Answer:
Policy loans are permitted on an interest-free basis.
Explanation:
The universal life insurance policy refers to a policy in which there is a component of an investment saving also it involves less premium that the person has to pay a low premium amount for continuing the policy. It could benefit the beneficiary after the death of the insured person
So according to the given situation ,for option B there is no flexibility available as no policy loans could be permitted without an interest
Answer:
Purchasing insurance can help Adrian minimize risk. Adrian’s best decision in this case is to not buy the insurance
because the policy is
too expensive in relation to the value of his vehicle
Chill/Sleep mode... I think errr
Answer:
The answer is (a) False (b) False (c) True
Explanation:
Solution
(a)Businesses that do not acquire a differentiation,focus strategy, or low-cost leadership, is liable to be more successful than businesses that do adopt these strategies - False because Companies or business does not necessarily need to adopt differentiation methods or low cost leadership, they might have their own market strategy to succeed.
(b) Employee abilities to develop innovative products are important for companies that use a low-cost leadership strategy - False
.
(c) Companies that use a focus strategy have narrow buyer groups -Focus strategy : This strategy is used when a company knows its segment and has products that can competitively satisfies its needs.In this case it is true.
Answer:
c. decrease by $10,000 per year.
Explanation:
The contributing margin of a business is sales revenue less the variable cost to produce the product
Contributing margin refers to the profit that is free to be used by the business to pay fixed costs and reserve as net profit.
In this scenario if the department is discounted the fixed expense will reduce by $40,000
This implies that the net income will increase by $40,000 if the department is discontinued.
If the department is discontinued income from the department will reduce by $50,000. That is -$50,000
Net income= -50,000 + 40,000= -$10,000
