All categories

3 years ago

The prime interest rate is offered by banks to customers with the largest accounts and with very high credit ratings.

1 answer:

8 0

The correct answer to the question that is stated above is letter .a. True.

The prime interest rates are offered by banks to customers with the largest accounts and with very high credit ratings.

>>>Prime rate is a term (in business) which refers to the interest rate that banks charge their preferred customers--- those with the highest credit ratings.

You might be interested in

On December 31, 2017, Stellar Company had $1,159,000 of short-term debt in the form of notes payable due February 2, 2018. On Ja

Phoenix [80]

Answer:

Explanation:

Before showing how short term debt should be presented before doing this we have to classify the items in each head

Like - In current liabilities, notes payable is recorded at $11,500

And, in the long term liabilities, the proceed after brokerage fees for $1,147,500 should be recorded.

The total amount would remain the same i.e $1,159,000

Kindly find the attachment below:

5 0

3 years ago

Suppose there is a decrease in the price of butter. What do we expect to happen to the demand for bread? Assume that bread and b

dimulka [17.4K]

Suppose there is a decrease in the price of butter.There will be an increase in demand for bread.

<h3>Option (B) is correct</h3>

Explanation:

Bread and butter are complementary goods. They are demanded and consumed together. So their demand are positively correlated which means an increase in demand of one will lead to the same increase the demand of other

If the Price of butter decreases, it will lead to an increase in the demand for butter. With the increasing demand for butter, the demand for bread will automatically increase. Both demands will move in the same direction.

3 0

3 years ago

For each separate case below, follow the 3-step process for adjusting the prepaid asset account at December 31. Step 1: Determin

svetoff [14.1K]

PART A

Answer:

Insurance expense debit for 3,800

Insurance prepaid credit for 3,800

Explanation:

a.- Prepaid Insurance. The Prepaid Insurance account has a $4,700 debit balance to start the year. A re- view of insurance policies and payments shows that $900 of unexpired insurance remains at year-end.

Step 1: Currently equals to $4,700

Step 2: It should equal $900

In this Case: It is giving us the begining balance, and then it proceeds to tell us the ammount unexpired, which means the ending balance. So the diference will be the adjuting entry

Step 3: $4700 - $900 = $3,800

insurance expense debit for 3,800

insurance prepaid credit for 3,800

PART B

Answer:

insurance expense 1040 debit

prepaid insurance 1040credit

Explanation:

b.- Prepaid Insurance. The Prepaid Insurance account has a $5,890 debit balance at the start of the year. A review of insurance policies and payments shows $1,040 of insurance has expired by year-end.

Step 1: Curently equals to $5,890

Step 2: 5,890 - 1,040 expired portion = 4,850 unexpired portion

The blaance should be 4,850

In this Case: It is giving us the begining balance, and then it proceeds to tell us the ammount expired, which means the adjusting entry. So the diference will be the ending balance

Step 3

The adjusting entry must be made for 1,040 which is the expired portion

insurance expense 1040 debit

prepaid insurance 1040credit

PART C

Answer:

rent expense 4,000 debit

prepaid rent 4,000 credit

Explanation:

C.- PrepaidRent. On September 1 of the current year, the company prepaid $24,000 for 2 years of rent for facilities being occupied that day. The company debited Prepaid Rent and credited Cash for $24,000.

Step 1 Current balance is 24,000

In this Case: It is giving us the begining balance, and then it proceeds to tell us information about the contract, which means we are going to work to get the expired portion and with that calculate the ending balance like on part B

Step 2 We are at December 31th the expired portion will be 4 months (September, October, November and December) so:

24,000

----------------------------- x 4 months expired = 4,000 expired portion

24 month of contract

24,000 - 4,000 = 20,000

begining - expired = ending AKA "unexpired"

The balance should be equal to 20,000

Step 3: the adjusting entry should be done for 4,000 which is the expired portion of the rent.

rent expense 4,000 debit

prepaid rent 4,000 credit

7 0

3 years ago

When a company recognizes that the needs of one market segment is not the same as another and accordingly customizes its product

Andrej [43]

Answer:

Focus strategy.

Explanation:

Focus strategy is undertaken by a company to enter a narrow market or expand operations in such a market. The segment is specific and the business usually provides services that competitively meets customer needs.

Recognising that one market segment's needs are different from another one's is the basis for focus strategy. Resources will be used to meet and satisfy the unique needs of a target segment or niche. Involve a particular product line for example children clothing, detergents, lemon juice, children's shoes and so on.

6 0

3 years ago

Lucretia finds herself caught between loyalty to her employer on the one hand and loyalty to a friend who works in her office on

antiseptic1488 [7]

Answer:

conflict of loyalty

Explanation:

In simple words, conflict of loyalty refers to a specific type of situation in which an individual faces a conflict of interest due to having loyalty towards two different parties which have different goals and objectives.

This scenario usually happens when someone in authority has to make a decision that can affect party he or she have personal relation or with the other party with with which that individual have a professional relation.

As per the modern theories, under such scenarios, individual in authority should favor professional relations over personal relations.

8 0

3 years ago