Answer:
C
Explanation:
When a manager chooses to produce a quantity where marginal revenue exceeds marginal cost, the company is not earning all the profit that it can.
Example: A company spends $5 million to buy prime real estate on which to build a new manufacturing factory. The land is worth $5 million. This is not financial leverage because the corporation is not using borrowed funds to purchase the land.
If the same corporation spent $2.5 million of its own money and $2.5 million in borrowed funds to purchase the same piece of real estate, the company is utilizing financial leverage.
Define: the utilization of fixed expenditures to increase the expected risk and potential return
Explanation: When purchasing assets, the corporation has three alternatives for financing: stock, debt, and leases. Apart from equity, the remaining choices have fixed costs that are lower than the expected income from the asset.
Answer: in business a jobber is a manufacturer, tradesman, or wholesaler who deals in small lots of goods or 'jobs,' or acts as an agent, middleman (intermediary), or a sub-contractor, and usually does not deal directly with the principal customer.
Explanation: a jobber is also an informal name for a broker or someone that negotiates with shares or stocks.
Answer:
7.68%
Explanation:
Data provided in the question
Present value = $1,891
Future value or Face value = $2,000
PMT = 2,000 × 7.1% ÷ 2 = $71
NPER = 17 years × 2 = 34 years
The formula is shown below:
= Rate(NPER;PMT;-PV;FV;type)
The present value come in negative
So, after solving this, The pretax cost of debt is 7.68% (3.84% × 2)
Answer:
Income streams such as photography and merchandise will be useful for the business is described below in detail.
Explanation:
The practices of photography are broad and therefore the businesses are extensive. the actuality is that if you are to sustain as an expert photographer today, and if you are to have the sources to proceed with what you are really enthusiastic about, then that often includes being open to, and actively evolving, various income streams, not all of which you will be uniformly passionate about.
