This type of loan is called an unsubsidized loan. Hope I helped!
Answer: A business legally separate from its owners.
Explanation:
A corporation is an organization which is seen legally as being separate from the owner(s). Legally, a corporation is seen as being on its own and therefore can: obtain loans, be Sue, pay taxes etc.
The effect on the financial reporting of the company is that the liabilities on the balance sheet would be understated. This is because at the end of the year, a possible event was calculated. The management felt from the calculation of that event that it is possible that the event could become an actual liability and that the amount could be estimated explainably. So it would become understated if these calculations of probable events cannot be written down in the balance sheet or in the notes of the final statements. It is like a forecasting of possible events that may happen in the future to prevent losses in the company.
Answer:
12.64%
Explanation:
In this question, we apply the Capital Asset Pricing Model (CAPM) formula which is shown below
Expected rate of return = Risk-free rate of return + Beta × (Market rate of return - Risk-free rate of return)
= 4% + 0.87 × 7.4%
= 4% + 6.438%
= 10.438%
The Market rate of return - Risk-free rate of return) is also known as the market risk premium and the same is applied.
Now the required rate of return would be
= 10.438% + 2.2%
= 12.64%
Answer:
D
Explanation:
Since Sula is making her decision based on what would be environmentally friendly, she is being socially responsible, but not necessarily analyzing the other variables. Therefore, the answer is D. Hope this helps!
