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3 years ago

How are direct lending and dealer financing similar? And which is the better option?

Business

1 answer:

lawyer [7]3 years ago

4 0

Answer:

See explanation below for answer.

Explanation:

Direct lending is the provision of credit directly to small and middle market companies (SMEs) for growth or acquisitions.

Dealer financing refers to the type of loan which is originated by a retailer to its customers and then sold to a bank or other third-party financial institution. The bank will then purchase these loans at a discounted rate and then collect the principle and interest payments from the borrower. It is also known as indirect loan.

The similarity between both methods is the lendee agrees to repay the loan over a period of time plus a finance charge.

Direct lending is the better option when the dealership offers no incentive programs.

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Between _________, it is estimated that Spanish America produced 150,000 tons of silver (including gold converted into silver we

liq [111]

Answer:

1550 - 1750

Explanation:

The primary mining centers in colonial Spanish America were Potosi in southern Bolivia, and Zacatecas and Guanajuato in northern Mexico. Measured in current dollars, silver worth tens billions of dollars was extracted and shipped to Europe during colonial times, but currently those places are extremely poor.

8 0

3 years ago

All but one of the following is a reason for outsourcing services. Select one: a. Avoids coordination expenses and delays b. All

Sveta_85 [38]

Answer:

Avoids coordination expenses and delays.

Explanation:

Outsourcing can be defined as a type of business practice in which an organization assigns some of its activities to a third party. It can also be described as the practice in which a company hires another company to carry out various operations and tasks.

The importance of outsourcing include:

- It gives the organization access to more skilled individuals.

- it lowers the cost of production.

- it provides more flexibility to the employees.

- it enables the company to concentrate on more vital operations.

6 0

3 years ago

Read 2 more answers

Emma, Inc. reacquired 166,326 of its shares at $22 per share as treasury stock. Last year, for the first time, Emma sold 37,992

Lesechka [4]

Answer:

The correct answer is $152,949.

Explanation:

According to the scenario, the given data are as follows:

Reacquired shares = 166,326

Per share price = $22

So, we can calculate the retained earning decline by using following formula:

Retained earning decline = Cost of Treasury shares - Sales price - Paid in Capital from stock

Where, Cost of treasury shares = 48,987 × $22 = $1,077,714

Now Sales Price = 48,987 × $15 = $734,805

and Paid in Capital from stock = 37,992 × ( $27 - $22) = $189,960

By putting the value in the formula, we get:

Retained earning decline = $1,077,714 - $734,805 - $189,960

= $152,949

6 0

3 years ago

A real estate agent earned $4800commission on a property sale of $240 comma 000.What is her rate of commission?

dsp73

Answer:

Her rate of commission is 2 percent

Explanation:

Commission= $4800

Sale of property = $240,000

Rate of commission = (Commission/ Sale Of Property )* 100

Rate of commission= $ 4800/ $ 240,000 * 100

Rate of commission= 0.02 * 100

Rate of commission= 2%

The above solution can be checked by putting in the values of percent and commission

(Check)

2% of $ 240,000

= (2/100) * $ 240,000

= 2* $2400

= $ 4800

Thus 2 percent of $ 240,00 is equal to $ 4800

3 0

4 years ago

February 1, 2018, Salisbury Company purchased land for the future factory location at a cost of $112,000. The dilapidated buildi

Maru [420]

Answer:

The cost of the land should be recorded as $108,350

Explanation:

Land cost = $112,000

Demolition dilapidated building = $2,200

Legal fees - title search = $1,450

Cost of land = Land cost - Demolition dilapidated building - Legal fees - title search

Cost of land = $112,000 - $2,200 - $1,450

Cost of land = $108,350

6 0

3 years ago