Answer:
The correct answer is False.
Explanation:
Commercial credit has its importance in that it is an intelligent use of short-term liabilities of the company to obtain resources in the least expensive way possible. For example, accounts payable constitute a form of commercial credit. They are the short-term credits that suppliers grant to the company. Among these specific types of accounts payable are the open account which allows the company to take possession of the merchandise and pay for them in a certain short term, the Commercial Acceptances, which are essentially checks payable to the supplier in the future, the Notes which is a formal recognition of the credit received, the Consignment in which no credit is granted and ownership of the goods never passes to the creditor to the company. Rather, the merchandise is sent to the company with the understanding that it will sell it for the benefit of the supplier, withdrawing only a small commission for the utility.
A long-term loan is usually a formal agreement to provide funds for more than one year and most are for some improvement that will benefit the company and increase profits. An example is the purchase of a new building that will increase capacity or machinery that will make the manufacturing process more efficient and less expensive. Long-term loans are usually paid from the profits. Mortgage: It is a conditional transfer of property that is granted by the borrower (debtor) to the lender (creditor) in order to guarantee the payment of the loan. Importance: It is important to note that a Mortgage is not an obligation to pay since the debtor is the one who grants the mortgage and the creditor is the one who receives it, in case the lender does not cancel said mortgage, it will be taken away and will be transferred to the borrower. It should be noted that the purpose of the mortgages by the lender is to obtain some fixed asset, while for the borrower it is to have security of payment through said mortgage as well as to obtain a profit from it through the interest generated. For the borrower it is profitable due to the possibility of obtaining a profit through the interest generated from said operation.
Answer: Negative Sales Mix Variance
Explanation:
With regards to the above question, the company has a negative sales mix variance. First and foremost, we should know that the sales mix variance simply has to do with the difference between the actual sales mix and the budgeted sales mix of a company or organization.
From the question, there'll be negative sales mix variance and this will bring about a reduction in the revenue of the company as the budgeted sales will be lesser than actual sales. Therefore, Profit also reduces.
Answer:
Total amount = $10906400
He would receive = $ 45443.33 every month
Explanation:
Ken invested $1.6 million at 9.6% for 20 yes compounded monthly.
n = 20*12= 140
t = 20
P= 1600000
R= 9.6% = 0.096
Amount A is equal to
A = p(1+r/n)^(nt)
A =
1600000(1+(0.096/140))^ (140*20)
A =
1600000(1 + (6.857*10^-4))^(2800)
A= 1600000(1.0006857)^2800
A = 1600000*6.8165
A = 10906400
Every month, he will get
10906400/(12*20)
= 10906400/240
=$ 45443.333
Answer:
As the population ages, with proportionally more older people and fewer younger people, demand patterns shift and opportunities arise in new markets. That means some industries will suffer or need to undergo dramatic shifts to remain relevant.
Explanation:
Work in process inventory
Explanation:
The overall costs assigned to the department is shown in a costing system for "work in the process inventory"
Work in the process stock shows all costs of the product manufacture and the applicable overhead is also charged to the process stock account.
With goods at various stages of the production process, the WIP applies to the raw materials, the work and overhead costs involved. WIP is part of the balance sheet inventory asset account. These costs will then be converted to the finished product account and ultimately to sales costs.