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MAXImum [283]
3 years ago
9

A supplier is offering your firm a cash discount of 2 percent if purchases are paid for within ten days; otherwise, the bill is

due at the end of 60 days. Would you recommend borrowing from a bank at an 18 percent annual interest rate to take advantage of the cash discount offer?
Business
1 answer:
UNO [17]3 years ago
7 0

Answer: not, I wouldn't reccomend to borrow from a bank at 18% annual

Explanation: You will pay more, as montlhy interest would be 1.5% and for the 60 days you will pay 3% interest for the loan (18/12*2).

Example:

Price $ 100

with 2% of discount by paying within 10 days would be $98

And if you ask for a loan of $98 (that is the amount you need to pay with the discount) in 60 days you must pay to the bank $100.94 (98*1.03)

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Discuss how firms can benefit from (1) related diversification and also can benefit from (2) unrelated diversification. Discuss
igor_vitrenko [27]

Answer:

Benefits from related & unrelated diversification.

Explanation:

Firms' benefit(s) from related diversification :

  • Building & developing market power - By sharing the  related diversification going on in entire industry.
  • Sharing activities & market linkages with other businesses - Associated diversification implies forward & backward linkages.

Firms' benefit(s) from unrelated diversification :

  • Leveraging & enhancing different core competencies, USP - By Focusing on self paced unique diversification
  • Creating a different ostentation brand - Creating a strong brand, capable of becoming a market leader, rather than market follower

Key concepts explaining firm success or failure from either diversification are implicit within above explanation.

6 0
3 years ago
You have recently been hired as the assistant controller for Stanton Industries. Your immediate superior is the controller who,
Nata [24]

Answer:

Answer is given below.

Explanation:

it is absolutely exploitative to adjust the maturing of the records receivable with no legitimate explanation so as to diminish the remittance made so as to expand the benefit and show an off base monetary record figures to the partners. The controller can't subjectively choose to change the records receivable to cut down the noncollectable records as at some point or another a similar will be found during review and a similar will be hailed off as a fake. The long haul results you would confront incorporate landing terminated from the position, having your authorized dropped in the event that you are CPA and may likewise confront lawful prosecutions. You should disclose to the controller that so as to simply introduce a decent benefit for the present year it can place into the danger for the future and put their vocation in question. Additionally, a similar won't be valued by the investors and the organization may go on free its altruism.

5 0
4 years ago
Suppose that Steve, one of the partners in a home improvement company, intends to dissolve the partnership. Before he can give n
bija089 [108]

Answer:

still be liable for Hala's contract.

Explanation:

Any contract entered into by any of the partners, before the dissolution of a partnership business is deemed legal hence binding on the partners. This means that the partners will still be liable for the new contract in line with their partnership status.

Although, before a partnership business can be dissolved, at least one of partners must give a notice of intent. If in the process of giving the notice, another member enters in a new contract, such will be valid and partners will still be held liable because the business has still not been dissolved in the eye of the law.

Any contract entered into by any partner in a partnership business aftet dissution becomes illegal hence not binding on other members.

6 0
4 years ago
What are two advantages of the procurement integrated enterprise environment.
nevsk [136]

Answer:

Increasing visibility on all procurement stages. You can get access to the reports, documents, payments, workflows anytime. Data Security.

Explanation:

here is your answer if you like my answer please follow

4 0
3 years ago
Pat's Custom Tuxedo Shop maintains its records on the cash basis. During this past year Pat's collected $43,300 in tailoring fee
Luba_88 [7]

Answer:

net income = $31,500

Explanation:

given data

collect tailoring fees = $43,300

paid expenses = $12,300

Depreciation expense=  $2,500

Accounts receivable =  $1,050

supplies increased = $4,300

liabilities increased = $2,350

to find out

accrual basis net income

solution

we get here net income by given expression that is

net income = tailoring fees - expenses paid + account receivable + supplies increased - liabilities increased - Depreciation expense .......1

put here value

net income =  $43,300 - $12,300 + $1,050 + $4,300 - $2,350 - $2,500

net income = $31,500

8 0
3 years ago
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