1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
svetlana [45]
3 years ago
10

If you are trying to establish a credit history, would you use credit to make a purchase even if you could pay cash? Why?

Business
1 answer:
mr Goodwill [35]3 years ago
8 0

Answer:

By using credit, you're building up your overall score. Cash purchases go unnoticed by companies and your bank.

Explanation:

You might be interested in
A stock has an expected return of 11.85 percent, its beta is 1.24, and the expected return on the market is 10.2 percent. What m
prisoha [69]

Answer:

The risk free rate is 3.325%

Explanation:

The required rate of return or cost of equity of a stock can be calculated using the CAPM. The CAPM estimates the required rate of return of a stock based on three factors- risk free rate, stock's beta and the market risk premium. The equation of required rate of return under CAPM is,

r = rRF + Beta * (rM - rRF)

Where,

  • rRF is the risk free rate
  • rM is the return on market
  • (rM - rRF) gives us the risk premium of market

We already have the values for r, Beta and rM. Plugging in these values in the formula, we calculate the rRF to be,

Let rRF be x.

0.1185 = x + 1.24 * (0.102 - x)

0.1185 = x + 0.12648 - 1.24x

1.24x - x  =  0.12648 - 0.1185

0.24x = 0.00798

x = 0.00798/0.24

x = 0.03325 or 3.325%

3 0
3 years ago
Bobby Company has fixed costs of $160,000. The unit selling price, variable cost per unit, and contribution margin per unit for
V125BC [204]

Answer:

1,500 units; 1,000 units

Explanation:

Break Even Point (in units) = Fixed cost ÷ Contribution margin per unit

Fixed cost = $160,000

Sales Mix = 60% of X + 40% of Y

                = 0.6X + 0.4Y

So,

Contribution Margin of the Mix:

= (60% × contribution margin of X) + (40% × contribution margin of Y )

Contribution Margin of the Mix per unit:

= (60% × 80) + (40% × 40)

= 48 + 16

= $64

Break Even Point (in units) = Fixed cost ÷ Contribution margin per unit  

                                            = 160,000 ÷ 64

                                            = 2,500 unit

At the Level of break even :

Unit of X at break-even:

= 60% of 2,500

= 1,500 units

Unit of Y at break-even:

= 40% of 2,500

= 1,000 units

3 0
3 years ago
Elston Company compiled the following information as of December 31, 2014:Service Revenue $700,000Common Stock $150,000Equipment
Elden [556K]

Answer:

The Elston's stockholders' equity on December 31, 2014 is $550,000

Explanation:

For computing the stockholder equity, first, we have to find out the ending retained earning balance which equals to

= Beginning retained earning balance + Net income - dividend paid

= $375,000 + $75,000 - $50,000

= $400,000

where,

Net income = Service revenue - operating expenses

                   = $700,000 - $625,000

                   = $75,000

Now the stockholder equity equals to

= Common stock + ending balance of retained earning

= $150,000 + $400,000

= $550,000

6 0
3 years ago
Under a periodic inventory system
balandron [24]

Answer:

The correct answer is letter "A": a physical inventory is taken at the end of the period.

Explanation:

When the general ledger is only updated by the end of a period it is said that the firm is using a periodic inventory system. This approach is implemented because physical inventories could be time-consuming. It is even more helpful for small businesses since their inventory is limited.

5 0
3 years ago
Chapter 13 bankruptcy involves... Question 5 options: A) eliminating the lowest interest debt that someone owes
ElenaW [278]
The awnser to this one is C
5 0
3 years ago
Other questions:
  • Hilton Hotels wishes to conduct a study on the determinants of brand loyalty among Hilton Hotel customers. The Hilton organizati
    11·1 answer
  • If Hazel decides to sell the best ice cream on earth, and intends to establish a strong ethical climate in her organization, dur
    13·1 answer
  • Chinchilla, Inc. uses activity-based costing. The company produces X and Y. Information relating to the two products is as follo
    12·1 answer
  • Identify and explain in detail 5 objectives of an entrepreneur
    7·1 answer
  • You work for a Europe-based company that is interested in doing business internationally. As a top manager of the firm, you want
    13·1 answer
  • Estée lauder would not choose to sell to cvs or dollar general because ________.
    13·1 answer
  • A land development company is considering the purchase of earth-moving equipment. This equipment will have an estimated first co
    6·1 answer
  • This is to inform you that your letter of April 4 has been circulated to me, as I am in charge of such requests. After your inqu
    12·1 answer
  • The nature of the Federal Reserve can best be described as follows: a A blended public-private institution. b The Fed branches a
    5·1 answer
  • Which of the following helps determine something's value?
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!