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3 years ago

Why is insurance necessary for businesses and individuals

Business

1 answer:

miv72 [106K]3 years ago

5 0

Answer:

Incase of any emergency like an accident 5hey can support you

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Using the information below calculate the ending total asset of Lisa Inc.  Lisa Inc raises $3,000 of shareholders’ equity.  Li

Julli [10]

Answer:

The ending total asset is $3,800

Explanation:

 Lisa Inc raises $3,000 of shareholders’ equity. This movement increase the assets, because the $3,000 increase in the shareholders’ equity will affect the asset

 Lisa Inc purchases a building worth $300 for cash. Won´t modifies the assets , decrease cash but increase buildings

 Lisa Inc takes out a loan for $500 and receives cash. Increase assets (cash) , increase Liabilities (Accounts Payable)

 Lisa Inc purchases $300 of inventories, the supplier gives her credit. Increase assets (inventory) , increase Liabilities (Notes Payable)

Asset= $3,000+$500+$300=$3,800

6 0

3 years ago

The Federal Reserve District Banks are divided: into geographical regions with the majority of the district banks located in the

Oksana_A [137]

Answer:

geographically to encompass the 12 largest metropolitan and financial areas in the United States.

Explanation:

When the Federal Reserve District Banks were to be divided there were huge discussions on such division but it was later discovered that important places and cities should get their separate divisions.

Accordingly, it was divided into 12 segments which shall cover the most vital economic centres and the most needful shall be served first.

And thus, the metropolitan and financial centres of United States got their area specific divisions.

8 0

3 years ago

Hankins Corporation has 7.5 million shares of common stock outstanding, 275,000 shares of 4.7 percent preferred stock outstandin

yulyashka [42]

Answer:

7.98%

Explanation:

For computing the market value capital structure we need to do following calculations which are shown below:

Market value of stock = 7,500,000 × $62 per share = $465,000,000

Cost of Equity = Risk Free rate + Beta × Market risk Premium

= 3.4% + 1.10 × 7.2%

= 11.32%

Market value of Bond = 108% × $2,000 × 160,000 bonds = $345,600,000

Coupon = 5.6% × 2000 ÷ 2 = 56

Number of Periods(n) = 18 × 2 = 36

Market value = $2000 × 1.08 = $2160

Cost of debt (YTM) using excel formula is

= RATE(36,56,$2,000,-$2,160)

= 4.92%

Market value of Preferred Stock = 275,000 × $94 = $25,850,000

Cost of Preferred Stock = 4.7%

Total value = $465,000,000 + $345,600,000 + $25,850,000

= $836,450,000

Equity ratio = $465,000,000 ÷ $836,450,000 = 0.5559

Debt ratio = $345,600,000 ÷ $836,450,000 = 0.4132

Preferred Stock ratio = $25,850,000 ÷ $836,450,000 = 0.0309

Now the market capital structure is

Cost of Project = Equity Ratio × Cost of Equity + Debt ratio × ( 1-Tax rate) × Cost of Debt + Preferred Stock ratio × Cost of Preferred stock

= 0.5559 × 11.32% + 0.4132 × (1 -24%) × 4.92% + 0.0309 × 4.7%

= 7.98%

3 0

3 years ago

How does a strong economy affect the demand for goods and services

Brut [27]

Answer:

yes true ik it is i got it wrong when i said false

7 0

3 years ago

Read 2 more answers

What is the relationship between the business and the supplier??

makkiz [27]

This is a very broad question.

There are lots of relationships between business and supplier, but basically the supplier provides the resources for the business to perform its business function.

8 0

3 years ago