Answer:
Option B 36 months
Explanation:
The reason is that it meets both the budget requirement which is it must be under $250 and must be the one that pays the principle and the interest amount as quickly as possible. So if Markel choses the option with monthly instalments made within 36 which is under $250 then it will also enable him to pay his liabilities as early as possible.
Answer:
<u>sell the stock which will drive it's expected return even lower.</u>
Explanation:
An investor wants to be compensated for the risk undertaken in the form of return. When investors believe that a stock is not providing sufficient return, such stocks would be sold by the investor.
When a stock is not performing well i.e it's current market price goes down, all the investors holding that stock will sell it , leading to it's market price going further down.
Since the market price goes further down, the expected return on such a stock would further decline.
The upside of changing its assembling frameworks is to enhanced item quality and lessened preparing time.
JIT and the lean maker has numerous bene±ts including enhanced item quality and diminished handling time, and decreased waste and stock, bring down work and generation costs, and expanded assembling adaptability.
Answer:
a). $12,850 b.) 550
Explanation:
a). Shareholder equity
The shareholder equity consists of the shareholder capital contributions plus the retained earnings. calculating the shareholder's equity is through the formula shareholder equity = total assets -total liabilities
In this case,
Total assets = $5,000,+ $23,300= $28,300
Total liabilities = $4,450 + $11,000 + $15,450
Shareholder equity = $28,300 -$15,450 = $12,850
b). Net working capital
Net working capital is the difference between current assets and current liabilities. i.e., net working capital is current assets - current liabilities
current asset = $5000
Current liabilities = $ 4,450
Net working capital; = $5,000 - $4,450= $550
Answer:
The current ratio reflects existing cash as well as amounts to be converted to cash in the normal operating cycle.
Explanation:
As we know that
There are two liquidity ratios which is current ratio and quick ratio
The formula to compute each one is shown below:
Current ratio = Current assets ÷ Current liabilities
And, the quick ratio = Quick assets ÷ current liabilities
where,
Quick ratio = Current assets - inventory - prepaid expenses
By considering the two above ratios we could find the liquidity position of the ratio but the current ratio is the best as it includes all the items i,e to be required for it
