Answer:
The statement the the Return on Equity will decline is False.
Explanation:
The following terms can be defined as follows;
1. Debt
Debt can be defined as money that is owed. It is a financial obligation that is due. In a firm that is in business, debt can be defined as money that is borrowed from a financial institution like a bank. Firms usually borrow loans with a promise to pay back in the future, usually with interest involved. Debt if invested carefully can help a company grow, however, if misused it can lead to negative consequences like default. When debt is overused, the liabilities outweigh assets.
2. Interest cost
Interest cost is the additional cumulative amount that a borrower pays to the lender to cover the lenders risk and operational costs. The interest cost is a function of the debt. An increased debt obligation usually increases the interest costs.
3. Profit margin
The profit margin can be defined as the amount of revenue less the total expenditure. Expenditure includes; operational costs of running the business and interest costs. It therefor means that increasing interest costs leads to a reduction in the profit margin.
4. ROE
Return on Equity is a measure of financial performance, calculated by dividing the net income by the shareholder's equity. The net income is total expenditure subtracted from the total revenue, and the shareholder equity is calculated by subtracting total debt from the assets. Therefor an increase in debt reduces the total shareholder's equity which in turn increase the return on equity. The above statement is therefor false.
Answer: Tax refund of $1,800
Explanation:
The tax due (refund) for the Fernandezes is;
= Tax liability - (Prepayment + Child tax credit)
= 2,100 - ( 1,900 + 2,000)
= 2,100 - 3,900
= ($1,800)
Answer:
I'd say B,
Explanation:
becuase you dont need any money to hike and she wants to save it.
Answer:
The correct answer is Committee.
Explanation:
A committee within the organizational structure refers to a group of employees that focus on some topic of relevance to the organization. These employees emerge as representatives of the total number of workers, and are democratically elected for a certain time to perform these functions. What is sought with this type of structure is to have greater communication and to have the ability to propose and request changes for the benefit of all.
Answer:
The <u>under-benefited</u> partner or individual is more likely to perceive unequity as a problem.
Explanation:
Equity theory determines that the distribution of resources is equal or fair between the relational partners. It is measured by comparing the contribution and benefit ratio of the individuals.
According to this theory, creating systems which allows the equal distribution of resources between the members of the group will motivate them and maximize their rewards.
Each individual has different preference for equity and thus perceives equity and inequity differently.
<u>Therefore, an </u><u>under-benefited</u><u> individual is more likely to perceive unequity as a problem.</u>