What are the main reasons that lenders charge interest on loans?
Question:
What are the main reasons that lenders charge interest on loans?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 73% (15 reviews)
Interest provides lenders with an incent...View the full answer
Answered By
Mugdha Sisodiya
My self Mugdha Sisodiya from Chhattisgarh India. I have completed my Bachelors degree in 2015 and My Master in Commerce degree in 2016. I am having expertise in Management, Cost and Finance Accounts. Further I have completed my Chartered Accountant and working as a Professional.
Since 2012 I am providing home tutions.
3.30+
2+ Reviews
10+ Question Solved
Related Book For
Money Banking And The Financial System
ISBN: 1801
3rd Edition
Authors: R. Glenn Hubbard, Anthony Patrick O'Brien
Question Posted:
Students also viewed these Business questions
-
What are the main reasons of using a VPN?
-
What are the main reasons for imposing a tariff?
-
1. What are the main reasons that would lead you to accept an international assignment? List three. 2. What are the main reasons that why you would turn down an international assignment? List three....
-
Accounts Receivable AED 5,000 Accounts Payable 15,000 Advertising Expense 2,000 16,500 Building Cash Common Stock 50,000 Dividends 1,200 Equipment 2,000 Land 70,000 Notes Payable 60,000 3,400 Office...
-
Nestlé's financial statements are presented in Appendix B. Financial statements for Petra Foods are presented in Appendix C. Instructions (a) Based on the information contained in these...
-
The probability that an American CEO can transact business in a foreign language is .20. Ten American CEOs are chosen at random. (a) What is the probability that none can trans- act business in a...
-
Advise Dell management as to whether they should be so concerned about their recent downturn in sales. LO.1
-
Most countries do not attempt to manage their exchange rates with intervention in the foreign currency markets, but some do. Under which circumstances is such an intervention likely to be ineffective?
-
Question 56 (1 point) Which business sector(s) would Best Buy be in? a) primary b) tertiary c) secondary and tertiary primary and secondary e) secondary Question 57 (2 points) On February 5 your...
-
Remnant Carpet Company sells and installs commercial carpeting for office buildings. Remnant Carpet Company uses a job order cost system. When a prospective customer asks for a price quote on a job,...
-
What is the difference between a debt instrument and an equity?
-
Go to the web site of the Federal Reserve Bank of St. Louis (FRED) (fred.stlouisfed.org) and download and graph the data series for the 3-month Treasury bill (TB3MS), the 10-year Treasury note...
-
Explain why smaller is better when selecting segments to target in marketing strategies.
-
Account is a domestic growth portfolio. The current holdings are primarily US exchange-traded stocks and bonds. To remain in compliance, the total portfolio may only invest up to a maximum of 5% in...
-
The President of the United States needs your help. He has asked you to investigate and find answers to several important questions. His questions are included in the Letter from the President below....
-
Cheng Co. reports the following information for the coming year. Labor rate, including fringe benefits Annual labor hours Annual materials purchases Annual overhead costs: Materials purchasing,...
-
Compared to most objects, sound waves travel very fast. It is fast enough that measuring the speed of sound is a technical challenge. One method you could use would be to time an echo. For example,...
-
Sharif and Judith are married and purchased a vacation home together in Maine for $ 2 5 0 , 0 0 0 . Sharif died suddenly six months later and at that time the fair market value of the vacation home...
-
Dave, their supervisor, tells Mr. Martin, the plant manager, that he is sure the assemblers cannot do more than six or seven. What does this suggest about how teams like this can condition their...
-
3M Company reports the following financial statement amounts in its 10-K report: a. Compute the receivables, inventory, and PPE turnover ratios for both 2018 and 2017. (Receivables turnover and...
-
You are thinking about investing in stock in a company which paid a dividend of $10 this year and whose dividends you expect to grow at 4 percent a year. The risk free rate is 3 percent and you...
-
Memories of the 2007-2009 financial crisis have made you more risk averse, doubling the risk premium you require to purchase a stock. Suppose that your risk premium before the crisis was 4 percent...
-
Suppose a shock to the financial system were to disproportionately hit corporate bond markets making it much harder for companies to raise new funds via bond issuance. As a result, the proportion of...
-
Analysis of a replacement project At times firms will need to decide if they want to continue to use their current equipment or replace the equipment with newer equipment. In this case, the company...
-
Required information Skip to question [ The following information applies to the questions displayed below. ] Forten Company's current year income statement, comparative balance sheets, and...
-
Q3. Company ABC has accounting income $500 for year 2016, 2017 and 2018, with following balance 2015 2016 2017 2018 Accounts Payable 100 110 120 90 Unearned Revenue 100 50 30 0 Prepaid Expense 100 80...
Study smarter with the SolutionInn App