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3 years ago

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:

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Company A has a shorter Average Collection Period than Company B using the formula 365 / (Credit Sales / Average AR Balance). Wh

Irina-Kira [14]

Answer:

Statement B is correct

Explanation:

Provided Information that,

Company A has shorter Average Collection Period than Company B,

Average Collection Period refers to the period in which the cash is collected from debtors.

Thus in the given statements only statement B states that Company A is more efficient in collecting receivables from debtors, thus it is the correct statement.

Statement A is wrong as Company A has less Average Collection Period, thus it's credit sales percentage would be higher than Company B.

Statement C which states about generating revenue is not correct as the company might have cash sales.

Statement B is correct

3 0

3 years ago

Mike Karanikolas wants to enter the French market with his usual strategy of using influencers. Two influencers are considered t

ratelena [41]

Answer:

A) Based on NPV, Mike will choose 2nd influencer.

B) Based on IRR, Mike will choose 2nd influencer.

Explanation:

See images to get the appropriate answer:

3 0

3 years ago

National Orthopedics Co. issued 8% bonds, dated January 1, with a face amount of $550,000 on January 1, 2021. The bonds mature o

loris [4]

Answer:

1) the price of each bond:

PV of face value = $1,000 / 1.05⁸ = $676.84

PV of coupon payments = $40 x 6.4632 (PV annuity factor, 5%, 8 periods) = $258.53

market price per coupon = $935.37

2) journal entry to record issuance of the bonds:

January 1, 2021, bonds issued at a discount

Dr Cash 514,453.50

Dr Discount on bonds payable 35,546.50

Cr Bonds payable 550,000

3) I used an excel spreadsheet

4) June 30, 2021, first coupon payment

Dr Interest expense 25,722.68

Cr Cash 22,000

Cr Discount on bonds payable 3,722.68

5) December 31, 2024, last coupon payment

Dr Interest expense 27,236.45

Cr Cash 22,000

Cr Discount on bonds payable 5,236.45

December 31, 2024, bonds are redeemed

Dr Bonds payable 550,000

Cr Cash 550,000

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4 0

3 years ago

What steps can Janet take to avoid falling prey to

julia-pushkina [17]

The steps that Janet can take to avoid falling prey to deceptive advertising are the following:

Do her research

Know what she wants

Trust her judgement

However, if Janet has already fallen prey to deceptive or false advertising, which is illegal, she can file a lawsuit against the company.

The lawsuit aims to recover damages from the company for misleading her into making a purchase or payment for goods or services whose advertising was deceptive.

It is generally unethical for a company to mouth a deceptive advertising.

Thus, Janet may not only trust online resources or purchase products from one retailer, she should carry out proper research based on what she wants before trusting her judgement.

Read more about deceptive advertising at brainly.com/question/24271514

3 0

2 years ago

The Crunchy Potato Chip Company sells chips in boxes with a net weight of 846 grams per box . Each box contains ten individual 3

Alinara [238K]

Answer:

0.8

Explanation:

Given:

Number of chips contained in each box = 10

Weight of each packet of chips = 3 ounce

Average weight per box = 853 grams

Upper specification limit of the weight = 846 + 12 grams = 858 grams

Lower specification limit of the weight = 846 - 12 grams = 834 grams

Standard deviation, σ = 5 grams

Now,

Capability index = $\frac{\textup{Upper limit - Lower limit}}{6\sigma}$

Capability index = $\frac{858 - 834}{6\times5}$

Capability index = 0.8

7 0

3 years ago