All categories

3 years ago

Which of the following could be true if one decreases their long term liability and increases their liquid assets?

Business

2 answers:

Katarina [22]3 years ago

8 0

Answer:

C on edgenuity

Explanation:

hodyreva [135]3 years ago

6 0

There are two of these that could be true. In order to decrease long term liability you have to pay off a debt you owe, and in order to increase your liquid assets you have to acquire more cash or anything that could be easily transferred into cash. If you pay off your credit card balance you are paying off your long term liability, and if you add money to savings you are increasing your liquid assets. At the same time if you pay down your mortgage you are decreasing your long term liability, and if you receive a cash prize you are increasing your liquid assets.

You might be interested in

Like many other marketing strategy specialists, Mike relies heavily on creativity and originality. Members of his team are selec

damaskus [11]

Answer:

Brainstorming.

Explanation:

The situation exposed in the question above is an example of brainstorming, which can be defined as a group dynamics technique where there is the generation of ideas for a given project.

This activity is developed with the main objective of exploring the creative and innovative capacity of an individual or a group, stimulating the team's creativity, collecting ideas and the maximum amount of information, visions and possibilities in order to achieve a determined objective.

8 0

3 years ago

Which of the following would be most likely to lead to increases in nominal interest rates?

olasank [31]

Answer:

c. A new technology such as the Internet has just been introduced, and it increases investment opportunities.

Explanation:

Nominal interest rate is the sum of real interest rate and expected inflation rate.

If expected inflation rate falls, the nominal interest rate also falls.

During a recession, people are more unwilling to borrow funds ,this pushes interest rate down.

If investment opportunities increases, the demand for funds would increase and nominal interest rate would increase too.

I hope my answer helps you

8 0

3 years ago

Bruce & Co. expects its EBIT to be $185,000 every year forever. The firm can borrow at 9 percent. Bruce currently has no deb

ivolga24 [154]

Answer:

$751,562.50 and $837,203.125

Explanation:

The formula to compute the value of the firm under the MM proposition approach is shown below:

In first case

= {EBIT × ( 1 - tax rate)} ÷ WACC

= {$185,000 × ( 1 - 0.35)} ÷ 16%

= $120,250 ÷ 16%

= $751,562.50

Since no debt is there which means the firm is unlevered firm and computation is done accordingly.

All other information which is given is not relevant. Hence, ignored it

In second case

= {EBT× ( 1 - tax rate)} ÷ WACC

= {$172,850 × ( 1 - 0.35)} ÷ 16%

= $112,352.50 ÷ 16%

= $702,203.125

EBT = $185,000 - $135,000 × 9%

= $185,000 - $12,150

= $172,850

So, the value of firm would be

= $702,203.125 + $135,000

= $837,203.125

5 0

3 years ago

Define negative amortization in terms of the accrual rate and the pay rate on a loan. What risks are associated with negative am

tigry1 [53]

:000000000000999999

jdjsjsjsj skskksks

6 0

3 years ago

The norm of reciprocity select one:

viktelen [127]

Answer: a. suggests that when we receive something from another person we should respond in the future with a favor for them.

The norm of reciprocity is repaying in kind what another person has done for us. It is a favorable response given to each other for benefits received by returning it with benefits also. Responding to harms with either indifference or hostility, also.

4 0

3 years ago