Answer: Participation
Explanation:
Participation financing is a firm of financing whereby a loan is shared by several parties because such loans are too huge and a party cannot take the loan alone.
Since we are informed that works for a life insurance company that funds commercial investment projects and often insures these projects by insisting on an equity position, this means that participation financing is being practiced.
Answer:
b. $50,000 and $250,000.
Explanation:
The computation is shown below:
The required reserve is
= Check-able-deposit liabilities × reserve ratio
= $500,000 × 20%
= $100,000
The excess reserves is
= Actual reserves - required reserves
= $150,000 - $100,000
= $50,000
And, the amount that increase the loan is
= Excess reserves ÷ reserve ratio
= $50,000 ÷ 20%
= $250,000
Answer:
total contribution margin should be closest to: $ 43,000
Explanation:
Total contribution margin = Sales less Variable Costs
= ($ 92,500/3,700 units×4,300 units) - (55,500/3,700 units×4,300 units)
= $107,500 - $ 64,500
= $ 43,000
Answer:
correct answer is $1,544
Explanation:
given data
sold = $40,000
mortgage loan = $38,500
solution
we know that here 1 discount point cost of buyer of loan = 1 %
so discount point = $38,500 × 1% = $38,500 × 0.01 = $385
and
Points are always paid on the loan amount = $385 × 4
Points are always paid on the loan amount = $1,540 in discount points
so correct answer is $1,544
