The purchase price or appraised value, whichever is lower, is the correct option when considering loan-to-value ratio in mortgage lending
What does an 80% loan-to-value ratio mean?
The loan-to-value ratio means the percentage of the property worth that the borrower could receive as a loan from the financial institution, which means that the remaining percentage after having deducted the loan-to-value ratio from 100% would be financed by the borrower, which serves as a way to avoid default.
Ordinarily, the loan-to-value ratio is applied to the lower of the selling price or the appraised value of the property, but note that a selling price to one party is the purchase price to another, hence, option d is the most correct
brainly.com/question/4033785
#SPJ1
Genetech corp. has invested heavily to develop a patented new product. Genentech wants to achieve a rapid return on its investment. it probably should set a profit maximization.
Profit maximization in economics refers to the short- or long-term process through which a corporation chooses the price, input, and output levels that result in the largest profit. The firm is typically modelled as maximizing profit in neoclassical economics, which is currently the dominant approach to microeconomics.
Economic and social well-being are indirectly influenced by the profit maximization idea. A company uses and allocates resources effectively when it is profitable, and this results in payments for capital, fixed assets, labour, and organization. Economic and social welfare is achieved in this way.
Learn more about profit maximization here:
brainly.com/question/17233964
#SPJ4
One way of representing attaining the positive externality by the government is through the promotion of education.
Option D is the correct answer.
<h3>What is an externality?</h3>
When the cost or advantage is received by a third party that is not related to the economic activity, then it is considered an externality.
A positive externality is the arousal of a positive effect on either production or consumption. The act of penalizing a company for pollution, imposing taxes on citizens earning more than $250,000 and the reduction in rates of interest would all be classified as negative externalities.
Therefore, the encouragement of education by the government is regarded as a positive externality.
Learn more about the externality in the related link:
brainly.com/question/24233609
#SPJ1
Answer:
The marginal cost for producing the 101th unit is $100
Explanation:
The marginal cost can be defined as the cost of producing an additional unit of output. It can be traced by increasing the total output by one unit and tracing the change in the total cost as a result of this one unit increase in output.
The total cost of producing 100 units is $9000
The total cost of producing 101 units is $9100
The marginal cost of 101th unit is = Total cost of 101 units - total cost of 100 units
The marginal cost of 101th unit = 9100 - 9000 = $100
Answer:
C) $ 15.00 per hour
Explanation:
total labor hours 26,000 per year
total indirect costs $390,000
if the company allocates indirect costs according to labor hours employed, the cost allocation rate should be:
$390,000 / 26,000 = $15 per direct labor hour
This means that for every labor hour employed, $15 will be allocated as indirect costs, e.g. a client requires 50 labor hours per year and $750 (= 50 x $15) in indirect costs.
