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olga_2 [115]
3 years ago
9

In a few sentences, explain how a credit score affects creditworthiness and the cost of credit.

Business
1 answer:
Anastasy [175]3 years ago
3 0
A credit score is the number that is assigned to the lenders that measure how well they are able to pay a debt. Credit scores are affected by how the previous loans were paid as well the amount of the loan. Late payments, short term loans, and small loans will result to a low credit score.
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Suppose the annual rate of inflation has been 3 percent during each of the last three years and that borrowers and lenders have
tatyana61 [14]

Answer:

a.borrowers gain at the expense of lenders.

Explanation:

Suppose the annual rate of inflation has been 3 percent during each of the last three years and that borrowers and lenders have come to expect this rate of inflation. If the inflation rate unexpectedly rises, then borrowers gain at the expense of lenders.

As inflation increases, two things happen

1. The amount of interest paid to lenders technically becomes of smaller value and lenders are loosing while borrowers are paying lesser

2. As inflation sets in, wages are increased to compensate for inflation and since the borrower already owed money before the inflation occurred, now he or she has more money in his or her paycheck to pay off the debt.

8 0
4 years ago
Anwar is a task-motivated leader who is in a high situational control environment. Based on Fiedler's Contingency Model, he is l
ExtremeBDS [4]

Answer: be confident, considerate, and focused on removing obstacles.

be considerate, open to suggestions, and concerned with resolving conflicts.

be directive, serious, and with little concern for others.

Explanation:

The Fiedler Contingency Model was created in mid-1960s by Fred Fiedler. He studied the characteristics and personality of an ideal leader. He was a scientist. An ideal leader understands the leader and member relationships. A leader gains the confidence of the fellow members and maintains a sense of trust. The task structure of the leader is clearly structured to avoid any confusion or obstacle in work. The leader can reward or punish the fellow members with a reason. The instructions from leader should be directional. The leader should maintain a sense of seriousness at work. The leader should be available to resolve conflict among other people at work and must be open to take suggestions.

4 0
3 years ago
W. L. Gore is the company that created Gore-Tex among many other innovative products. W.L.Gore employees (known as associates) d
Bas_tet [7]

Answer:

a.Contingency

Explanation:

The Contingency theory of leadership is a theory that establishes that a leader is successful when the style used fits the situation. This theory states that the best leadership style is the one that best adapts to the context. So, the Gore company more than likely adheres to the contingency theory of leadership because their leaders are not chosen but emerge according to the project they are working on and by other employees.

6 0
3 years ago
If a company would need to increase net working capital to start a potential new project how should it be treated in the project
natali 33 [55]

Answer:

C

Explanation:

Working capital is the capital used in the daily running of a business.

Working capital = current assets - current liabilities

Working capital is a form of expenditure for the firm.

Thus it is an outflow.

Working capital should be recorded after tax. tax should be subtracted from working capital to determine the eventual outflow

An increase in working capital means more cash is being used in the business. this cash cannot be used elsewhere. this reduces the amount of cash the business can use for other activities. this is why it is an outflow

7 0
3 years ago
Andrea, an enterprising individual, wants to open a store in her town. She wants her store to be of the same type as a popular c
uysha [10]

Answer:

D. Franchisee

Explanation:

A franchisee can be defined as an individual who is a small business owner who operates a franchise. A franchisee is given license by the franchisor to run a business under the franchisor's trade mark, trade name and method of operations. A franchise is a business in which the owners sell the rights to their business trade mark, trade name, logo and method of operations to a third party outlet or individuals owned separately by who we refer to as the franchisee. In this case, Andrea wants to become a franchisee by opening the same type of popular coffee chain in her town that is found in a nearby town.

6 0
3 years ago
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