<u>Answer:</u>
Profits contribute to the firm’s stability and growth.
<u>Explanation:</u>
Profit is the main motive of a firm or business entity. It is based on the numerical value of profit a firm’s stability is determined. The future growth, reputation, shareholder value, market value of a firm depends on the profit.
Only when the profits are high the firm pays a higher salary to its employers and higher dividend to its shareholders. Employees not only get a monetary return on contributing to higher profits but are also motivated to stay back in the same firm .
<span>When employees have positive attitudes towards their jobs they become very productive. They start to understand the goal of the company and together work to achieve success. Problems will be minimized and will make way for a clear road to profit. This means expansion of the company, better benefits for employees, higher salaries. Most importantly job security.</span>
This a simple interest question with the principal = $25,000 time = 90 days and rate = 7%.
The simple interest in an investment after t days is given by PRT / (100 x 360). where P = $25,000 R = 7% and T = 90
S.I = (25000 x 7 x 90) / (360 x 100) = 15750000 / 36000 = 437.5
Therefore, the amount of interest Jasper will collect is $437.50
Answer
The answer and procedures of the exercise are attached in the image below.
Explanation
Please consider the data provided by the exercise. If you have any question please write me back. All the exercises are solved in a single sheet with the formulas indications.