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Sergeeva-Olga [200]
3 years ago
7

Merith Qin, a textile company, relies on self-funding in order to sustain the promotion of its new product in the market. The co

mpany sold its newly issued stock and was able to a mass a sizable amount of money to invest. What sources of long-term funds is being used by Merith Qin in the given scenario
Business
1 answer:
Sophie [7]3 years ago
7 0

Answer:

Direct Investments from Owners

Explanation:

Self funding refers to a corporate's financing it's projects by use of it's own funds in the form of retained profits or raising money internally i.e from existing shareholders.

Issue of stock is one of the modes of raising long term finance by a corporate. The other forms being debt, preference stock or deposits. Long term finance refers to money required to finance big projects requiring heavy investments and spread over a long period of time say 5 to 10 years.

In the given case, the company sold it's newly issued stock and amassed a considerable amount of money. In this case, the stock must've been issued to existing stockholders and thus money raised from existing owners.

Hence this source of raising long term finance is direct Investment from owners i.e stockholders.

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xyz company recently signed a lease on their new office space. as part of the lease agreement, they must pay for property's real
erastovalidia [21]

If they must pay for property's real estate taxes and premiums for insuring the building. The type of lease xyz company sign is:<u> Double net lease.</u>

<h3>What is Double net lease?</h3>

Double net lease can be defined as form of agreement that occur between a tenant and a landlord were the tenant agrees to pay for the cost of rent while the landlord on the other hand agrees to pay for operating expenses incurred by the tenant.

Based on the given scenario the type of the lease xyz company sign is called double net lease as they have to pay for property's real estate taxes  as well premiums for insuring the building.

Therefore the type of lease xyz company sign is:<u> Double net lease.</u>

Learn more about  double net lease here:brainly.com/question/14244511

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4 0
1 year ago
Where do you find the 800 number for Amazon.com?
Bezzdna [24]
At www.800numbers.com
4 0
3 years ago
A comparable sold ten months ago for $350,000. Appraiser Andy concludes that property values have increased by 5% per year. What
astraxan [27]

The adjustment in the property value should be <u>$17,500 increase</u> so that the property is valued at $367,500.

<h3>Data and Calculations:</h3>

Value of property 10 months ago = $350,000

Increase in property values = 5%

Adjustment in property = $17,500  ($350,000 x 5%)

<h3>What is adjustment in property value?</h3>

This is the change in the value of property as a result of an increase or decrease in the values of comparable properties within the locality.

Thus, the adjustment in the property value should be <u>$17,500 increase</u> so that the property is valued at $367,500.

Learn more about adjustment in property values here: brainly.com/question/15397430 and brainly.com/question/7142333

7 0
2 years ago
3. The store purchases used goods for resale from people that bring items to the store. Since that can occur anytime that the st
Dafna11 [192]

Answer:

Weakness 1 is signed paper are not stored in safe and secured location.

Weakness 2 is approval is not taken from any manager or person before purchasing the item from customers.

Explanation:

The store should keep a track in the system for the purchase of items from its customers. The store should get approval before purchasing the product and the cash dealing should be assigned to designated person who will be responsible for the payment to its customers. This will reduce chances of fraud as the cash will be handled by only one person and tracking will be easy.

3 0
3 years ago
A hamburger factory produces 60,000 hamburgers each week. The equipment used costs $10,000 and will remain productive for four y
Liono4ka [1.6K]

Answer:

A. 195 hamburgers

B. Yes

Explanation:

The computation is shown below:

A. Productivity measure = (Annual output) ÷ (Annual labor cost + annual equipment cost)

where,

Annual output = 60,000 × 52 weeks = $3,120,000

Annual labor cost = $13,500

Annual equipment cost

= $10,000 ÷ 4

= $2,500

So, the productivity measure is

= ($3,120,000) ÷ ($13,500 + $2,500)

= 195 hamburgers

B. Productivity measure = (Annual output) ÷ (Annual labor cost + annual equipment cost)

where,

Annual output = 60,000 × 52 weeks = $3,120,000

Annual labor cost = $11,000

Annual equipment cost

= $13,000 ÷ 5

= $2,600

So, the productivity measure is

= ($3,120,000) ÷ ($11,000 + $2,600)

= 229 hamburgers

Since the productivity is increased from 195 hamburgers to 229 hamburgers so the equipment should be purchased.

7 0
3 years ago
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