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3 years ago

In a credit application, besides one's capacity to pay, creditors also consider which of the following?

Business

1 answer:

DochEvi [55]3 years ago

4 0

Answer:

The lenders use a system of five Cs to know about the creditworthiness of potential borrowers. They weigh five characteristics of the borrower and various conditions of the loan, chances of default and risk of loss. The five Cs used by the lender are capacity, character, collateral, capacity and conditions.

The first C is character, it can be known by the previous loans of the applicant.

Debt to income ratio is the second C.

The third C is capital, it is the amount of money possessed by an applicant.

Collateral is the fourth C, it is the asset that can be used to back the loan.

The fifth C is conditions, the amount of the loan, its purpose and the prevailing interest rate in the market are known as conditions.

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After a recent study showed significant benefits to the use of public transportation, government officials have hired your consu

Umnica [9.8K]

<span>In function of the good service that must have in public transport and the welfare for the citizens another suggestion and possible resource that can be taken in this respect is to combine those initial ideas in function of the efficiency that these decisions provide. Reduce the price, you can decrease the income for maintenance, therefore you can freeze for time. Increasing the price may lead to rejection by users and an impact on their economy, however, it must be increased at a reasonable time. The monthly and annual passes are part of a balanced idea. In view of the acceptance of users there is more demand therefore the third idea must be complemented and offer passages of reduction of prices per trip that do not affect both economies of companies and users.</span>

6 0

3 years ago

Use the following information to answer the next three questions.

nalin [4]

Answer:

The alignment of numbers in the first part of the question is off. However, you solve this question as shown below. The correct answer is C. $1,124.

Explanation:

This is a one-time cashflow type of question where the principal amount is invested once and no other addition is made to the account. You use the future value formula to solve the result of the compounding effect at year 3.

FV formula;

FV = PV(1+r)^n

PV = 800

discount rate; r = 12% or 0.12

total duration of investment; n = 3

therefore; FV = 800(1+0.12)^3

FV = 800 * 1.404928

FV = 1123.94

To the nearest whole dollar, the amount will grow to $1,124

6 0

3 years ago

The Rialto Theatre purchased a new projector costing $82,000 on January 1, 2018. Because of changing technologies, the projector

Ratling [72]

Answer:

a. 19,500

b. $20,500

c. Gain of $9,500

Explanation:

Straight Line depreciation is a method of depreciation in which the cost of the asset net of residual value is divided over useful life.

Depreciation rate = ( Cost - Salvage Value ) / useful life = ($82,000 - $4,000) / 4 = $19,500

Depreciation charged in 2018 = $19,500

Depreciation charged in 2019 = $19,500

Accumulate depreciation as on December 31, 2019 = $39,000

In Double Declining method Accelerated depreciation is charged. The depreciation charged in this method is double of the charged in straight-line depreciation method.

Depreciation rate = 2 x (1/useful life) x100 = 2 x (1/4 years) x100 = 50%

50% will be charged to Book value of the projector.

Depreciation charged in 2018 = $82,000 x 50% = $41,000

Depreciation charged in 2019 = ( $82,000 - $41,000 ) x 50% = $20,500

Accumulate depreciation as on December 31, 2019 = $41,000 + $20,500 = $61,500

Book value as on December 31, 2019 = $20,500

Sale proceeds = $30,000

Gain on sale = $30,000 - $20,500 = $9,500

There is a gain of $9,500 based on Double declining method

It recorded as follow

Dr. Cash $30,000

Dr.Accumulated Depreciation $61,500

Cr. Gain on sale $9,500

Cr. Projector $82,000

7 0

3 years ago

Which of the following is not required for written communication?

Pepsi [2]

Actuate grammar is the answer hope this helps

4 0

3 years ago

Evaluate the set of events below. Determine how the events will impact their respective markets. a. In examining the market for

k0ka [10]

Answer:

One thing to clear ab initio is that equilibrium quantity and price are achieved when the demand and supply curves intersect at a point. Therefore, at equilibrium, the demand and supply in quantity are equal.

a) If a technological improvement reduces the cost of product, the equilibrium price will reduce and equilibrium quantity will be equal to the quantity demanded and supplied.

b) If there is a reduction in the number of sellers, the equilibrium price will increase and the equilibrium quantity will be equal to the quantity demanded and supplied.

c) If there is a tax levied on the sellers of apps, the equilibrium price will increase and the equilibrium quantity will be equal to the quantity demanded and supplied.

Explanation:

a) The market is in equilibrium when the supply and demand curves intersect, meaning that the quantity demanded and quantity supplied are equal. The price and quantity at which this intersection occurs are called the equilibrium price and equilibrium quantity respectively. In economics, when quantity supplied equals quantity demanded, an equilibrium situation is achieved, and it is represented by this equation: Qs = Qd; where Qs is quantity supplied and Qd is quantity demanded.

b) Equilibrium price reduces when there is a cost reduction and more supplies are pushed to the market to meet demand.

c) When suppliers leave the market, it means that the market price and demand are no longer attractive and beyond their individual influence. This leads to a reduction in quantity supplied overall.

d) Sales tax increases the price of goods and services, and equilibrium will be achieved when there consumers demand the product with increased price and sellers are willing to produce and sell at such a price.

5 0

4 years ago