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Andre45 [30]
3 years ago
8

A new customer, age 45, has been terminated from his assembly-line job of the past 20 years at an automotive parts supplier. Dur

ing that time period, he has accumulated $124,000 in the company's 401(k) plan. He wishes to rollover the funds to an IRA account with your brokerage firm. This customer, who is an unsophisticated investor, has the entire 401(k) invested in a growth mutual fund and has no other investments. As the representative for this customer, you should be concerned about:________
Business
1 answer:
Gekata [30.6K]3 years ago
5 0

Answer:

communicating effectively with an unsophisticated customer in an understandable manner to assess financial goals and risk tolerance

Explanation:

The new customer who has accumulated $124,000 in his company's 401(k) plan wants to rollover his funds with a brokerage firm.

However he only invested in a growth mutual fund.

This is a scenario that could lead to total loss for the customer if the growth mutual fund fails. A better approach would have been to invest in more than one option.

The first action should be to communicate effectively with the unsophisticated customer in an understandable manner to assess financial goals and risk tolerance.

Based on his Prefered objectives an investment plan can be recommended for him

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It is recommended that you create a budget for each (a)month (b)day (c)week (d)year
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Depending on when you get paid.
If you get paid every week then weekly. 
Most of the time I would say to make a budget weekly just because it is easier to keep track of. 
so (C) 
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3 years ago
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Tom rented an apartment from margaret on a month-to-month basis, with rent due on the first of the month. this type of tenancy i
Alborosie
False. 

This is a periodic tenancy because Tom, as the tenant, may rent the apartment for successive periods under his lease, despite being "month-to-month." A tenancy at will, however, allows either the landlord or the tenant to terminate the arrangement at any time because there is more flexibility in the arrangement.

One key difference is the issue of the tenant's notice to vacate the apartment. Under periodic tenancy, the law typically requires the tenant to give at least one period (here, one month) notice to the landlord of the tenant's wish to leave the property. No such notice requirement is typically found within a tenancy at will. 
3 0
3 years ago
According to the Uniform Commercial Code's interpretation of an open quantity term, if the quantity term is left open in a contr
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According to the Uniform Commercial Code's interpretation of an open quantity term, if the quantity term is left open in a contract for the sale of goods courts generally have no basis for determining a remedy.

<h3>What do you mean by Uniform Commercial Code?</h3>

The uniform Commercial code states that a sale consists of the passing of title from the seller to the buyer for a price.

According to the Uniform Commercial code's interpretation of an open quantity term, if the quantity term is left open in a contract for the sale of goods, courts have no basis for the determination of remedy.

Learn more about uniform commercial code here:

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3 0
2 years ago
Bates Company plans to add a new item to its line of consumer product offerings. Two possible products are under consideration.
ivolga24 [154]

Answer:

differential revenue = $7

so correct option is a.$7

Explanation:

given data

Product A costs = $6

contribution margin = $3

Product B costs = $12

contribution margin = $4

to find out

the differential revenue for this decision

solution

we get here the differential revenue for this decision that is express

so first we get here selling price for both product that is

selling price product A = Product A costs + contribution margin

selling price product A  = $6 + $3 = $9

and

selling price product B   = $12 + $4 = $16

so now we get differential revenue that is

differential revenue = selling price product B - selling price product A

differential revenue = $16 - $9

differential revenue = $7

so correct option is a.$7

4 0
3 years ago
Edelman engines has $20 billion in total assets. Its balance sheet shows $2 billion in current liabilities, $10 billion in long-
Lemur [1.5K]

<u>Calculation of Edelman's market/book ratio:</u>


The market/book ratio is calculated with the help of following formula:

Market/book ratio = Market price per share / Book value per share


The Book value per share can be calculated as follows;

Book value per share =Common Equity/ Shares of common stock outstanding

= 8,000,000,000 /500,000,000

= 16

Hence ,

Market/book ratio = 25/16 = 1.56


Hence, Edelman's market/book ratio is <u>1.56</u>





5 0
3 years ago
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