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evablogger [386]

3 years ago

12

If you get into a car accident, your___________ may increase because you will be considered riskier for insurance companies to c

over
A. Car loan payment
B. Insurance premium
C. Taxes
D. Claims adjustment

2 answers:

mezya [45]3 years ago

7 0

Answer:

B. im i right or no :P

Explanation:

Romashka [77]3 years ago

5 0

Answer:

B. Insurance premium

Explanation:

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Suppose the National Bureau of Economic Research (NBER) comes out with a report suggesting that the economy will soon dip into r

sweet [91]

Answer:

(D) The cyclical unemployment

Explanation:

Business activity is subject to the comings and goings of private initiative, so the expansion and recession phases of the economy affect the number of unemployed.

<u>Cyclical unemployment</u> increases considerably during times of recession, due to the deterioration of economic conditions; while decreasing in the stages of expansion, due to the improvement of the economy.

Governments try to reduce the incidence of this type of unemployment by softening the transition between different economic cycles. The objective is that the labor supply does not vary significantly between the stages of expansion and recession so that its demand is not excessively impaired.

3 0

3 years ago

Macroeconomic forces contribute to an industry's ability to be profitable. Which of the following examples shows how a company m

Elis [28]

Answer:

A home mortgage company creates a sales promotion with incentives for potential home buyers to take advantage of a particularly favourable interest rate.

Explanation:

Companies usually give numerous promotions to their valuable customers to increase the overall sales revenue. In the above scenario, if a home mortgage company creates a sales promotion which attracts customers to buy their product and take advantage of the favourable interest rate is an example of companies focusing on macroeconomic factors. Macroeconomic forces are important for any company to improve profits.

6 0

3 years ago

Quantitative Problem 1: Hubbard Industries just paid a common dividend, D0, of $1.30. It expects to grow at a constant rate of 2

blondinia [14]

Answer:

Current price is equal to $16.575

Explanation:

It is given common dividend $D_0=1.30$

Growth rate = 2% = 0.02

Required rate of return = 10% = 0.1

Dividend paid in next year

$D_1=D_0(1+g)=1.30\times 1.02=1.326$

Current price is given by $P_0=\frac{D_1}{R_e-g}$

$P_0=\frac{1.326}{0.1-0.02}=16.575$

Therefore current price is equal to $16.575

6 0

3 years ago

2. On January 2, 2017, heavy equipment costing $800,000 was purchased. The equipment had a life of 5 years and no salvage value.

Naddika [18.5K]

Answer:

The solution to the given problem is done below.

Explanation:

(a) Depreciation

for Financial Depreciation for Temporary

Year Reporting Purposes Tax Purposes Difference

2017 $160,000 $264,000 (104,000)

2018 $160,000 $360,000 (200,000)

2019 $160,000 $120,000 40,000

2020 $160,000 $56,000 104,000

2021 $160,000 0 $160,000

$800,000 $800,000 0

(b) 2018 2019 2020 2021 Total

Future taxable

amounts:

Depreciation $(200,000) $40,000 104,000 $160,000 $104,000

Deferred tax liability: $104,000 × 40% = $41,600 at the end of 2017.

8 0

3 years ago

Which of the following bonds has the greatest price risk? A 10-year $100 annuity. A 10-year, $1,000 face value, zero coupon bond

kogti [31]

Answer:

A 10-year, $1,000 face value, zero coupon bond.

Explanation:

Zero coupon bonds are sold at a deep discount, and do not pay coupons, only pay the full par value price at maturity.

Zero coupon bonds are riskier than other types of bonds because they are subject to interest tax risk: this means that even if the bond does not pay coupons, the IRS still computes an imputed interest that the bond would have received, and charges an income tax over it.

If the bondholder of a zero coupon sells the bond before maturity, the risk of having paid more in both income taxes on imputed intersest, plus the initial price of the bond itself, than the gain from the sale, is very high.

5 0

3 years ago