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jolli1 [7]
3 years ago
14

Companies HD and LD have the same total assets, sales, operating costs, and tax rates, and they pay the same interest rate on th

eir debt. Both firms finance using only debt and common equity, and total assets equal total invested capital. However, company HD has a higher total debt to total capital ratio. Which of the following statements is CORRECT?
a. Company HD has a lower equity multiplier.
b. Company HD has more net income.
c. Company HD pays more in taxes.
d. Company HD has a lower ROE.
e. Company HD has a lower times-interest-earned (TIE) ratio
Business
1 answer:
aliina [53]3 years ago
7 0

Answer:

B) Company HD has more net income.

Explanation:

The total debt to capital ratio is calculated by dividing total liabilities by the sum of total shareholders' equity + total debt:

  • debt to capital ratio = total debt / (total debt + total equity)

Since company HD uses more debt to finance its operations, its net income will be lower since it has to pay more interests, but its ROE will be higher since equity is much lower also. Companies that use a lot of financial leverage are more risky but at the same time can generate higher returns to their owners.

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Based on the net income of the shop, the sales staff at Francesca's Fashions receive performance bonuses. In periods of declinin
lana [24]

Answer:

B: LIFO

Explanation:

Based on the information provided it can be said that in this situation the costing method that would bring the most benefit would be LIFO costing method. This acronym refers to last-in-first-out and describes a method of assuming that the last items that enter an inventory are always the first ones to be sold during that accounting year. This method would provide the most benefit because it usually results in higher cost of goods sold and a lower overall inventory.

4 0
4 years ago
Which of the following does NOT increase food intake?a) serotoninb) beta-endorphinsc) decreased blood glucose levelsd) neuropept
Shalnov [3]

Answer:

Serotonin

Explanation:

Serotonin is a neurotransmitter that gives people a feeling of happiness, vitality and vitality. It is therefore known as the happiness hormone. In the absence of a depressed, tired, distressed mood is seen. Structurally, it belongs to the monoamine group and is synthesized from the amino acid tryptophan.  When serotonin is released in the brain, the blood vessels contract and contract; as serotonin levels decrease, it expands.  Serotonin levels in the body are high before migraine attacks and decrease after the attacks.  All factors such as hunger, fatigue, stress, food, light and medicine affect the level of serotonin in the human body not serotonin could increase food intake. Stress and low blood sugar decreased serotonin levels; Oxygen, vomiting, foods containing amines (eg cheese, chocolate, orange, tangerine, tomato) and foods containing a type of amino acid called tryptophan (eg milk, turkey meat) increase the level of serotonin.

In addition, various hormones affect the level of serotonin in the human body. For example, an increase in estrogen (female hormone) in the female body causes an increase in serotonin levels; likewise, a decrease in estrogen hormones during menstruation reduces the level of serotonin, which may cause migraine to begin as a result of excessive dilation of blood vessels. In addition, serotonin binds to its receptors in dopaminergic neurons and reduces dopamine secretion. Serotonin deficiency has an effect on the occurrence of depression. In the treatment of depression and anxiety, serotonin reuptake inhibitor (serotonin re-use synapse interval, the secretion of neurons that destroy secretion) drugs are used.  One of its important effects is that it stimulates the muscles to stimulate glycogenolysis and causes contraction of the bronchial muscles.

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4 years ago
Which of the following is NOT a repayment plan option?
max2010maxim [7]

Answer: Loan forgiveness repayment plan.

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The Extended Repayment Plan: This is a repayment plan option whereby the loan can be paid back for a period of about 25 years.

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The Graduated Repayment Plan: This is a repayment plan option which increases every two years.

The loan forgiveness repayment plan is not a repayment plan option.

4 0
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