Answer:
One important financial reporting instrument for measuring and assessing an organisations liquidity risk is the Cash Flows statement. It speaks to the availability of cash in the short term, and or assets that can be readily converted to cash.
In other words, when a business has immediate financial obligations, cash refers to those resources that can be used to satisfy them.
An understanding of cash flows is crucial to business success because it:
- provides a clear picture of an organisations cash status or liquidity;
- helps business owners plan for how much cash expected in the future and when it is likely to come;
- when organisations want to benchmark their performance against one another, it becomes very handy and useful. Banks, for instance, measure the ability of a business to meet it's liquidity requirements as a measure of eligibility to receive additional finance.
One way companies can maintain liquidity during this pandemic is to control overhead expenses. Necessity is the mother of invention. Companies can have their team brainstorm on creative ways to cut down on operational, administrative and production costs. Some costs which can be considered for downward revision are rent, labor costs (such as business performance incentives), professional fees, marketing costs, advertising costs, public relations etc.
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Answer:
Transaction gain = $16 million
Explanation:
Given:
Purchase amount = $52 million
December 31, 2021, bonds value = $46 million
October 3, 2022, bonds sold = $62 billion
Computation:
Using multi-step approach
Transaction gain = October 3, 2022, bonds sold - December 31, 2021, bonds value
Transaction gain = $62 million - $46 million
Transaction gain = $16 million
Answer:
J = 0.422
K = 0.58
Explanation:
When a portfolio is said to have risk that is equal to market, this means that the beta is equal to 1.
Let us define the weight of stock J = x
Let us define the Weight of stock K = (1-x)
To get the The Beta of portfolio = (x*1.26) + ((1-x)*0.81) = 1
When we open the brackets,
1.26x + 0.81 - .81x = 1
1.26x-0.81x = 1-0.81
0.45x = 0.19
To get x we divide through by 0.45
X = 0.422
Therefore the Weight of stock J = 0.422
Then the Weight of stock K = 1 - 0.422 = 0.578
Approximately 0.58
Over population, It can result from an increase in births (fertility rate), a decline in the mortality rate, an increase in immigration, or a depletion of resources. And less food for people who actually need it the state that had the least amount of people is China because it has a one child policy and if they break the law they can be executed and it’s to maintain current unsustainable consumption patterns while blaming the poor, women, people of color, immigrants, and those residing in the “global South” who produce a negligible impact on the environment.
