Answer: C. 150-250 basis points
Explanation:
Banks now charge between 150 to 250 basis points above the London Interbank Official Rate (LIBOR). This means that they charge a premium of between 1.5% to 2.5% over LIBOR for construction projects.
Like earlier mentioned, risks of construction lending may be less in a number of respects than those associated with land acquisition but however there are still risks. Risks such as low Tenancy when built, the potential Environmental problems and location.
This is why it is necessary to charge such a premium which is actually a very competitive rate amongst Banks.
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Answer:
FALSE
Explanation:
It is False that the difference between operations and projects is that operations end when their objectives have been reached, whereas projects do not.
The reverse is true because projects are time-bound and they come to an end when their objectives have been achieved, but company operations are expected to continue as a going concern.
A project is an activity to meet the creation of a unique product or service, an thereafter terminates while operations are day to day routine activities that are expected to continue
Answer:
$14,180
Explanation:
The computation of amount of cost of goods sold is shown below:-
(Purchased units × inventory cost) + (Balance × Inventory cost)
= (1,160 × $8) + (490 × $10)
= $9280 + $4,900
= $14,180
Note :- As per First in first out method 1,650 units sold would consist of 1,160 units of first purchases so we got the balance is 490 units (1,650 - 1,160).
Answer:
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