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.
Answer:
Explanation:
X001 Sales volum = 3000*$20 = $60,000
X002 Sales volum = 3000*$10 = $30,000
Total $90,000
Allocated to X002 based on sales volum is 33.33% (30,000/90,000) of the 60,000, which is $20,000
Cost per unit of X002 is $6.67 ($20,000/3,000). Sells 1000 units, $6.67*1000 = $6670.
Gross profit = Revenue $10,000 - Cost $6670 = $3330 in gross profit
Answer:
The correct answer is location economies
Explanation:
Location economies refers to a situation where goods are produced under the optimal economic conditions.
In determining this location,companies usually consider cultural,economic and legal perspectives,in that they are able to locate their manufacturing outfits where the combination of these factors is most favorable.
The ease of transporting output and trade barriers are also examined such that the goods produced can be transported to consuming nations all around the world without logistics headache or trade sanctions.
Answer:
Specialty store
Explanation:
A specialty store is a retail business that specializes in a particular range of products and its related merchandise. A specialty store will have an extensive depth of the merchandise that its stocks. For example, a business may focus on office supplies, men clothing, or household appliances as opposed to having a wide range of consumer products.
Specialty stores will often sell their products at a premium price. They offer excellent and friendly customer service. Employees at a specialty store have in-depth knowledge about their products and will provide expert advice to customers.
Answer:
$378,000
Explanation:
average weekly demand 70 per distribution center
average shipment size to each distribution center is 450
average lead time 3 weeks
each distribution center has a 3 week safety stock
pipeline inventory: average lead time x average demand per distribution center x average price of each modem x number of distribution centers = 3 weeks x 70 units x $360 x 5 = $378,000
pipeline inventory in transit = $378,000
The pipeline inventory represents the minimum average that the company needs to have to at least meet the weekly demand for its product.
