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zhuklara [117]
3 years ago
9

Covenants represent:

Business
1 answer:
gregori [183]3 years ago
8 0

Answer:

the answer is D terms and conditions set forth in a lending agreement to reduce the probability of non-payment

Explanation:

covenants help lenders detect deteriorating loan quality.

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Short Company purchased land by paying $11,000 cash on the purchase date and agreed to pay $11,000 for each of the next six year
sergeinik [125]

Answer: $‭52,431.5‬0

Explanation:

The liability reported will be the present value of the six payments of $11,000.

Since this is a constant amount, it will be an annuity:

= 11,000 * Present value interest factor of an annuity, 6 years, 7%

= 11,000 * 4.7665

= $‭52,431.5‬0

<em>Any difference between this and any options given is down to rounding errors. Pick the closest figure. </em>

7 0
2 years ago
True or False: Increasing the number of stocks in a portfolio reduces market risk.Consider two stock portfolios. Portfolio B con
nikitadnepr [17]

Answer:

The correct answer is False.

Explanation:

A basic principle of investments is the creation of portfolios (or portfolios) for diversification purposes. At any given time, investors simultaneously hold a set of assets that make up their investment portfolio. A basic principle in finance is that an investor should not place all of his resources in a single asset or in a relatively small number of assets, but in a large number of investment instruments. In this way, the possible bad results in certain assets would be offset by the good results of others. Diversification allows the investor to lower the risk of his portfolio without sacrificing returns or, alternatively, increase the return on his portfolio without increasing his risk. Of course, diversification does not guarantee profits under any circumstances, but it does help to dampen the variability of returns on individual assets.

7 0
3 years ago
Audrey works in the accounting department of Colorado Manufacturing. Today she will use the firm's ledger to summarize informati
Doss [256]

Answer:

trial balance

Explanation:

Based on the information provided within the question it can be said that in this scenario Audrey will prepare a trial balance. This refers to an extensive list detailing all the general ledger accounts that can be found within the ledger of a business, each of which will reveal the name and balance of that account. This is what Audrey is preparing and is one of the main tasks completed by accounting departments.

3 0
3 years ago
Define liquidity. Rank the following assets in terms of liquidity, from most to least liquid: money market mutual fund, savings
valina [46]

Answer:

Liquidity: amount of cash or cash equivalents and its primary feature of converting quickly into money without losing any of it current value.

1)_ Dollar bill

2)_ Saving account

3)_ Checking account

4)_ Gold bar

5)_ Corporate stock

6)_ Money market mutual fund

7)_ House

Explanation:

To begin with, the liquidity is the feature of those assets to converting the most quickly as possible in cash and therefore the the most liquid asset is properly the dollar bill and the less liquid asset is the house due to the fact that it could take years to sell by a proper offer and becoming actual cash. In conclusion, it works that way with all the other assets, the liquidity of each one is higher or lower depending on the quickness of converting into cash.

3 0
2 years ago
Eduardo owns a farm in a country where taxes are very high and where the government openly considers the possibility of taking o
Artemon [7]

The major thing which <em>Eduardo's behavior demonstrates </em>is that:

  • The freedom to own property and keep the profits from work is necessary for the survival of an economy.

<h3>What is Freedom to own property?</h3>

This refers to the individual right which every human where he is able to buy and own land or inherit it from someone, or even get it as a gift and keep it.

With this in mind, we can see that Eduardo is staying in an oppressive country where the tax rates are very high and there are no freedom to own property so he begins to stop investing in the farm and focus on subsistence agriculture.

Read more about property ownership here:
brainly.com/question/8107760

8 0
2 years ago
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