Answer:
The correct answer is letter "B": precautionary motive.
Explanation:
A precautionary motive is a preventive act of carrying or saving extra money to successfully face an unexpected event. This may lead to people accruing funds in a bank savings account or purchasing securities or assets profitable enough to cover financial hardship.
Keeping files organized is the job of the file management system. It arranges files in a systematic order and allows for easy retrieval.
Answer:
$140,000
Explanation:
Computation of the company’s net income for 2014.
Using this formula
Net income=Revenue – Expenses
Let plug in the formula
Net income=$200,000 - $40,000+$20,000
Net income= $140,000
Therefore the company’s net income for 2014 will be $140,000
Bankruptcy. Hope this helps.
Answer: A. incorrect because part of each payment is to principal and to interest. Therefore, only a portion of the payment goes to interest, so the full amount should not be included when computing the rate of interest paid.
Explanation:
When paying back a loan, there are two components to the periodic interest payment. The first component is the interest payment. This is the payment to compensate the borrower for loaning out the money and is based on the interest rate and the principal left to be repaid.
The second component goes towards repaying the principal of the loan which in this case is $10,000. When computing the periodic interest rate therefore, the entire amount paid per period should not be used as it would inflate the interest rate.
