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Inessa05 [86]
3 years ago
12

Nate purchased an​ interest-bearing security last​ year, planning to hold it until maturity. He received interest​ payments, and

, to his​ surprise, a sizable amount of the principal was paid back in the first year. This happened again in year 2. What type of security did Nate​ purchase?
Business
2 answers:
Reil [10]3 years ago
7 0

Answer:

The type of security that Nate purchased is  an asset backed security

Explanation:

Based on the illustration given in the question, Nate purchased an asset backed security.  

An asset-backed security  is a financial security such as a bond or note which is collateralized by a pool of assets such as loans, leases, credit card debt, royalties, or receivables.  

Reil [10]3 years ago
6 0

Answer:

asset-backed securtiy

Explanation:

Based on the scenario being described within the question it can be said that in this situation Nate seems to have purchased an asset-backed securtiy. This is a security that derives it's value and pre-defined pool of different assets which generate the income payments or interest payments that Nate seems to be receiving.

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2. What are the importance of vocation and business?​
Alik [6]

Answer:

A major part of your life is your vocation. This is your career or even your business. Fulfillment in your vocation can contribute to leading a satisfying and successful life. Factors involved in having a satisfying vocation are that you should have a purpose, help others and be concerned about future generations

5 0
2 years ago
For an auto insurance company, the average cost of collision claims is $500 per year for careful drivers and $3000 per year for
Rainbow [258]

Answer:

option (c) $875 per year

Explanation:

Given;

Average cost of collision claims for careful drivers = $500 per year

Average cost of collision claims for for poor drivers = $3000 per year

Poor drivers known by the company = 15%

thus,

Careful drivers = (100% - 15%) = 85%

Therefore,

Insurance company's breakeven price for the collision insurance  

= (Poor drivers known × Average cost of collision for poor drivers ) +( Careful drivers × Average cost of collision claims for careful drivers)

= 0.15 × $3000 + 0.85 × $500

= $450 + $425

= $875 per year

Hence, the correct answer is option (c) $875 per year

8 0
2 years ago
Use the following selected date and additional information from the records of Hitchcock Corporation to answer the question that
yawa3891 [41]

Answer:

$35,000

Explanation:

Requirement:  Prepare the Operating Activities section of the Statement of Cash Flows for the year ended 2004. Use the INDIRECT Method

Cash from Operating Activities

Particulars                                                   Amount$

Net income                                                     6000

Add: Depreciation expense                         <u>50000</u>

Operating Cash Flow before                        56000

Change in Working Capital

Add:

Decrease in inventory                      3000

Increase in incomes taxes payable   7000    <u>10000</u>

Less:

Increase in accounts receivable    10000

Increase in prepaid Rent                  8000  

Decrease in accounts payable        7000

Decrease in salaries payable          6000   <u>-31000</u>

Cash from Operating Activities                  <u>$35000</u>

5 0
3 years ago
The following costs were incurred in May: Direct materials $ 44,800 Direct labor $ 29,000 Manufacturing overhead $ 29,300 Sellin
trapecia [35]

Answer:

Conversion cost= $58,300

Explanation:

Giving the following information:

Direct labor $ 29,000

Manufacturing overhead $ 29,300

<u>The conversion costs are the sum of the direct labor and manufacturing overhead:</u>

Conversion cost= direct labor + Manufacturing overhead

Conversion cost= 29,000 + 29,300

Conversion cost= $58,300

5 0
2 years ago
An unfavorable materials quantity variance indicates that: select one:
Verizon [17]
<span>c. actual usage of material exceeds the standard material allowed for output.</span>
3 0
3 years ago
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