Finance

High Tech Corp. cut its research and development budget in 2010 by $4,

High Tech Corp. cut its research and development budget in 2010 by $4,000,000 in order to improve its cash flow for the year. Which of the following statements is MOST correct? A) The stock price will likely increase because the value of stock is based on reported cash flow. B) The change will have no […]

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Date: September 19th, 2020

Larry has $25,000 of bodily injury liability coverage under his PAP. T

Larry has $25,000 of bodily injury liability coverage under his PAP. This limit is the minimum amount required by his state to be considered financially responsible. While on a vacation, Larry visited a neighboring state which has a minimum financial responsibility limit of $50,000 for bodily injury. Which of the following statements describes the situation […]

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Date: September 19th, 2020

John occasionally borrows the car of his friend, Sophie. Sophie has a

John occasionally borrows the car of his friend, Sophie. Sophie has a PAP with liability limits of 100/300/50. John also has a PAP, and his liability limits 250/500/50. John had an accident while using Sophie’s car and was found to be legally liable for $300,000 in bodily injury liability for injuries suffered by one person. […]

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Date: September 19th, 2020

What is the purpose of the extended nonowned liability coverage endors

What is the purpose of the extended nonowned liability coverage endorsement to the PAP? A) to provide liability coverage for an insured’s employer when an insured uses his or her auto for business purposes B) to provide liability coverage for an insured who occasionally operates a nonowned auto C) to provide liability coverage for anyone […]

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Date: September 19th, 2020