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3 years ago

A stress test in finical marketing means:_____.

Business

1 answer:

Brilliant_brown [7]3 years ago

8 0

Answer:

Explanation:

Stress tests are carried out to determine how financial systems would react in periods of extreme stress eg. financial or economic crisis.

Stress situations are simulated and the reaction of the financial system to the stress is measured. Based on the reactions of the financial system, steps are taken to further improve or strengthen the financial system.

The scenarios used in a stress test can be based on historical events (events that have already occurred) or hypothetical events.

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There will be a lower equilibrium price and quantity if

denis23 [38]

Answer: demand decreases and supply stays the same

Explanation:

The equilibrium price refers to the price whereby the quantity of goods that's demanded and the quantity of goods that's supplied is equal.

On the other hand, the equilibrium quantity is gotten when the quantity of goods demanded and supplied are equal. This is gotten when the demand curve and the supply curve intersects.

It should be noted that there will be a lower equilibrium price and quantity if

In a situation whereby the demand increases and the supply remains the same, the equilibrium quantity and the equilibrium price will increase and vice versa.

8 0

3 years ago

Suppose an airline determines that its customers traveling for business have inelastic demand and its customers traveling for va

ss7ja [257]

Answer:

The correct answer is that the company should charge more to the business travelers and charges less to the vacationers.

Explanation:

To begin with, the concept called ''elasticity'', in the field of economics, refers to the variation that occurs when a change in one variable affects a change in another variable. Moreover, this concept has many applications regarding if the main subject is the supply of a product or the demand of a product.

Secondly, the price elasticity of demand is an elasticity application in economics that establishes the changes that occur to the demand of a product when the price changes. This elasticity could be inelastic or elastic. In addition, if the price elasticity of demand is inelastic then when the price changes the quantity demanded of that product will not change drastically while in the other hand, if the price elasticity of demand is elastic then when the price changes the quantity demanded of that product will change drastically so therefore the consumers reject the change in the price.

Finally, if the company wants to increase its total revenue then it must increase the price that charges to the business travelers and decrease the price that charges to the vacationers.

8 0

3 years ago

Jasmine Company sold $1,000,000 of 6%, 10-year bonds at 97 on January 1, 2020. The bonds were dated January 1, 2020 and pay inte

Snowcat [4.5K]

Answer:

$62,445

Explanation:

Discount on bond payable = ($1,000,000 / 100) x (100-97) = 30,000

Number of period = 2 x 10 = 20

Discount amortized every period = 30,000 / 20 = $1,500

Interest Expense on June 30 = (1,000,000 x 6%/2) + 1500 = $31,500

Principal Payment = $50,000 - $31,500 = $18,500

Outstanding bonds = 1,000,000 - $18,500 = $981,500

Interest Expense on December 31 = ($981,500 x 6%/2) + 1500 = $30,945

Total Interest Expense in 2020 = $31,500 + $30,945 = $62,445

5 0

4 years ago

Which of the following is a service fee? an amount of money a bank charges?

aalyn [17]

Answer:an amount of money a bank charges for the use of an account.

Explanation:

When someone charges you money for them to do something it is called a service fee

7 0

3 years ago

6. Explain how liabilities of an LLC (taxed as a partnership) or an S corporation affect the amount of tax losses from the entit

Natasha_Volkova [10]

Answer:

LLC liabilities are included as part of member's tax basis while S corporation liabilities are not.

Tax rules favors LLCs.

Explanation:

LLC liabilities are included as part of a member's tax basis while S corporation liabilities are not included in an S corporation shareholder's tax basis other than loans from the shareholders.

This distinction is important because the amount of loss a member or shareholder may deduct is limited to his or her tax basis in either his or her LLC interest or shares. Thus in this particular regard Tax rules favors LLCs.

7 0

3 years ago