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san4es73 [151]
3 years ago
8

An analyst is evaluating two​ companies, A and B. Company A has a debt ratio of​ 50% and Company B has a debt ratio of​ 25%. In

his​ report, the analyst is concerned about Company​ B's debt​ level, but not about Company​ A's debt level. Which of the following would best explain this​ position?(A) Company B has much higher operating income than Company A.(B) Company A has a lower times interest earned ratio and thus the analyst is not worried about the amount of debt.(C) Company B has a higher operating return on assets than Company A, but Company A has a higher return on equity than Company B.(D) Company B has more total assets than Company A.
Business
1 answer:
Sidana [21]3 years ago
8 0

Answer:

C) Company B has a higher operating return on assets than Company A, but Company A has a higher return on equity than Company B.

Explanation:

The B company has a minor debt ratio compared with company A. Which according to the following formula, permits to conclude it has a higher operating return.

Return on equity = Debt Ratio - Total Liabilities / Total Assets.

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Joseph is an unemployed yard landscaping worker who is trying to find employment as he last had work seven months ago. He is now
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Answer:

Cyclical Unemployment

Explanation:

Cyclical Unemployment occurs due to irregularities surrounding an economy and these said cycles eventually brings about recession and thus, a good number of willing workers would not be able to get jobs due to this fact. What Joseph is experiencing is called Cyclical unemployment.

3 0
3 years ago
Alexander has been accepted as a freshman at a college two hundred miles from his home for the fall semester. Alexander's wealth
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Answer:

Yes.  

Alexander is an intended third party beneficiary of the contract between Michael and Jackson Auto Sales.

Explanation:

In the law of contracts, Alexander becomes a third-party beneficiary of the contract between Michael and Jackson Auto Sales, and he has the right to sue in the contract notwithstanding that he was not an active party to the contract.  Some of the factors that may be present to show that a Alexander is an intended beneficiary are: (1) the contract's performance is rendered directly to Alexander; (2) Alexander has rights to control the details of the performance; or (3) there is an express designation in the contract, e.g. the title to the car is in Alexander's name.

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3 years ago
As a gardener, Joey earns $19.20 per hour. He earns double time for work on Saturdays. Last week, he worked 25 regular hours plu
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5 0
3 years ago
Bob is evaluating a bond issue to determine the right price for the bond. In his evaluation, he gathers the following informatio
Elanso [62]

Answer:

The price of the bond is $1000. Thus, option a is the correct answer.

Explanation:

The price of a bond is calculated using the present value of the interest payments made by the bond, which is in the form of an annuity, plus the present value of the face value of the bond. The present value is calculated by discounting the annuity of interest and the face value by the YTM or yield to maturity. In case YTM is not provided, we assume that it is same as or equal to the coupon rate paid by the bond.

The formula for the price of the bond is attached.

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5 0
3 years ago
Which occupation would be least affected by inflation?
nexus9112 [7]
It seems that you have missed the given options for this question, but anyway here is the correct answer. The occupation that would be least affected by inflation would be a doctor in private practice. Inflation is defined as a rise in the general level of prices. Hope this is the answer that you are looking for. 
6 0
3 years ago
Read 2 more answers
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