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velikii [3]
3 years ago
8

A firm negotiates a(n) _________ with its bank. This arrangement gives the firm access to a specified amount of unsecured short-

term funds, provided the bank has the funds available.
Business
1 answer:
Vesna [10]3 years ago
7 0

Answer:

<u>Line of credit </u>

Explanation:

A line of credit refers to a mechanism of availing short term credit from banks whereby a borrower is provided with a preset limit till which funds can be availed anytime.

As the borrower repays the money borrowed, the line of credit gets restored to the previous level provided it is an open line of credit.

Line of credit specifies the maximum limit till which money can be borrowed. The rate of interest and repayment time period are decided by the lender which is usually a bank.

Borrower is usually supposed to pay interest upon the money actually borrowed and not the full limit of the line of credit.

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Effects of the launching of Sputnik included:________
Genrish500 [490]

Answer:

Option D

Calls for more funding for science education in America the growth of the antiwar movement

Explanation:

Due to the cold war, the need for superiority in science and technology was created, and the U.S and Russia were the two countries running the arms race to gain superiority. When Russia launched the first rocket into space, The US responded by channeling funds into research and development. This was done in order to launch their own satellite into space as well. This was achieved a few years later with the launching of the Explorer 1

3 0
3 years ago
Assume that a constant growth stock is currently selling at its equilibrium price of $52.50 per share. All else constant, if the
ozzi

Answer:

decreased

Explanation:

As we know that there is a negative relationship between the rate of return i.e. required and the price of the stock. That means if the required rate of return rises, than the price of the stock reduced and vice versa

As in the given situation it is mentioned that the required rate of return increase so the price of the stock is decreased

The same is to be considered

5 0
3 years ago
28. Callable bonds generally: A. grant the bondholder the option to call the bond any time after the deferment period. B. are ca
SIZIF [17.4K]

Answer:

E. have a sinking fund provision

Explanation:

Callable bonds are the one wherein the issuer/borrower has an option to redeem the bonds anytime after an initial stipulated period. In case of such bonds, if the issuer decides to redeem the bonds, the holders have to accept the redemption value.

Usually, when market rate of interest on such bonds falls below the coupon rate of such bonds, the issuer redeems such bonds. Thus, such bonds are beneficial to the issuer.

Call protection refers to the period within which such bonds cannot be called or redeemed.

Sinking fund provision refers to transferring a portion of money during the duration of such callable bonds to a separate reserve known as sinking fund, which is created for the purpose of redemption of funds. So when such bonds are to be called, the total money transferred to sinking fund reserve would be raised and used for payment to bondholders.

Creation of such a reserve helps the issuer avoid the pressure of lump sum payment as periodically funds are set aside for the purpose of redemption.

4 0
3 years ago
Purely competitive industry X has constant costs and its product is an inferior good. The industry is currently in long-run equi
jasenka [17]

Answer:

increase in output, but not in the equilibrium price of the product. 

Explanation:

The options weren't provided. The full question can be found here - https://www.chegg.com/homework-help/questions-and-answers/perfectly-competitive-industry-x-constant-costs-product-inferior-good-industry-currently-l-q39354625

An inferior good is a good whose demand increases when income falls and whose demand falls when income rises.

When average income falls, the demand for good X rises. The level of output increases as a result of the rise in demand but price doesn't change.

I hope my answer helps you.

5 0
3 years ago
Smarton Company is in the process of preparing its budgeted income statement. It has determined its estimated gross margin to be
Oksanka [162]

Answer:

A) $48,000

Explanation:

$$$Gross Margin$$$- S&A expenses$$$Equals to Operative Income

Then:

$$$Operative Income $$$- Interest Expense$$$Net Income

Assuming there is no tax rate

90,000 - 30,000 - 12,000 = 48,000

48,000 would be the net income

3 0
3 years ago
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