×5)/20
= 50
<em>Step 2 Calculate the total cost of ordering and holding sugar</em>
Total cost = Ordering Cost + Holding Cost
= (250×20)/50 × $5 + 50/2 × $20
= $500+$500
= $1,000
Therefore, the total cost of ordering and holding sugar is $1,000 per year
