Questions

FINC400 quiz 3

QUESTION FINC400 week 3 quiz The quiz is accessible once and is available for the duration of 1.5-hours. Please do not exit from the quiz unless it has been completed, as it will not be accessible again. Question 1 of 25 4.0 Points As a general rule, it is desirable to finance the permanent assets, […]

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Date: September 2nd, 2020

What are the main disadvantages of the corporate form of organization?

QUESTION What are the main disadvantages of the corporate form of organization? The main disadvantage of a corporate form of organization is the complexity in formation of a corporation. The formation of a corporation form of a business organization requires the fulfillment of a lot of legal formalities. Moreover there is a distinction of ownership […]

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Date: September 2nd, 2020

Grunewald Industries sells on terms of 2/10 net 40. Gross sales last year were $4 562 500 and

QUESTION Grunewald Industries sells on terms of 2/10, net 40. Gross sales last year were $4,562,500, and accounts receivable averaged $437,500. Half of Grunewald”s customers paid on the 10th day and took discounts. What are the nominal and effective costs of trade credit to Grunewald”s non discount customers? (Hint: Calculate sales/day based on a 365-day […]

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Date: September 2nd, 2020

At year-end 2002 total assets for Bertin Inc. were $1.2 million and accounts payable were $375 000.

QUESTION At year-end 2002, total assets for Bertin Inc. were $1.2 million and accounts payable were $375,000. Sales, which in 2002 were $2.5 million, are expected to increase by 25 percent in2003. Total assets and accounts payable are proportional to sales and that relationship will be maintained. Bertin typically uses no current liabilities other than […]

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Date: September 2nd, 2020

FIN 534 Homework Chapter 14

QUESTION FIN 534 Homework Chapter 14 1. Myron Gordon and John Lintner believe that the required return on equity increases as the dividend payout ratio is decreased. Their argument is based on the assumption that . 2. Which of the following should notinfluence a firms dividend policy decision? 3. Which of the following statements about […]

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Date: September 2nd, 2020