Answer:
C. Monies to meet debt service requirement.
Explanation:
The fund that is reserved to pay for the principal and interest payments on various debts is known as debt service fund. It is kept to reduce risk of debt security for the investors. The risk reduction of a debt security makes it attractive for the investors and also reduces the effective interest rate which is needed while selling the offering.<em> But a portion of the cash that a debt issuer receives from the debt offering is tied and it cannot be utilised for more useful investments.</em>
Answer:
Special agent
Explanation:
A special agent is a person that is authorized by another person to act on his/her behalf in specific circumstances that are clearly stated. According to this and given that Jim gave his sister the authority to do specifc transactions on his behalf, the answer is that Peg is Jim's special agent.
Answer:
a. stockholders and creditors
Explanation:
Financial accounting is utilized by stockholders and creditors in order to make business decisions.
The shareholder use financial accounting reports to determine if the company's performance is as expected and to decide if more money should be invested or funds invested be pulled out (through the sales or transfer of equity).
Creditors use financial accounting to analyze the ability of the company to pay up debts owed to them when due, also to know if to continue to extend credit facilities to the organization.
Production employees rarely use financial accounting, rather, they are more concerned with management accounting considering elements like production cost, material variances, sales budget etc.
Customers are predominantly concerned about the availability of products and the presence of close substitute.
Hence the right option is a.
Answer:
7%
Explanation:
The Present value of this single annuity= $109295.
$amount of each annuity= 12000.
By estimation, if we take interest rate(r) =0.07 or 7% in annuity factor formula it will be ((1-(1/(1+0.07)^15))/0.07)=9.1079.
Now, 109295/12000 =9.1079. So, here answer will be 7%
<span>Given Data:
</span><span>
The return = 12%</span><span>
Stock price = </span>$43/share
<span>
Dividend = $1.00
Growth rate = </span><span>30% per year
</span> D₄ = $1.00 × (1.30)⁴
<span> = $2.8561.
</span><span>
Stock's expected constant growth rate after t = 4
</span>
Stock's expected constant growth rate:
X = 6.34%