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lisov135 [29]
3 years ago
9

If we could accurately forecast interest rates, financing decisions would be easy. Although it's difficult to predict future int

erest rate levels, it is easy to predict that interest rates will fluctuate. Therefore, sound financial policy calls for using a mix of long- and short-term debt as well as equity to position the firm so that it can survive in any interest rate environment.
The firm's optimal financial policy depends on the nature of the firm's assets—the easier its assets can be sold, the more feasible it is for the firm to use ____ -term debt.

Consequently, it is logical for a firm to finance current assets with ___ -term debt and to finance fixed assets with ___ -term debt.
Business
1 answer:
Margarita [4]3 years ago
6 0

Answer:

the Correct Answers are:

1.  Short Term Debt

2. Short Term Debt

3. Long Term Debt            

Explanation:

Businesses manage a variety of current assets. Permanent current assets are needed for the firm to maintain its business, and they will be carried even through downturns in business cycles. Temporary current assets fluctuate seasonally or with business cycles. Each organisation must devise an optimal financing strategy that best fits its business situation and best manages its risk

It is thus logical to ensure that:

  • All fixed assets and the nonseasonal portion of current assets, as well as seasonal needs of current assets, are best financed with long-term capital.
  • While seasonal needs of current assets are financed with short term loans.
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Control over cash disbursements is generally more effective when:
anyanavicka [17]

Answer:

The correct answer is option c) payments are made by check. Control of cash disbursement is generally more effective when payments are made by check..

hope helpful <3

5 0
3 years ago
Social surplus is maximized when all buyers with the reservations values ___________ than the market price are actually making p
nikklg [1K]

Answer:

highest-value; lowest-cost

Explanation:

Social surplus  can be define as the rate, amount of value or utility(which are welfare)  a society has gotten from goods and services consumption. It is not not like money or resource.

it is also referred  as economic surplus. it is  the summation of the sum of consumer surplus and producer surplus. The economic surplus is referred to as welfare package in full

5 0
4 years ago
Jim and Lisa own a dog-grooming business in Champlain, New York, called JL Groomers. There are many buyers and many sellers in t
Elza [17]

The answer is marginal revenue (MR) curve above $22.

Explanation:

Jim and Lisa Groomers will maximize its accounting profit when taking it to 0 its economic profits when marginal revenue = marginal costs.

Economic profits are not the same as accounting profits because they include the opportunity costs of investing the money somewhere else. That is whythe long run firm is not able to make economic profits since as they exist, new competitors will enter the market. But in the case of the shoert run, the firms are able to make economic profit, but by doing so, they cannot maximize their accounting profit.

Economic profit = account profit = Opportunity profit

Opportunity cost are extra costs or benefitslost from choosing one activity or investment over another one.

3 0
3 years ago
References are typically included on a résumé. please select the best answer from the choices provided t f
sergiy2304 [10]

Answer:

This is <em>false. </em>

Explanation:

You only have so much room on a resume, and refrences can be a waste of space. Typically, refrences are given upon request.

Hope this helped.

4 0
2 years ago
You are trying to determine how much money to save (invest) each year in your 401(k) Plan to fund your retirement in order to pa
Klio2033 [76]

Answer:

the money you will invest per year to fund 70% of your salary after retirement is given by,

\frac{401000}{100} X 70%=280 700.

Explanation:

you will need to save 280 700 in order to pay yourself 70% of 401 000.

since percentage is by 100, you will divide the salary by 100 and multiply the result by the new percentage.

7 0
3 years ago
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