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3 years ago

What do the terms “catastrophic, critical, moderate, and negligible” describe in the risk assessment matrix?

1 answer:

8 0

<span>The terms such as; catastrophic, critical, moderate and negligible is being described in the risk assessment matrix as an adverse event’s effect in regards of level of severity. The level of severity of an adverse event’s effect is important in order to assess the risk that is associated with the particular thing or individual.</span>

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The production possibilities frontier will shift outward

Ber [7]

Answer:

E. if technological advances occur is the correct answer.

Explanation:

6 0

3 years ago

The main difference between an accommodation maker and an accommodation indorser is:

Anni [7]

Answer:

Accommodation maker are the one who sign the agreement without receiving any compentation or other benefits. They guarantees the debt of other person. He can be maker, endorser, or acceptor.

The main difference between an accommodation maker and an accommodation indorser:

Accomodation maker are the one who identitfy himself in the note as the one who is udertaking to pay due. They sign on the right hand side corner of an instrument.

Accomodation endorser are the one who endorse to pay the credit liablity of other person. They sign on the back of an instrument.

6 0

3 years ago

A property is generating $100,000 in income and has expenses of $25,000. The investor pays $3,000 toward mortgage principal each

Salsk061 [2.6K]

Answer:

$40,000

Explanation:

Calculation to determine the before-tax cash flow

Using this formula

Before-tax cash flow=Income-[Expense+(Debt service)]

Let plug in the formula

Before-tax cash flow=$100,000-[$25,000+($3,000 + $32,000)]

Before-tax cash flow=$100,000-($25,000+$35,000)

Before-tax cash flow=$100,000-$60,000

Before-tax cash flow=$40,000

Therefore the before-tax cash flow is $40,000

8 0

3 years ago

On January 1, 2020, Headland Company issued 10-year, $1,840,000 face value, 6% bonds, at par. Each $1,000 bond is convertible in

Anna11 [10]

Answer:

a. $3.64

b. $3.56

Explanation:

Basic Earning per Share = Earnings Attributable to Holders of Common Stocks / Weighted Average Number of Common Shares

Earnings Attributable to Holders of Common Stocks Calculation :

Net income $473,800

Less Interest on bonds after tax ($1,840,000×6%×80%) ($88,320)

Earnings Attributable to Holders of Common Stocks $385,480

Weighted Average Number of Common Shares Calculation:

Common Shares 103,000

Weighted Average Number of Common Shares 103,000

Basic Earning per Share = $385,480/103,000

= $3.74

Diluted Earning per Share = Adjusted Earnings Attributable to Holders of Common Stocks / Adjusted Weighted Average Number of Common Shares

Adjusted Earnings Attributable to Holders of Common Stocks Calculation:

Earnings Attributable to Holders of Common Stocks $385,480

Add Back Interest on bonds after tax ($1,840,000×6%×80%) $88,320

Earnings Attributable to Holders of Common Stocks $473,800

Adjusted Weighted Average Number of Common Shares Calculation:

Weighted Average Number of Common Shares 103,000

Add Convertible Bonds (1840,000/1000×16) 26,440

Adjusted Weighted Average Number of Common Shares 129,880

Diluted Earning per Share = $473,800/ 129,880

= $3.64

6 0

4 years ago

Which of the following contributed to the financial crisis of 2008?

yarga [219]

All of the above given options contributed to the financial crisis of 2008.

Option D

<h3><u>Explanation:</u> </h3>

The 2008 financial crisis has been cumulative of many factors which started in early 2000. Over the period of time from 2000-2008, the government sought to reduce federal funds rates increasing liquidity. The interest rates started increasing and the real estate market was at its saturation point, furthermore, there was also a subprime crisis in terms of loans and mortgages which negatively affected the market.

2008 recession was the climax of all the bad financial decisions that prevailed for many years prior. However, the recession was a global problem and many governments sought to reduce rates, purchased distressed assets and also sought to the nationalization of some financial institutions.

5 0

3 years ago