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OLEGan [10]
3 years ago
12

In the 1920's, the danger of buying stock on margin was that if the value of the stock dropped, borrowers _____.

Business
2 answers:
devlian [24]3 years ago
6 0

I believe the answer is: had to make up the difference.



when you buy a stock on margin, you would technically borrowing money from the broker to buy stocks with current value price and would receive it in future stock value.

If the value of the stock increased in the future, you can cover the loan with percentage of the profit and receive the remaining. If the value fall, you had to make up for the difference.

labwork [276]3 years ago
4 0
In the 1920's, the danger of buying stock on margin was that if the value of the stock dropped, borrowers <span>had to make up the difference.</span> The answer to your question is A. I hope that this is the answer that you were looking for and it has helped you.
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The accounts in the ledger of Dependable Delivery Service contain the following balances on July 31, 2022.
pishuonlain [190]

Answer:

Dependable Delivery Service

Classified balance sheet as at July 31, 2022

Non Current Assets

Equipment                                                  $59,360

Total Non Current Assets                          $59,360

Current Assets

Accounts Receivable                                  $11,400

Prepaid Insurance                                        $1,800

Cash                                                            $15,940

Total Current Assets                                  $29,140

Total Assets                                               $88,500

Equity and Liabilities

<u>Equity</u>

Common Stock                                         $40,000

Retained Earnings                                       $8,750

Total Equity                                                $48,750

<u>Liabilities</u>

<u>Non Current Liabilities</u>

Notes Payable, due 2024                         $31,450

Total Non Current Liabilities                     $31,450

<u>Current Liabilities</u>

Accounts Payable                                      $7,400

Salaries and Wages Payable                       $900

Total Non-Current Liabilities                     $8,300

Total Liabilities                                         $39,750

Total Equity and Liabilities                      $88,500

Explanation:

Its very important to calculate the Retained Earnings Balance at the end of July 2020.

To do this, we need to first calculate the Net Income for the period as follows :

<u>Income Statement for the year ended July 31, 2022</u>

Service Revenue                                                        15,500

Less Expenses :

Maintenance and Repairs Expense           1,200

Utilities Expense                                           950

Insurance Expense                                       600

Salaries and Wages Expense                    8,400     (11,150)

Net Income/(loss)                                                         4,350

Then, calculate the Retained Earnings Balance as follows :

<u>Retained Earnings Calculation </u>

Beginning Balance                                    5,200

Add Net Income during the period          4,350

Less Dividends                                            (800)

Ending Balance                                         8,750

6 0
3 years ago
Before using them on the grill wooden skewers be
dolphi86 [110]

Answer:

soak them in warm water

Explanation:

answer soak them in water D

3 0
3 years ago
The​ short-run aggregate supply curve slopes upward because of all of the following reasons except
ololo11 [35]

Answer:

B) in the short run, an unexpected change in the price of an important resource can change the cost to firms.

Explanation:

The short run aggregate supply (SRAS) curve is upward sloping because as the price of goods and services increases, the quantity supplied will increase. In the short run, wages are more sticky than prices, and businesses can adjust prices more rapidly than employees can get a raise. This will result in businesses increasing their profit margins as the general level of prices increases, therefore the SRAS curve will be upward sloping.

An unexpected change in the price of a key input will shift the entire SRAS curve either to the right (price of key input decreases) or to the left (price of key input increases).

3 0
3 years ago
Read 2 more answers
Which of the following ways of investing/saving is the most liquid?
charle [14.2K]
Savings accounts is the most liquid 
5 0
3 years ago
According to the text, economic analyses became more difficult when a firm entered overseas markets because, unlike the situatio
adelina 88 [10]

Answer:

The correct answer is A. Management must operate in two new environments, foreign and international.

Explanation:

It is more difficult to assess the unknown environment. When the company belongs to a country, it is easier for her to study market behavior because it has information at her fingertips. On the other hand, international markets require more adaptation time to assess the internal impact of making investments.

8 0
3 years ago
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