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3 years ago

Consider the relative liquidity of the following assets:

Business

1 answer:

NeTakaya3 years ago

4 0

Answer:

1. A $20 bill

2. A bond issued by a publicly traded company

3. The funds in a money market account

4. Your car

Explanation:

Liquidity means that how easily an asset can be converted into cash.

1. Currency is the most liquid means of medium of exchange, so $20 bill is highly liquid asset.

2. A publicly traded bond can be converted into cash within a couple of days, so it is second most liquid asset.

3. The funds invested in the money market can be withdrawn within agreed period of time which can be in months or days so it can be at seconf or third most liquid asset.

4. A car can take more than a month to locate a customer to sell it at appropriate price so it is the least liquid asset.

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Investors, when calculating the present value of a bond's future cash flows (i.e, when valuing a bond), technically use which on

Masteriza [31]

Answer:

b. yield to maturity

Explanation:

The future cash flows of the bonds are discounted to the present value using the yield to maturity or market related rate of the bond. The required return of the bond represents the coupon payments that the bond is offering.

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4 years ago

Batista Company management wants to maintain a minimum monthly cash balance of $19,100. At the beginning of April, the cash bala

klio [65]

Answer:

The cash, if any, must be borrowed to maintain the desired minimum monthly balance is $19,100 (given in the question) and the borrowed amount to maintain the desired minimum monthly balance is $9,000.

Explanation:

The steps for computing the borrowed amount to maintain the desired minimum monthly balance is shown below:

Step 1 : Write Beginning Cash balance

Step 2 : Add Cash receipts

Step 3 : Less Cash disbursements

Step 4 : After cash disbursements is calculated

Step 5: Write minimum monthly cash balance

Step 6: Now, deduct Step 4 amount by Step 5 amount to calculate borrowed amount.

So,

After Cash disbursement = Beginning Cash balance + Cash receipts - Cash disbursements

= $22,700 + $245,800 - $257,700

= $10,800

The cash, if any, must be borrowed to maintain the desired minimum monthly balance is $19,100 (given in the question)

And, the borrowed amount to maintain the desired minimum monthly balance = Monthly cash balance - After cash disbursements

= $19,100 - $10,800

= $9,000

Thus, the cash, if any, must be borrowed to maintain the desired minimum monthly balance is $19,100 (given in the question) and the borrowed amount to maintain the desired minimum monthly balance is $9,000.

6 0

3 years ago

Trader Joe's is an American chain of grocery stores headquartered in Monrovia, California. Trader Joe's creates a competitive ad

Goryan [66]

Answer:

Differentiation focus strategy

Explanation:

Competitive advantage is defined as the factors or strategy that gives a firm an edge over others in the same industry.

They are able to sell more product and make more profit than their competitors.

Trader Joe's creates a competitive advantage by its ability to incorporate upscale or attractive attributes into its product offerings at lower costs than rivals.

They are using differentiation focus strategy which entails developing a unique product based on selected attributes that are widely valued by customers.

Focus is given to making products that specifically meet these needs.

The result is a product that is unique in the industry. Products from Trader Joe's can't be found anywhere else. Also they provide a unique atmosphere and unique interaction with their staff.

They have been able to have reduced pricing through research and other tactics aimed at reducing cost of production in a sustainable manner.

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3 years ago

The windsong automobile manufacturing company produces luxury automobiles made to order. the ownership of the firm recognizes th

notsponge [240]

The core job dimension which describes this work team is TASK IDENTITY.
Task identity refers to the overall extent to which an identifiable job is done from the starting point to the finish point by a single worker. Task identity is an important component of job satisfaction and employers use this technique to increase the satisfaction that the employees derived from their works.

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3 years ago

Howard Ramsell recently became aware of implied warranties that exist for consumer purchases. An implied warranty exists as a re

faltersainse [42]

Answer:

(C) the intended use of a product.

Explanation:

Implied as the term means that it is obvious, further guarantee means that the guarantee is obvious.

Now, this is because of the use of the product, as for example there is an equipment called heater, which is generally sold in winters, as it warms the room.

Now it is implied that the heater shall at-least be in proper condition and shall work without any failure for one season of winters.

The correct answer is,

Statement C

3 0

3 years ago