The entrepreneurs must be aware of the firm’s overall
financial position, in order to determine the amount of finance they need or
how much they will be able to use or the limit of their finance. Another thing
is, the financial status should also be monitored if there are any progress or
changes.
Answer:
1 and 3 option
Explanation:
Which of the following statements are correct concerning the present value of $1.00 five years from today discounted at 5%? The present value is equal to $1.00 divided by 1.05 to the 5th power and If the discount rate were more than 5%, the present value would be smaller.
To calculate present value:The present value is equal to $1.00 divided by 1.05 to the 5th power, Therefore
Present value= the future value/(1+r)n where n=5, r= 0.005 or 0.006
which will be 1/(1+0.05)5
=0.78
Note:The present value interest factor for a single sum is always equal to or less than 1 and the further in time, the smaller the present value interest factor
Answer: Option (B)
Explanation:
There are four main functions of a management involved in the Results Only Work Environment program. These are as follow: leading, planning, controlling and organizing. These functions tend to play a vital role in the establishment of an organization, so as they can achieve their objectives and goals. Therefore, we can state that financing is not one of the main functions of a management.
Answer:
Corporation
Explanation:
A corporation is the type of business ownership where the owners and the business are regarded as separate and distinct entities. In their formation, corporations have limited liability feature. Limited liabilities distinguishes the assets of the corporations from those of the owners.
When duly registered, a corporation acquires the right to own property, enter into commercial contracts, sue or be sued. In other words, a corporation becomes a legal business person. There various types of a corporation such as S corporation and C corporation. Limited liability companies may also be regarded as corporations as they have the limited liability feature.