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3 years ago

Which of the following is true of a person with a high credit score?

2 answers:

dsp733 years ago

5 0

Your credit score is used as indicator of your creditworthiness. This means how likely you are to pay off debts and other financial obligations. A person with a high credit score should have a high credit worthiness, or likelihood to be responsible with credit.

A person who pays bills on time has demonstrated that she takes her financial obligations seriously, and this trait positively affects her credit score. The answer is A.

B and C would most likely be associated with a person with a low credit score, since they demonstrate lower creditworthiness.

Tomtit [17]3 years ago

3 0

It is true that a person with a high credit score is t<u>he person who is more likely to pay bills on time. </u>

What is a High Credit Score

Based from the credit bureaus, scores over 650 is considered a “good” credit score. This scores is calculated using a scoring models provided by certain companies specializing in data analytics. Some lenders also have their own models. The range of this scoring models are from 300 to 850.

Moreover, the highest possible credit score for certain companies is 850.

On the other side, for some company, the scores below 670 are considered in the fair and poor range. While for some score below 700 are considered in the fair and poor range.

What do Credit Scores Implicate?

Credit scores are the three-digit numbers that tells how the scoring model break down a person’s credit scores. This number is calculated using the information of a person in their credit report at a credit bureau. Each bureau has its own system of filing and scoring. The file is the set of information that tells how a person used a credit or not.

This score and equivalent of this score tells the lenders and credit card issuers how good or bad a person pay off their loan or credit card. This score provides the risk data to a lender whether they will approved a loan from a certain person.

Learn more about

Credit card brainly.com/question/7099651
Loan brainly.com/question/7508563

Keywords: credit score, credit, loan

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Answer: 1 E, 2 C, 3 A, 4 F, 5 D, 6 B

Explanation:

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Purchase order - A document used to place an order with a vendor that authorizes the vendor to ship ordered merchandise at the stated price and terms.

Invoice - An itemized statement of goods prepared by the vendor listing the customer's name, items sold, sales prices, and terms of sale.

Receiving report - A document used to notify the appropriate persons that ordered goods have arrived, including a description of the quantities and condition of the goods.

Invoice approval - A checklist of steps necessary for the approval of an invoice for recording and payment; also known as a check authorization.

Voucher - An internal file used to store documents and information to control cash disbursements and to ensure that a transaction is properly authorized and recorded.

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4 years ago

A company can save tens of thousands of dollars in the long run by converting to energy saving bulbs and instituting energy savi

Vesnalui [34]

Answer: business proposal

Explanation:

Business proposal shows the benefits of embarking on a particular project, the plans needed to execute the project, the breakdown of materials needed to achieve the aim of the project, time frame, and the budget or total cost breakdown to successfully complete the project.

In summary, business proposal is written in other to convince investors to invest in a particular project.

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3 years ago

During 2016, Rao Co. introduced a new line of machines that carry a three-year warranty against manufacturer's defects. Based on

Over [174]

Answer:

$319,000

Explanation:

The computation of the liability is shown below:

= Total expenses in three year - actual warranty expenditure

where,

Total expenses in three years = Total sales × total percentage of sales

= $6,200,000 × 9%

= $558,000

And, the actual warranty expenditure is $239,000

Now put these values to the above formula

So, the value would equal to

= $558,000 - $239,000

= $319,000

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3 years ago

Sustainable Growth Rate You have located the following information on Rock Company: debt ratio = 46.5%, capital intensity ratio

Sliva [168]

Answer:

The correct answer is 10.72% ( Approx.).

Explanation:

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

Debt ratio = 46.5%

Capital intensity ratio = 2.51 times

Profit margins = 21%

Dividend payout = 38%

Formula to calculate sustainable growth rate ae as follows:

Sustainable growth rate = (Earnings retention rate × Return on equity ) / ( 1 - (ROE × RR)

where, Retention rate =(1 - dividend payout rate)

= (1-0.38) = 0.62

ROE = Profit margin × Total asset turonver × Equity multipler

= Profit margin × 1/capital intensity ratio × 1/(1-debt ratio)

= .21 × (1/2.51) × 1/(1-.465)

= .21 × 0.398 × 1.869

= 0.1562

=15.62%

So, Sustainable growth rate = (0.1562*0.62) / 1 - (0.1562*0.62)

= 0.096844 / 0.903156

= 0.1072

= 10.72% (approx.)

Hence, the correct answer is 10.72% (approx.).

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4 years ago

The following information is available for Zetrov Company. The cash budget for March shows an ending bank loan of $19,000 and an

Alja [10]

Answer:

Zetrov Company

Budgeted Balance Sheet for the month of March

Assets

Current assets:

Cash $59,700

Accounts receivable 96,600

Inventory 27,300 $183,600

Long-term assets:

Equipment $82,200

Accumulated depreciation (34,600) $47,600

Total assets $231,200

Liabilities and Equity:

Current liabilities:

Bank loan payable $19,000

Accounts payable 90,800

Income tax payable 27,800 $137,600

Equity:

Common stock $34,000

Retained earnings 59,600 $93,600

Total liabilities and equity $231,200

Explanation:

a) Data and Calculations:

Ending Bank Loan = $19,000

Ending cash balance = $59,700

Accounts receivable = $96,600 ($138,000 * 70%)

Accounts payable = $90,800

Ending inventory = $27,300 (780 * $35)

Net income = $49,800

Income tax payable = $27,800

Equipment at cost = $82,200

Accumulated depreciation, beginning $31,800

Depreciation for the month = 2,800

Accumulated depreciation, ending = $34,600

Retained earnings, beginning = $9,800

Net income 49,800

Retained earnings, ending $59,600

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2 years ago