Question
I am confused with these questions, can you please help me with working notes and reasons.. 1. Orlio Company, a division of National Realty Corporation
I am confused with these questions, can you please help me with working notes and reasons..
1.
Orlio Company, a division of National Realty Corporation keeps an escrow record and pays land charges for the home credit customers. Escrow saves are kept in interest-bearing records. Uncommon, less a 10% assistance charge, is credited to the mortgagee's record and used to reduce future escrow parts.
Escrow account obligation - January 1
700,000
Escrow parts got during the year
1,580,000
Land charges paid during the year
1,720,000
Interest on escrow holds
50,000
What is the escrow account commitment on December 31?
a. 510,000
b. 515,000
c. 605,000
d. 610,000
2-The three techniques for raising capital fit into one of two general inscriptions; obligation financing or value financing. The choice concerning how to send that capital (obligation or value or a mix thereof) is alluded to as the:
a-The venture choice
b-The capital design choice
c-The Dred Scott choice
d-The functioning capital choice
3-Which of coming up next are DISADVANTAGES of framing an enterprise? (circle all that apply)
a-Cost of lawful and administration consistence.
b-Double tax assessment
c-Limited risk
d-Separation of proprietorship and control
e-Ease of raising capital
4-The main objective of an enterprise ought to be to:
a-Always have sufficient capital and subsequently kill the need to get
b-Be just about as traditionalist as conceivable with the utilization of investor reserves
c-Manipulate the bookkeeping results to reflect truly expanding benefit
d-Increase investor riches
5-What is another name for the loan fee that identifies with extra venture openings accessible to financial backers in the monetary market?
a-Burn rate
b-Prime rate
c-Federal Funds Rate
d-Opportunity cost of capital
6-Note the obligations of the Treasurer.
a-Monitoring cash levels and developing associations with banks
b-Developing new business openings
c-Organizing organization capacities
d-Preparing fiscal summaries and corporate spending plans.
e-Determining the suitable degree of protection
7- Which of the accompanying activities may expand transient benefits yet lead to more major issues later on? Circle all that apply.
a- Issuance of a Christmas reward to all workers
b- Taking out a Line of Credit
c- Moving to elective, more affordable, crude materials.
d- Considerable cuts in the labor force.
8-The three significant techniques for bringing capital up in an association are selling stock, acquiring and what?
a-Selling Bonds
b-Credit Default Swaps
c-Producing a working benefit
d-Seeking awards from the government
9- What sum would you have to contribute today to get $1,000 close to the completion of ten years tolerating a 7% speed of return?
a- $408.35
b- $508.35
c- $750.00
d- Lacking information is given
10- In present worth assessments, what is the term given to the speed of return embedded in the calculation?
a- LIBOR
b- Prime rate
c- Markdown Rate
d- Gather financing cost
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