What’s on the information technology unit test?
Answer:
$20,857.24
Explanation:
This is an ordinary annuity question which can be solved using a financial calculator. The inputs are as follows;
Total duration of investment; N = 5
Interest rate per year; I/Y = 6%
Recurring annual payment; PMT = 3,700
One time cashflow; PV = 0
then compute the future value of the annuity; CPT FV = 20,857.244
Therefore, Jan will have $20,857.24 as down payment in 5 years.
Answer: A Property Management Agreement
Explanation: A Property Management Agreement is a legally binding contract between a property owner and a property manager which details the duties and responsibilities of the two parties.
A property owner is an individual or company that has owners right to the property. He is responsible for payment of rates and taxes that arise. While property managers may be responsible for finding and screening prospective tenants.
Note that a property owner may decide to manage his property himself but in a situation where he decides not to, he requests the services of a property manager to handle that task. In such a situation, a Property Management Agreement is prepared and is binding.
Answer:
Lowering the prices for customers
Explanation:
Competitive market is the market where there are many producers are competing with each other in order to provide or offer the goods and services needed to the consumer or customers.
So, in this market, the furniture company plans to use the cheaper materials in order to decrease the production costs and also pass the savings. This would be an example of the lowering or decreasing the price for the customers, which in turn increase the sales of the business.
Answer:
The second line i.e "managers substitute less risky assets for riskier ones to the detriment of bondholders" is the correct answer to the given question .
Explanation:
The asset substitution issue is when the management of a business organization knowingly misleads the another one by exchanging the superior quality assets with the inferior quality assets after a quality review has already been carried out.
- The challenge of asset substitution illustrates contradictions between the stockholders and creditors.
- The asset substitution supervisors replace less volatile assets with higher risk ones at the expense of bondholders.
- All the other options are not related to the asset substitution that's why they are incorrect option .
