If you look at the information in the question, you'll notice that the return is less than the cost of borrowing (loan interest rate) (ATIRR). This indicates that there is negative leverage and that the property cannot utilise it.
Positive leverage would be created in the first year if the property was purchased with expected returns equivalent to leverage.
Financial leverage is the process of using borrowed money (debt) to buy assets in the expectation that the income from the new asset or capital gain would outweigh the cost of borrowing. The leverage is summed up in this idea. By using debt (loan money), or leverage, we mean to increase the profits on an investment or project.
Leverage allows investors to increase their market buying power.
Leverage is a tool used by businesses to finance their assets. Rather than issuing stock to raise money, businesses can use debt to finance operations in an effort to boost shareholder value.
The most popular financial leverage ratios to determine how hazardous a company's position is are debt-to-assets and debt-to-equity.
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Answer:
Single user license and cloud-based subscription
Explanation:
The authorization that gives the permission to one user only for using the software package. It means the software should be installed only in one machine
So as per the given situation, ryan want to use anywhere via the internet connection so here he should pruchased the single user also the cloud based subscription
therefore the above represent an answer
The correct answer that would best complete the given statement above would be the term LAW OF DEMAND. The law of demand states that <span>the quantity demanded of a product varies inversely with its price, as long as other things do not change. Hope this answers the question. </span>
Answer: B- Liquidity Trap
Explanation:
Liquidity trap is an economic situation in which monetary policy becomesineffective due to low interest rates and high savings rates.
Bonds have an inverse relationship to interest rates, therefore consumers would want to keep Thier funds in cash believing that interest rate may soon rise in near future
At the same time, central bank efforts to increase economic activity are terminated as they are unable to lower interest rates to provide incentives to investors and consumers and without demand, businesses would not grow.
Here, in the case of Japan, the central bank reduced real interest rates to zero percent, but investment spending did not respond enough to bring the economy out of recession making Japan experience Liquidity Trap
Answer:
I pretty sure it's B. 15
Explanation:
Because if their are two employees and combine they make thirty sandwiches an hour, you just divide the number of sandwiches by the number of employees.
Hope this helps :)
