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3 years ago

Banks make a profit by __________.

2 answers:

6 0

Banks make profit by making loans at a higher interest rate than it costs them
to obtain the money charging fees for their services,
investing in government securities, and
paying a higher interest rate than they pay their depositors. Therefore, the correct answer would be all of the above, the last option.

Tomtit [17]3 years ago

4 0

Answer:

The answer is: 1. Make loans at a higher interest rate than it costs. 

2.- To obtain the money that charges fees for their services. 

3.- Invest in government securities.

Explanation:

The fundraising operations, called passive operations, are materialized through the deposits.

1.- The banks generate new money from the money or the resources that they obtain through the collection and, with these, they grant credits to the people, companies or organizations that request them. For giving these loans the bank charges, depending on the type of loan, amounts of money called interest and commissions.

2.- At present, the change in the needs of companies, families and institutions, has led the banking activity to the services, which become its main source of income.

3.- Banks are also the main participants in the government stock market.

The answer is: 1. Make loans at a higher interest rate than it costs. 

2.- To obtain the money that charges fees for their services. 

3.- Invest in government securities.

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Answer and Explanation:

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3 years ago

Stubbs Company uses the perpetual inventory method. On January 1, Year 1, Stubbs purchased 400 units of inventory that cost $8.0

Sonja [21]

Answer:

A. USD 5,180/-

Explanation:

In the actual method of inventory valuation, the inventory reaming and the COGS (Cost Of Goods Sold) is measured after each purchase or sale of a transaction. So the COGS and the remaining value of the inventory is known all the time.

Formula:

Gross margin is equal to Sales minus COGS

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2 years ago

You are offered a chance to buy an asset for $4,500 that is expected to produce cash flows of $750 at the end of Year 1, $1,000

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Answer:

a. 22.64%

Explanation:

At first we are going to need to compute the Internal rate of return(IRR) (in which the current value of inflows = the current value of outflows)

Let's let the IRR be x percent

Therefore $4,500 = $750 / (1.0x)

+ $1,000 / (1.0x) power 2 + $850 / (1.0x) power 3 

+ $6,250 / (1.0x) power 4

Thus, x = approximate return rate = 22.64 percent

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3 years ago

Which action will help increase a low FICO score?

Andreas93 [3]

Reducing credit card balances is the action will help increase a low FICO score.

The FICO mortgage score is between 300 and 850. Higher scores indicate lower credit risk. Each individual actually has 65 credit scores for the FICO scoring model because each of three national credit bureaus, Equifax, Experian and TransUnion, has its own database.

8 0

2 years ago

In Walt Disney's Magic Kingdom, customers can visit a fairy kingdom, a pirate ship, or even a haunted house. Disney is marketing

Anni [7]

Answer:

Experience.

Explanation:

Marketing mix can be defined as the choices about product attributes, pricing, distribution, and communication strategy that a company blends and offer its targeted markets so as to produce a desired response.

Generally, a marketing mix is made up of the four (4) Ps;

1. Products: this is typically the goods and services that gives satisfaction to the customer's needs and wants. They are either tangible or intangible items.

2. Price: this represents the amount of money a customer buying goods and services are willing to pay for it.

3. Place: this represents the areas of distribution of these goods and services for easier access by the potential customers.

4. Promotions: for a good sales record or in order to increase the number of people buying a product and taking services, it is very important to have a good marketing communication such as advertising, sales promotion, direct marketing etc.

A service organization can be defined as an assembly of people who are saddled with the responsibility of providing customer-oriented services rather than just making profit.

In Walt Disney's Magic Kingdom, customers can visit a fairy kingdom, a pirate ship, or even a haunted house. Thus, Disney is marketing an experience because they comprises of both a tangible and an intangible quality.

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3 years ago