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docker41 [41]
3 years ago
15

Which of the following can be defined as saving, according to economics? a. Andrea finances her new car through an auto loan. b.

Microsoft sells stock at an initial public offering. c. General Motors issues corporate bonds. d. Sandra purchases a certificate of deposit from a bank.
Business
2 answers:
Anton [14]3 years ago
7 0

Answer:

Option c. General Motors issues corporate bonds.

Explanation:

The corporate bonds are bonds that are used by companies as a way of raising capital. In essence, a corporate bond is a bond that is issued by a large corporation mainly for the purposes of financing of a project. In addition, the bonds are also a means of business expansion. Thus, general motors, in its action, is raising capital for later expansion.  

taurus [48]3 years ago
6 0

Answer:

c. General Motors issues corporate bonds.

Explanation:

Savingi defined as a process of setting aside a portion of current income for future use, or the flow of resources accumulated in this way over a given period of time. Saving may take the form of increases in bank deposits, purchases of securities, or increased cash holdings. It is also defined in simple terms as disposable income that is not spent.

Corporate bonds are debt instruments created by companies for the purpose of raising capital. They are called fixed-income securities because they pay a specified amount of interest on a regular basis. Bonds are evidenced by an instrument typically issued by a company or country in exchange for cash, they pay the highest yield because they offer more risk.

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You meet a friend of yours for lunch. He is a supplier of coffee machines. While talking business, you mention to him that you'v
9966 [12]

Answer and explanation:

There are several factors to be considered at the moment of setting the price of a good or service that is going to be offered. Raw materials, production costs per unit, and labor are the most common. However, setting the price based on the competitors seems vague. An organization cannot depend on this matter strictly of another organization since the reasons for getting to the competitors' price is unknown.

Basing the price of a product based on demand and supply could be a good option. It will imply the price level will fluctuate according to market requests. By doing this, companies make sure to keep their expected revenues almost the same regardless of what competitors might be doing.

5 0
3 years ago
A company has issued a floating-rate note with a coupon rate equal to the three-month Libor + 65 basis points. Interest payments
enot [183]

Answer:

2.20%

Explanation:

Data provided:

Company issued floating-rate note with a coupon rate equal to the three-month Libor 65 basis points

On 31 March three-month Libor  = 1.55%

On 30 June three-month Libor  = 1.35%

Now,

The coupon rate for the interest payment made on 30 June will be calculated as

= 1.55% + 0.65

= 2.20%

Hence, the correct option is 2.20%

6 0
4 years ago
A firm that sells baseballs has estimated that at its current level of production its variable costs are $70 while its fixed cos
ella [17]

The firm's total profit for this year based on the firm's current level of production is $180.

<h3>What is the total profit?</h3>

The total profit is the difference between sales revenue and total (variable and fixed) costs.

<h3>Data and Calculations:</h3>

Sales revenue = $300

Variable costs =    (70)

Contribution      $230

Fixed costs           (50)

Total profits      $180

Thus, the firm's total profit for this year based on the firm's current level of production is $180.

Learn more about total profits at brainly.com/question/21613450

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6 0
3 years ago
Which of the following should be subtracted from net income in calculating net cash flow from operating activities using the ind
weqwewe [10]

Answer: increase in inventory

Explanation:

increase in inventory : An increase in a company's inventory shows that the company bought more goods than it has sold. And the buying of additional inventory requires the use of cash, it means there was an additional outflow of cash. An outflow of cash has a negative effect on the company's cash balance.

4 0
3 years ago
Which of the following is not a reason why it is important for parties to memorialize their agreements in writing?
Vika [28.1K]

Answer:

B. singing a writing communicates the seriousness of the occasion to the singer

8 0
3 years ago
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