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3 years ago

The debt payments-to-income ratio is:

1 answer:

5 0

Answer: The debt payments-to-income ratio is: calculated by dividing monthly debt payments (excluding mortgage payments) by net monthly income.

This ratio is a measure that analyze an person’s monthly debt payment in accordance with his/her monthly income.

The gross income is the pay before taxes and other variables are deducted.

i.e. debt payments-to-income ratio = $\frac{Total\: of\: Monthly\: Debt\: Payments}{Gross\:Monthly\:Income}$

Therefore, the correct option is (b)

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Simon Company had the following summarized operations for the month of May: Revenues earned: for cash, $32,000; and on account,

AlladinOne [14]

Answer:

$35,000

Explanation:

Given that,

Revenues earned:

cash = $32,000

on account = $18,000

Expenses incurred:

cash = $5,000

on account = $10,000

Net Income:

= Income - Expenses

= (Cash revenue + account revenue) - (cash expenses + Expenses on account)

= ($32,000 + $18,000) - ($5,000 + $10,000)

= $35,000

Therefore, the net income for the month of May is $35,000.

7 0

3 years ago

UPS, a delivery services company, has a beta of 1.4, and Wal-Mart has a beta of 0.9. The risk-free rate of interest is 4% and th

Elena-2011 [213]

Answer:

10.9%

Explanation:

to calculate the expected return of the portfolio, we first need to calculate the portfolio's beta:

the portfolio beta = (beta UPS stock x weight UPS stock) + (beta Walmart stock x weight Walmart) = (1.4 x 50%) + (0.9 x 50%) = 0.7 + 0.45 = 1.15

portfolio's expected return = risk free rate + (portfolio beta x market risk premium) = 4% + (1.15 x 6%) = 4% + 6.9% = 10.9%

7 0

4 years ago

Which of the following best addresses the economic question For whom to produce?

Nonamiya [84]

Answer:

D. InFocus conducts focus groups to determine its target market.

Explanation:

Just took the test!

3 0

3 years ago

When businesses raise the price of a needed product or service after a natural disaster, this is known as .

Anon25 [30]

When businesses raise the price of a needed product or service after a natural disaster, this is known as price gouging. Price gouging is something that businesses do after a natural disaster when they know consumers are going to need a specific product or service so they raise the price because they know people are going to buy it anyways. An example of this is when they raise gas prices after a natural disaster, knowing people still need gas.

6 0

4 years ago

Read 2 more answers

Marston Manufacturing Company is considering a project that requires an investment in new equipment of $3,600,000, with an addit

Lorico [155]

Answer:

These are the missing multiple choices:

a. $3,780,000, b. $4,212,000, c. $720,000

The correct option is A,$3,780,000

Explanation:

The total cost of Martson's new equipment comprises of the invoice price of the equipment of $3,600,000 plus the cost of installation and shipping costs of $180,000.

The rationale for the shipping and installation is that costs of asset should include costs incurred in bringing the asset to its present location and condition such as installation and shipping costs.

The costs of the assets is $3,780,000($3,600,000+$180,000)

8 0

3 years ago