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2 years ago

What are the three basic types of issues that arise in business finance?

Business

1 answer:

AURORKA [14]2 years ago

4 0

Answer:

Capital Budgeting, Capital Structure Decisions, and working Capital Management.

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A citizen of the United States A. feels no obligation to do community service. B. gets no preparation for community service in s

Harrizon [31]

Has both a private life and a public life

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3 years ago

The following model shows how resources in an economy move between households, businesses, and government. The Circular Flow Mod

Alex

Answer:

The correct answer is the circular flow model.

Explanation:

The circular flow model shows the movement of resources between different sectors in the economy. The firms or business hire factors of production from the households. In return, they make factor payments. They use these factors to produce goods and services. The households purchase these goods and services and pay by their factor incomes.

The government sector charges taxes from households and businesses and provides goods and services in return. The government also hires factors of production and make factor payments. It also purchases goods and services from the businesses and pays for it.

6 0

3 years ago

Sanchez Company has 48,000 shares of 7% preferred stock of $100 par and 92,000 shares of $50 par common stock issued and outstan

galina1969 [7]

Answer:

Check Explanation.

Explanation:

The following parameters are given for dividends of three years;

Year 1 = $497,000, Year 2 = $490,000 Year 3 = $524,000.

The number of shares= 48,000 of 7%, preferred stock = $100 par and 92,000 shares of $50 par common stock issued and outstanding.

Therefore,

Year one:

=> Amount Distributed = $497,000.

=> Preferred dividend = 48,000 × 7% × $100 = 336,000.

=> Common dividend = 497,000 - 336,000 = 161,000.

=> Preferred divided per share = 336,000/ 48,000 = $ 7.

=> Common dividend = Common dividend/ 92,000 shares = 161,000/ 92,000 shares =$ 1.75.

Year Two:

=> Amount Distributed = $490,000.

=> Preferred dividend = 48,000 × 7% × $100 = 336,000.

=> Common dividend = 490,000 - 336,000 = 113,000.

=> Preferred divided per share = 336,000/ 48,000 = $ 7.

=> Common dividend = Common dividend/ 92,000 shares = 113,000/ 92,000 shares =$1.23.

Year Three:

=> Amount Distributed = $524,000.

=> Preferred dividend = 48,000 × 7% × $100 = 336,000.

=> Common dividend = $524,000 - 336,000 = 188,000.

=> Preferred divided per share = 336,000/ 48,000 = $7.

=> Common dividend = Common dividend/ 92,000 shares = 188,000/ 92,000 shares =$2.04

6 0

3 years ago

Person status felix is a 42-year-old autoworker who was laid off from his job 6 months ago. he is frustrated with his inability

LenaWriter [7]

The answer would have to be Employed

4 0

3 years ago

The Skysong Inc., a manufacturer of low-sugar, low-sodium, low-cholesterol TV dinners, would like to increase its market share i

DENIUS [597]

Answer:

Building C

Explanation:

Building A: Purchase for a cash price of $620,000, useful life 27 years.

Building B: Lease for 27 years with annual lease payments of $71,170 being made at the beginning of the year.

Building C: Purchase for $657,500 cash. This building is larger than needed; however, the excess space can be sublet for 27 years at a net annual rental of $6,200. Rental payments will be received at the end of each year.

11% cost of funds

we must determine the present value of each option:

Building A's present value = $620,000
Building B's present value = $71,170 x 9.48806 (PV annuity due factor, 11%, 27 periods) = $375,265.23
Building C's present value = $657,500 - [$6,200 x 8.5478 (PV ordinary annuity factor, 11%, 27 periods) = $657,500 - $52,996.36 = <u>$604,503.64 (LOWEST PV)</u>

7 0

3 years ago

What are the three basic types of issues that arise in business finance?​

What are the three basic types of issues that arise in business finance?