When a good is sold “as is,” it does not carry an implied warranty. Indicate whether the statement is true or false ANSWER TRUE
Date: September 19th, 2020
Consumer durables give rise to multiple entries on the household budget. Indicate whether the statement is true or false ANSWER TRUE
Date: September 19th, 2020
According to the net present value technique, a project is considered acceptable if: A) the sum of all cash inflows and outflows is positive. B) the difference between all discounted cash inflows and outflows exceeds zero. C) it lowers costs below an acceptable hurdle rate. D) its rate of return is greater than the firm’s […]
Date: September 19th, 2020
Which of the following statements concerning shared appreciation mortgages is false? A) Even when the value of the home declines, the lender receives a minimum percentage of your equity in the home. B) They typically have a lower contract rate than traditional home mortgages. C) They typically allow you to qualify for a more expensive […]
Date: September 19th, 2020
On a purely theoretical basis, the NPV is the better approach to capital budgeting due to all the following reasons EXCEPT: A) that it measures the benefits relative to the amount invested. B) for the reasonableness of the reinvestment rate assumption. C) that there may be multiple solutions for an IRR computation. D) that it […]
Date: September 19th, 2020
A check is the most secure form of payment for purchases on the Internet Indicate whether the statement is true or false ANSWER FALSE
Date: September 19th, 2020
The Sarbanes Oxley act tightened rules governing financial disclosures. Indicate whether the statement is true or false ANSWER TRUE
Date: September 19th, 2020
The “due on sale clause” requires A) the buyer to pay the entire amount due at closing. B) the seller to pay all of the buyer’s points at closing. C) repayment of the balance on the home loan when the property changes hands. D) the seller to pay all property taxes that have become due […]
Date: September 19th, 2020
One advantage in dealing with full-service brokers is they often have inside information about a company. Indicate whether the statement is true or false ANSWER FALSE
Date: September 19th, 2020
Matthew had a $4,000 gain from the sale of his car. He A) need not report the gain since it arose from the sale of a personal asset. B) must report the gain as a capital gain. C) must report only half the gain since capital gains enjoy favorable tax treatment. D) can defer paying […]
Date: September 19th, 2020
