All categories

4 years ago

WILL GIVE BRAINLIEST

2 answers:

8 0

the answer is b:) because high interest rates mean increased cost for all the others since it is not a fixed cost for them

VashaNatasha [74]4 years ago

5 0

Answer:

Letter B. A borrower that is loaned a 30 year fixed mortgage.

Explanation:

When receiving a fixed mortgage loan, the borrower is not reaching for the interest rate increase, ie the increase does not reach it. In this way, you benefit from the decision to raise interest rates, which is not the case, for example, with a borrower with a variable mortgage loan, where his debt will fluctuate with the interest rate.

You might be interested in

how could the competition policy undo the wrongs of the past and make South Africa a better place?Economics

mariarad [96]

Answer:

Competition policy is part of the new international orthodoxy in economic policy and, at the same time, was viewed in South Africa as a crucial element of economic transformation. This article reviews the role of competition policy in economic development and the experiences of developing countries such as Brazil and South Korea. It then assesses the effects of competition policy in South Africa after 1994, with the main focus being on the performance of the new competition institutions established in 1999. The case of the steel industry is used to assess the approach and impact of the institutions in a concentrated sector that has simultaneously undergone processes of liberalisation and domestic consolidation.

The opening-up of the economy through trade liberalisation has also seen increased concentration in many sectors. This is a result of consolidation, with inefficient firms closing down or being taken over, and of closer focus by companies on their core activities. Economies-of-scale arguments have also been used in several sectors to support mergers and acquisitions.

3 0

4 years ago

the units digit of a two digit number is 10. If the digits are reversed, the new number is 9 less than the original number. find

Lina20 [59]

Answer: The original number is 10

Explanation:The original number is definitely 10 and if this no is reversed it would give us 01. The difference between 10 and 01 is:

10-01=09.

Therefore, 01 is 9 less than than the original number which is 10.

This clearly explains this exact situation and a clear and precise solution has been given.

3 0

4 years ago

Plum Corporation began the month of May with $1,400,000 of current assets, a current ratio of 1.90:1, and an acid-test ratio of

matrenka [14]

Answer:

Plum Corporation

(1) current ratio = Current assets/current liabilities

(2) acid-test ratio = (Current asset -Inventory)/Current liabilities

(3) working capital = Current assets minus Current liabilities

(4) acid-test assets = quick assets

May 2 Purchased $75,000 of merchandise inventory on credit.

Current Assets: $1,400,000 + $75,000 = $1,475,000

Current Liabilities: $737,000 + $75,000 = $812,000

Inventory: $147,000 +$75,000 = $222,000

(1) current ratio = $1,475,000/$812,000

= 1.82:1

(2) acid-test ratio = $1,475,000 - $222,000/$812,000

= 1.54:1

(3) working capital = Current Assets - Current Liabilities

= $1,475,000 - $812,000

= $663,000

May 8 Sold merchandise inventory that cost $55,000 for $150,000 cash.

Current Assets: $1,475,000 -55,000 + 150,000 = $1,570,000

Current Liabilities: $812,000

Inventory: $222,000 - 55,000 = $167,000

Quick Assets = $1,570,000 - 167,000 = $1,403,000

(1) current ratio = $1,570,000/$812,000

= 1.93

(2) acid-test ratio = $1,403,000/$812,000

= 1.73

(3) working capital = $1,570,000 - $812,000

= $758,000

May 10 Collected $26,000 cash on an account receivable.

Current Assets: $1,570,000 ($26,000 - $26,000) = $1,570,000

Current Liabilities: $812,000

Inventory: 167,000

Quick Assets = $1,570,000 - 167,000 = $1,403,000

(1) current ratio = $1,570,000/$812,000

= 1.93

(2) acid-test ratio = $1,403,000/$812,000

= 1.73

(3) working capital = $1,570,000 - $812,000

= $758,000

May 15 Paid $29,500 cash to settle an account payable.

Current Assets: $1,570,000 - $29,500 = $1,540,500

Current Liabilities: $812,000 - $29,500 = $782,500

Inventory: 167,000

Quick Assets = $1,540,500 - 167,000 = $1,373,500

(1) current ratio = $1,540,500/$782,500

= 1.97:1

(2) acid-test ratio = $1,373,500/$782,500

= 1.76:1

(3) working capital = $1,540,500 - $782,500

= $758,000

May 17 Wrote off a $5,000 bad debt against the Allowance for Doubtful Accounts account.

Current Assets: $1,540,500 - $5,000 = $1,535,500

Current Liabilities: $782,500

Inventory: 167,000

Quick Assets = $1,535,500 - 167,000 = $1,368,500

(1) current ratio = $1,535,500/$782,500

= 1.96:1

(2) acid-test ratio = $1,535,500/$782,500

= $1.96:1

(3) working capital = $1,535,500 - $782,500

=$753,000

May 22 Declared a $1 per share cash dividend on its 69,000 shares of outstanding common stock.

Current Assets: $1,535,500

Current Liabilities: $782,500

Inventory: 167,000

Quick Assets = $1,535,500 - 167,000 = $1,368,500

(1) current ratio = $1,535,500/$782,500

= 1.96:1

(2) acid-test ratio = $1,535,500/$782,500

= $1.96:1

(3) working capital = $1,535,500 - $782,500

=$753,000

May 26 Paid the dividend declared on May 22.

Current Assets: $1,535,500 -$69,000 = $1,466,500

Current Liabilities: $782,500

Inventory: 167,000

Quick Assets = $1,466,500 - 167,000 = $1,299,500

(1) current ratio = $1,466,500/$782,500

= 1.87:1

(2) acid-test ratio = $1,299,500/$782,500

= 1.66:1

(3) working capital = $1,466,500 - $782,500

= $684,000

May 27 Borrowed $120,000 cash by giving the bank a 30-day, 10% note.

Current Assets: $1,466,500 + $120,000 = $1,586,500

Current Liabilities: $782,500 + $120,000 = $902,500

Inventory: 167,000

Quick Assets = $1,586,500 - 167,000 = $1,419,500

(1) current ratio = $1,586,500/$902,500

= 1.76

(2) acid-test ratio = $1,419,500/$902,500

= 1.57

(3) working capital = $1,586,500 - $902,500

= $684,000

May 28 Borrowed $135,000 cash by signing a long-term secured note.

Current Assets: $1,586,500 + $135,000= $1,721,500

Current Liabilities: $902,500

Inventory: 167,000

Quick Assets = $1,721,500 - 167,000 = $1,554,500

(1) current ratio = $1,721,500/$902,500

= 1.91:1

(2) acid-test ratio = $1,554,500/$902,500

= 1.72

(3) working capital = $1,721,500 - $902,500

= $819,000

May 29 Used the $255,000 cash proceeds from the notes to buy new machinery.

Current Assets: $1,721,500 - $255,000 = $1,466,500

Current Liabilities: $902,500

Inventory: 167,000

Quick Assets = $1,466,500 - 167,000 = $1,299,500

(1) current ratio = $1,466,500/$902,500

= 1.62:1

(2) acid-test ratio = $1,299,500/$902,500

= 1.44:1

(3) working capital = $1,466,500 - $902,500

= $564,000

Explanation:

a) Data and Calculations:

May 1, Current Assets = $1,400,000

Ratio of current assets to current liabilities = 1.90:1

Acid -test ratio = 1.70:1

Therefore, current liabilities = $1,400,000/1.9 = $737,000

Current Assets minus Inventory/$737,000 = 1.7

Therefore, current assets minus inventory = $737,000 * 1.7 = 1,253,000

Inventory = Current Assets - (Current assets -inventory)

= $1,400,000 - $1,253,000

= $147,000

3 0

4 years ago

Read 2 more answers

Johnson Electronics is considering extending trade credit to some customers previously considered poor risks. Sales would increa

torisob [31]

Answer:

a) $ 40,480

b) 17.60%

Explanation:

Working:

a. Increase in sales a 2,30,000

Less:

Bad debts expenses

b=a*5% 11,500

Collection costs

c=a*2% 4,600

Production ans selling costs

d=a*71% 1,63,300

Earning before tax

e=a-b-c-d 50,600

Less: Tax @ 20%

f=e*20%

10,120

Net Income 40,480

b)Return on sales

Net Income/Sales

40480/230000

17.60%

6 0

4 years ago

Which two models did huston and his colleagues find fit the outcomes of the marriages they followed in their pair project?

4vir4ik [10]

The two models are the ones.

7 0

3 years ago