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VARVARA [1.3K]
2 years ago
6

If a payment cap is applied and the required payment does not cover the interest expense, the unpaid interest is added to the lo

an thereby increasing the loan balance even though the required payment is being made. This is known as ___________.
Business
1 answer:
spin [16.1K]2 years ago
6 0

The condition when a payment cap is applied and the required payment does not cover the interest expense, the unpaid interest is added to the loan thereby increasing the loan balance even though the required payment is being made, is known as a negative amortization.

<h3>What is negative amortization?</h3>

A condition where the amount owed by an individual keeps adding even after the repayments are done is known as negative amortization.

Such condition of a negative amortization arises as the amount being repaid does not fully or partly cover the interest amount.

Hence, the significance of negative amortization is aforementioned.

Learn more about negative amortization here:

brainly.com/question/22232264

#SPJ1

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Which of the following ratios measures how effectively a firm is managing its assets?a. quick ratiob. times interest earnedc. pr
lana [24]

Answer:

the answer is the Inventory turnover ratio hope this helps

Explanation:

7 0
4 years ago
Sal has heard a lot about his town's country club. He heard it has a great golf course, tennis courts, and dining room. In addit
Anna11 [10]

Answer:

An aspiration referral group

Explanation:

As he cannot join the group today, due to shortage of funds, he will join the group later, and accordingly, he expects it to be his aspiration to join the group.

That means it is his wish to join the group, this reflects clearly that the group is an aspirational referral group.

As all the partner's of his business are also members of the group he shall be expecting them to put a referral.

Therefore, the group will be considered as the aspiration referral group.

7 0
3 years ago
To spur trade, Cormoran, Brithea, and Asmakush decided on economic integration where there were no barriers to trade between the
LekaFEV [45]

Answer:

Common market.

Explanation:

In order to spur trade, Cormoran, Brithea, and Asmakush decided on economic integration where there were no barriers to trade between the three countries, they agreed on a common external trade policy, and allowed factors of production to move freely between the three countries. In short, the three countries formed a common market.

A common market can be defined as a formal agreement between a group of countries in which they adopt a common external tariff on products imported from countries outside the union. It is simply a type of market involving the formal organization of countries who have collectively agree to trade freely with one another with eliminated internal tariffs but imposes a common external tariff on trade with other countries.

Common market was founded in 1958 and was made up of countries like Luxembourg, France, Belgium, Netherlands, West Germany and Italy.

The main purpose and advantage of the common market is that, it avails member countries the opportunity to move goods, people, services and capital freely.

4 0
3 years ago
Services high in qualities have characteristics that the buyer can evaluate after purchase.
sergejj [24]

Services high in experience qualities have characteristics that the buyers can evaluate before purchase.

What is high quality of services?

When a customer's expectations are met, the service is said to be of high quality. Quality of service describes or measures a service's entire performance, especially the performance felt by network users, whether it be a cloud computing service, a phone service, or a computer network. The key to provide first-rate customer service is being pleasant. Try to welcome everyone with a smile at all times, and be considerate and friendly.

Businesses are considered to have good service quality when they meet or surpass expectations. Consider going to a fast food restaurant for dinner, where you can count on getting your food five minutes after placing your order. Your order is called minutes before you had anticipated it to be once you have got your drink and chosen a table.

To know more about network refer:

brainly.com/question/24279473

#SPJ4

4 0
1 year ago
Burger Emporium Inc. is currently losing $100,000 per year on its Zhou Burger product line. The revenue from the Zhou Burger is
Mekhanik [1.2K]

Answer:

The correct answer to the following question will be "keeping the product line since they would lose an extra $40000 if they dropped".

Explanation:

                                              Keep                                         Drop

Loss                             $100000 (given)                                    -

Fixed asset loss                      -                                     (300000-160000)

                                                                                   

Loss                                     $100000                                    140000

If dropped, so the $40000 damage would be included. Such that the correct approach is "keeping the product line since they would lose an extra $40000 if they dropped."

4 0
3 years ago
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