Risk mitigation involves reducing the impact of a risk event by reducing the probability of its occurrence. To mitigate means to make something less bad or less severe so in this case if a risk turned out to be a negative reality, risk mitigation should be a part that you've already planned so you could easily solve it and move on with the project.
Answer:
<em>The monthly payments will be $353.12</em>
Explanation:
<u>Financing</u>
When a purchase is made at present value and the payment will be financed at a rate of interest i for n periods, the present value PV is
where R is the regular payment (usually monthly).
Solving for R
It's important to recall than only the unpaid amount goes financing, if some down-payment is made, it must be subtracted from the PV to be financed.
The present value of the car is 17,250 from which the buyer will make a 5% down-payment. It means that the real financing amount is
The rate of interest is
It also follows that n=54.
Computing R
Answer:
See attached picture for detailed answer.
Explanation:
See attached picture for explanation.
Answer:
1. realizable value = accounts receivable - allowance for doubtful accounts = $45,700 - $3,000 = $42,700
2. the journal entry used to write off the account is:
Dr Allowance for doubtful accounts 420
Cr Accounts receivable 420
Since both accounts receivable and the allowance account are decreased in the same amount, the net realizable value doesn't change (still is $42,700).
Answer:
The correct answer is option c.
Explanation:
In order to increase the revenue, the firm should increase the price when the demand is inelastic. Inelastic demand means that a change in price will cause a less proportionate change in quantity demanded.
So when the price is increased it will lead to a less proportionate decrease in the quantity demanded. As a result, the total revenue will increase.