Answer:
an Adjustable-rate Loan (sometimes called an ARM).
Explanation:
A variable-rate mortgage, adjustable-rate mortgage (ARM), or tracker mortgage is a home mortgage with the rate of interest on the bond changed regularly depending on a measure that represents the financing expense to the applicant on the financial markets.
The loan can be given at the regular variable rate / base rate of the lender. There may be a direct and legally defined link to the underlying index, but where the lender does not provide any specific link to the underlying market or index the rate may be changed at the discretion of the lender.
Answer:
(A) 5 and 10.
Explanation:
Factor which can shift the Investment spending:
(5) Profit Expectations
If the firm forecast a good economy will probably invest more than if it forecast a bad economy. businessman will increase and decrease their investment based on expepectations.
(10) Degree of Excess Capacity
Assuming a rational behavior, company's will investment if needed. So if there is a portion of unsued capital they will use it before investing to acquire more. Once the current capital is used or near max capacity they will invest. Below a certain threshold they won't.
Answer:A) Event organizer for a local politician.
Explanation:Locus of control is stern used to describe the degree or level to which people believe that events that happens to them are as a result of their actions as opposed to other external factors or influences.
A high internal locus of control is when a person has a strong belief that he or she is the main determinant of how events or things play out in their lives.
WITH A HIGH INTERNAL LOCUS OF CONTROL JENNY WILL PERFORM BETTER WHEN ASKED TO WORK AS AN EVENT PLANNER FOR A LOCAL POLITICIAN.
Answer:
1. $550,000
Explanation:
1. It is given in the question that the stated interest rate and the market interest rate both are having the same rate, i.e, 12%.
Hence, the bonds are issued at the face value that is $550,000.
2. The Journal entries are as follows:
(i) On January 1,
Cash A/c Dr. $550,000
To bonds payable $550,000
(To record the bond issuance)
(ii) On December 31,
Interest Expense A/c Dr. $66,000
To cash A/c $66,000
(To record the first interest payment on December 31 assuming no interest has been accrued earlier in the year)
Workings:
Interest expense = $550,000 × 12%
= $66,000
