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3 years ago

Which of the following should show a profit in order for a financial institution to give a the company a loan

Business

2 answers:

natulia [17]3 years ago

7 0

Income statement. So answer is A.

Andrew [12]3 years ago

3 0

Answer:

A I think not really sure hope this helps you

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The higher the _____ that future earnings may not be achieved, the higher the return on investment investors demand.

yaroslaw [1]

If there is a higher risk on future earnings, then the return needs to be high to meet these risks. Safer stocks tend to have lower rates of return, but are more likely to meet their earnings goals. Stocks with these higher risks inherent will also tend to bring returns that far outstrip these safe investments.

8 0

3 years ago

An expansion at Fey, Inc., would increase sales revenues by $150,000 per year and cash operating expenses by $47,000 per year. T

ratelena [41]

Answer:

18.9%

Explanation:

8 0

3 years ago

Music compact discs are normal goods. What will happen to the equilibrium price and quantity of music compact discs if musicians

gulaghasi [49]

Answer:

Quantity will rise, and the effect on price is ambiguous.

Explanation:

Music compact discs are normal goods. There is a positive relationship between the demand for the normal goods and the income of the consumers.

If the compact disc players become cheaper to produce then as a result all the producers start producing music compact discs and this will increase the supply of music compact disc. This will shift the supply curve rightwards.

And if the income of the music lovers increases then as a result the demand for music compact discs increases. This will shift the demand curve rightwards.

Therefore, these changes will increase the equilibrium quantity and the impact on equilibrium price is ambiguous because that will be dependent upon the magnitude of the shift of supply and demand curve.

3 0

3 years ago

The common stock of Serenity Homescapes has a beta of 1.21 and a standard deviation of 17.8 percent. The market rate of return i

3241004551 [841]

Considering the available information in the question, the cost of equity for this firm is "0.1566."

The cost of equity for the firm is expressed below:

RE = Rf + β × ( E (RM) − Rf );

Here, the RE is the

Rf => risk-free => 3.2 percent;

β => beta => 1.21;

E (RM) => market rate of return => 13.5 percent;

Thus, we have the following formula to compute:

RE = 0.032 + 1.21 × (0.135 − 0.032)

RE = 0.1566

Cost of equity is a term that is used I'm describing the rate of return firms need for business investment.

In another way, the Cost of equity depicts the rate of return that an individual needs for an equity investment.

Hence, in this case, it is concluded that the correct answer is "0.1566."

Learn more here: brainly.com/question/24242733

6 0

2 years ago

The firm repurchases shares from a major shareholder through privately determined discussions. What method is described in the p

Ivahew [28]

Answer: Direct negotiation

Explanation:

Since the firm repurchases shares from a major shareholder through privately determined discussions, then this is referred to as a direct negotiation.

A direct negotiation occurs when a company approaches one or some if it's largest shareholders directly so that the company can buy back the shares that was sold to them by the company back from them. In this case, the shares purchase price will include a premium.

7 0

2 years ago