Answer:
- Financial institutions, such as investment banks, provide expertise in the acquisition of funds.
- The investment banking institution will allow the Gaga Enterprises CFO to raise more money at a lower cost per dollar raised
Explanation:
In the given scenario we want to compare help in raising capital using a financial institution versus raising it directly in the financial markets.
When raising capital using financial markets it is more expensive because the company will need to give out ownership rights in the company when they sell shares.
However when financial institutions provide the capital, there is a lower cost per dollar raised compared to sale of shares.
Also financial institutions act as financial advisors to their clients. So they will provide expertise in the acquisition of funds.
Answer:
aren't binding on the limited partners.
Explanation:
A partnership is a form of business ownership where two or more individuals come together to establish a business venture. A partnership may consist of generals and limited partners.
General partners are actively involved in business operations. They manage the day to day activities of the business. Generals partners act on behalf of the business and have unlimited liabilities to the debt of the enterprise.
Limited partners are silent partners. They do not participate in managing the business. A limited partner, as the name suggests, has limited liability to the obligations of the business. Should a general partner take out a loan, a limited partner will be liable to the extent of his or her capital contribution.
$5,400 × 0.0149 = $80.46
$5,400 × 0.0444 = $239.76
$239.76 − $80.46 = $159.30
$159.30 / ($5/withdrawal) = 31.86 withdrawals
Answer: a. 32
Answer:
The answer is: Cost-Benefits Analysis
Explanation:
A cost benefit analysis is done to identify the benefits of an action as well as the associated costs. You then subtract the costs from benefits, and if the numbers are positive you know it´s a good project. But if the costs are too big and offset the benefits, then the project is no good.
In this specific case, you have to balance the cost of drinking an extra cup of coffee (how jittery or nervous it makes you feel) with the benefits of drinking that cup of coffee (all the extra work you can do). Usually someone will keep studying and drinking coffee until they just can´t bear standing awake. It also depends on how much you really need a good grade on that specific test.
This is a tricky answer, because:
the length of the loan, the interest rate, and the down payment will all affect the total cost of the loan
--BUT--
your credit history can help determine the interest rate you are offered, the length of the loan offered, and the downpayment required.
I think this is an unfair question, but the answer the teacher is looking for is A. credit history because it has an INDIRECT effect on total cost and not a DIRECT effect like the others.
