Answer:
The solvency ratio is closest to: B. 33%.
Explanation:
<em>The solvency ratio = After tax Net Operating Income ÷ Total Debt</em>
Thus,
The solvency ratio = $75,000 ÷ ($15,000 + $200,000)
= 35.88%
Therefore this is closest to B. 33%.
Laura is checking on schedule feasibility.
She is doing everything in order to see whether each phase will run smoothly and according to her schedule. She wants to see if her schedule is possible at all, which is why she is making a timetable to prove her hypotheses.
Answer:
d. Rise in price of alcohol
Explanation:
Change in Quantity demanded occurs due to change in Price. Change in Demand happens due to factors other than price - Income, Substitute & Complementary good's price, Taste.
Change in alcohol demand - due to substitute Cigarette price change , Change [Decrease] in alcohol demand - due to change in taste based on anti drinking sentiments, higher risk of alcohol liver cirrhosis , Change [Increase] in alcohol demand - due to change [rise] in Income : These all are due to factors other than price & hence are 'Change in Demand'
Rise in price of Alcohol leads to 'Change [Expansion] in Quantity Demanded' due to price change [rise] .
Explanation:
No matter how bold or ambitious your plans are to grow your business, the key to your business's success lies in three critical, interdependent components: operational excellence, customer relations/communications and financial management.
Answer:
a) 175,437.77
b)
![\left[\begin{array}{ccccc}Year&Beg Principal&Interest&Installment&Ending\\1&175437.77&15789.4&-24500&166727.17\\2&166727.17&15005.45&-24500&157232.62\\3&157232.62&14150.94&-24500&146883.56\\4&146883.56&13219.52&-24500&135603.08\\5&135603.08&12204.28&-24500&123307.36\\6&123307.36&11097.66&-24500&109905.02\\7&109905.02&9891.45&-24500&95296.47\\8&95296.47&8576.68&-24500&79373.15\\9&79373.15&7143.58&-24500&62016.73\\10&62016.73&5581.51&-24500&43098.24\\\end{array}\right]](https://tex.z-dn.net/?f=%5Cleft%5B%5Cbegin%7Barray%7D%7Bccccc%7DYear%26Beg%20Principal%26Interest%26Installment%26Ending%5C%5C1%26175437.77%2615789.4%26-24500%26166727.17%5C%5C2%26166727.17%2615005.45%26-24500%26157232.62%5C%5C3%26157232.62%2614150.94%26-24500%26146883.56%5C%5C4%26146883.56%2613219.52%26-24500%26135603.08%5C%5C5%26135603.08%2612204.28%26-24500%26123307.36%5C%5C6%26123307.36%2611097.66%26-24500%26109905.02%5C%5C7%26109905.02%269891.45%26-24500%2695296.47%5C%5C8%2695296.47%268576.68%26-24500%2679373.15%5C%5C9%2679373.15%267143.58%26-24500%2662016.73%5C%5C10%2662016.73%265581.51%26-24500%2643098.24%5C%5C%5Cend%7Barray%7D%5Cright%5D)
![\left[\begin{array}{ccccc}11&43098.24&3878.84&-24500&22477.08\\12&22477.08&2022.94&-24500&0.02\\\end{array}\right]](https://tex.z-dn.net/?f=%5Cleft%5B%5Cbegin%7Barray%7D%7Bccccc%7D11%2643098.24%263878.84%26-24500%2622477.08%5C%5C12%2622477.08%262022.94%26-24500%260.02%5C%5C%5Cend%7Barray%7D%5Cright%5D)
(I split into two arrays as I couldn't put the entire information into one)
c) because of the time value of money the principal generates interest over time making the installment pay up both concept principal and interest.
d) they decrease as the principal decreases over time as the lease payment exceeds the interest accrued over the year.
Explanation:
a) it will record at the present value of the lease payment annuity
C 24,500
time 12
rate 0.09
PV $175,437.7693
b)
we build the table starting withthe beginning lease value
calcualte the interest accrued over the year and subtract the lease payment
this makes a new balance of the loan principal which start the process again until it is fully paid.