Answer:
<u>Leverage Ratios</u>
Explanation:
Leverage ratios signify the proportion of debt. The purpose behind calculating such ratios and their interpretation being to assess an entity's reliance on debt for raising long term capital.
Debt to investments ratio would be the proportion of debt used in the total investment made by a company.
Debt to investments ratio is computed as : ![\frac{Amount\ of \ debt\ used}{Total\ investments }](https://tex.z-dn.net/?f=%5Cfrac%7BAmount%5C%20of%20%5C%20debt%5C%20used%7D%7BTotal%5C%20investments%20%7D)
In the given case, the company utilized it's funds from debt to the tune of $20 million for it's investments in buying out another company.
Total investments = $ 20 million in debt + $20 million own funds i.e retained profits = $40 million
Out of $40 million, $20 million has been financed by debt.
Thus, Debt to investments ratio is 0.5.
Lower the debt to investment ratio, better it is for the company since lower will be interest and principal repayment obligations.
Answer:
$18,453.40
Explanation:
the easiest way to determine how much money Matt is going to save is by using the future value annuity factor. Using a future value annuity table, we must look for the value that correspond to 5% interest and 10 periods = 13.181
Now we multiply our annuity factor times the amount of money that Matt saves every 6 months = $1,400 x 13.181 = $18,453.40
When Matt graduates from college he should have saved $18,453.40.
Answer:
Negative linear
Explanation:
Negative linear is when two variables move in the opposite direction. Movement by one variable causes the other to move in the opposite direction. Negative linear is similar to an indirect relationship between the variable. For Bungerjoy, the variables are price and sales of hamburgers.
An observation has been made that if the price of hamburgers decreases, the sales increase. Changes in the price of the hamburgers will result in sales moving in the opposite direction. Positive linear correction is when two variables move in the same direction.
Belinda is in charge of both accounting and investments and all of the employees involved with these functions at her firm. Belinda is "Financial Manager".
<h3>Who is financial manager?</h3>
Financial manager examine financial information compiled by accountants, keep track of the company's financial situation, and create and carry out financial strategies.
The roles of financial manager are-
- creating reliable financial information and reports
- cash flow statements being created
- estimating a profit
- controlling credit
- giving guidance on financial decision-making
- investing guidance
- generating financial projections
- Budgeting
Therefore, one of the most crucial duties of business owners and managers is financial management.
To know more about accounting, here
brainly.com/question/26690519
#SPJ4
True
Basic unit of consumer sector consisting of all persons who occupy a house, apartment, or separate living quarters.