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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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Roger is almost done with his feasibility study and is concerned about the financing. Up until this point, he has been operating

Andrews [41]

Answer:

True

Explanation:

Hope this helps.

8 0

3 years ago

According to the text, why is trade school more

jek_recluse [69]

<u>Explanation</u>:

A trade school is becoming popular this because it serves as a home to acquire technical education.

Thus anyone who wants to learn a skill having no prior experience is a best fit for trade school. A major benefit of the trade school is that it provides practical lessons to students, often times they are grouped together in peers for projects which encourages group learning.

5 0

3 years ago

Read 2 more answers

A German company wants to buy dollars to purchase U.S. bonds. In the open-economy macroeconomic model of the U.S., this transact

lilavasa [31]

Answer:

The correct answer is d. the supply of currency in the foreign exchange market, and the demand for loanable funds.

Explanation:

In an open economy, we must add the external sector, which includes the Trade Balance or net exports and the Capital or Financial Balance.

Net exports, being part of aggregate expenditure, are incorporated into the SI. However, the inflows and outflows of payment commitments or international financial assets are recorded in the capital account, which gives rise to a new curve, the BB.

We know that in an open economy, monetary phenomena depend on the exchange system that the country follows: fixed or flexible exchange rate.

Under a fixed exchange rate, the variable that is permanently and permanently adjusted to an imbalance in the money market is international reserves.

Under the flexible exchange rate, the adjustment variable is the exchange rate.

With a fixed exchange rate, an increase in the money supply pressures upward on the level of domestic prices, which encourages imports and discourages exports, causing us to lose competitiveness against our business partners. This translates into a permanent and definitive loss of international reserves, which thus constitute the adjustment variable, that is, the monetary phenomenon.

7 0

3 years ago

Kreter, Inc. earned net income of $300,000 last year. This year it wants to earn net income of $450,000. The company's fixed cos

Minchanka [31]

Answer:

sales is $2,500,000

Explanation:

The target sales for the company to achieve a net income of $450,000 in the current year equals the net income plus variable cost plus the fixed costs.

To understand this better,let us use the net income formula:

net income=sales-variable costs-fixed costs

by changing the subject of the formula,we the formula for sales:

sales=net income+variable costs+fixed costs

variable costs=sales*70%=0.7 sales

sales=$450,000+$300,000+0.7 sales

sales-0.7 sales=$750,000

0.3 sales=$750,000

sales=$750,000/0.3=$2,500,000

8 0

3 years ago

Below are departmental income statements for a guitar manufacturer. The manufacturer is considering eliminating its electric gui

sergij07 [2.7K]

Answer and Explanation:

1. The preparation of the department contribution report is presented below:

WHOLESALE GUITARS

Income statement showing Departmental contribution to overhead

For year Ended December 31,2015

Particulars Acoustic Dept Electric Dept Combined

Sales $112,500 $105,500 $218,000

Less : Cost of Goods sold

-$55,675 -$66,750 -$122,425

Gross Profit $56,825 $38,750 $95,575

Direct Expenses

Depreciation Expenses - Equipment $10,150 $9,000 $19,150

Salaries Expenses $17,300 $13,500 $30,800

Supplies Expenses $2,030 $1,700 $3,730

Total Direct Expenses $29,480 $24,200 $53,680

Indirect Expenses

Advertising Expenses $14,325 ($8,075 + $6,250)

Rent Expenses $12,055 ($6,105 + $5,950)

Utilities Expenses $5,595 ($3,045 + $2,550)

Total indirect Expenses $31,975

Net Income $27,345 $14,550 $9,920

2. As we can see that there is a loss so electric should not be eliminated

7 0

3 years ago