Answer:
The insurance company will pay the mortage of $400,000
Explanation:
Loan value = 96%* $500000
= $480000
75% LTV value = $375000
Portion of loan over 75% LTV= $105000.
This is the amount insured.
5 years later, Sam needs $400000 more to pay. But he defaults.
And he has only paid $100000 of mortgage loan.
So, insurance company will pay the remaining balance of the amount insured to Sam's lender.
Therefore, The insurance company will pay the mortage of $400,000.
Gross investment exceeds depreciation
Answer:
The correct answer is the option C: a combination of the freemium business model and the pay-as-you-go business model.
Explanation:
On the one hand, the <em>freemium business model</em> is a way of ensuring future business transactions that a company can use by allowing users to utilize basic features of the service, such as in this case the router.
On the other hand, <em>the pay-as-you-go business model</em> is a way that the company can charge their customer and it does it by requesting the payment of the service in advanced of the use, no matter how much they use it.
In conclussion, Blue Horizon Inc is using a combination of both the freemium model and the pay-as-you-go model due to the fact that they offer a free router for their customer but they pay the service of internet in advanced as well.
Answer:
buying puts
Explanation:
A put option is a sale option. It gives the buyer the right (but not the obligation) to sell an asset in the future to the seller of the option at a previously determined price.
The owner or buyer of a put option benefits from the option if the underlying asset falls, that is, if when the put option expires, the asset (a share for example) has a price lower than the agreed price . In that case, the option buyer will exercise his right and sell the asset at the agreed price and then buy it at the current market price, earning the difference.
If the price turns out to be higher than the agreed price, known as the strike or strike price, the buyer will not exercise his right and will simply have lost the premium he paid to acquire the option. Therefore, your benefit may be unlimited, but your loss is limited to the premium you paid.
Answer:
The income statement shows the income items and expense items that are earned by a company for an accounting period. The balance sheet shows assets, liabilities, and the ending balances of equity items. The statement of changes in stockholders equity shows the changes of equity accounts, such as retained earnings and common stock, from its beginning balance to its ending balance. The statement of cash flows shows the inflow and outflow of cash for an accounting period.
Explanation: