In order to have more efficient supply chains, when the world becomes your market, what term has been used to describe how intermediaries are often critical to facilitate effective commerce?.

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Answer 1

Marketing intermediaries has been used to describe how intermediaries are often critical to facilitate effective commerce.

Instead of selling goods or services directly to customers, many manufacturers utilize marketing intermediates to carry out a number of essential tasks that are required to bring the product to the end user. The phrase "marketing channel" or "channel of distribution" refers to the group of intermediaries that include middlemen (wholesalers, retailers, agents, and brokers), distributors, and financial intermediaries. These intermediaries often enter into longer-term agreements with the producer. Utilizing raw resources, manufacturers create completed goods that are then either sent straight to the merchant or, less frequently, to the customer. But typically, finished items move from the producer through a single or several wholesalers before they get to the store and then the customer.

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Related Questions

Given linear demand curves, if demand increases and supply decreases, then __________.

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Given linear demand curves, if demand increases and supply decreases, then:- the equilibrium price will increase, but the effect on the equilibrium quantity will be ambiguous.

What is the demand and supply curve?

The link between the quantity of a good that producers want to sell at different prices and the quantity that customers want to buy is known as supply and demand in the study of economics. It serves as the primary model for determining prices in economic theory. The interaction of supply and demand in a market determines the price of a good.

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suppose asset a has an expected return of 10% and a standard deviation of 20%. asset b has an expected return of 16% and a standard deviation of 40%. if the correlation between a and b is 0.35, what are the expected return and standard deviation for a portfolio consisting of 30% asset a and 70% asset b?

Answers

The expected return is 14.2% and the standard deviation is  0.306 for a portfolio consisting of 30% asset a and 70% asset b.

The expected return of Asset A = 10%

The standard deviation of Asset A = 20%

Weight of Asset A = 30%

The expected return of Asset B = 16%

The standard deviation of Asset B = 40%

Weight of Asset B = 70%

Correlation = 0.35

The standard deviation is a degree of the quantity of variation or dispersion of a hard and fast of values. A low widespread deviation suggests that the values tend to be close to the mean of the set, at the same time as a high trendy deviation shows that the values are spread out over a much wider range.

A Standard deviation is a degree of how dispersed the data is when it comes to the suggestion. Low preferred deviation method statistics are clustered across the suggested, and high standard deviation shows records are extra spread out.

Expected return = ( weight of Asset A × Expected return of asset A) + Weight of asset B × Expected return of B)

Expected return = (30% × 10%) + (70% × 16%)

                         =  (0.30 × 0.10) + ( 0.70 × 0.16)

                         = 0.03 + 0.112

                         = 0.142

OR                     14.2%

Standard deviation = 0.306.

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A consumer purchase decision made with a great deal of consumer effort is a type of?

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A consumer purchase decision made with a great deal of consumer effort is a type of extended problem solving. Hence, Option B is correct.

What is the purchase decision?

Throughout an individual's life, various types of decisions must be made, some of which are related to personal life, others to professional life, and someone who has to make a decision regarding any kind of purchase.

Being a consumer, it is a personal decision like any other consumer to mix any kind of purchase decision. This is a kind of reading which is done with the help of efforts and is a type of extended problem-solving technique.

Therefore, Option B is correct.

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The complete question is attached in text form:

A consumer purchase decision made with a great deal of consumer effort is a type of ________.

A) habitual decision making

B) extended problem solving

C) compensatory decision

D) heuristic

E) limited problem solving

a simple economic model predicts that a fall in the price of bus tickets means that more people will take the bus.​ however, you observe that some people still do not take the bus even after the price of a ticket fell.

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A straightforward economic model predicts that an increase in bus ridership will result from a decrease in the cost of bus tickets. Even though bus fares have decreased, you notice that some people continue to refuse to board the vehicle. No, because it foresees an increase in the general number of bus riders.

What is economic model?

A model in economics is a theoretical construction that represents economic processes through a collection of variables and a set of logical and/or quantitative relationships between them. The economic model is a simplified, frequently mathematical, framework used to explain intricate processes. Economic models frequently suggest structural variables. A model may contain a variety of exogenous variables, and those variables may alter to produce different responses from economic variables. Investigation, theorizing, and adapting theories to the real world are all examples of methodological uses of models.

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kathleen alvarado is binge-watching her favorite show on netflix. she is trying to decide how many more episodes to watch. kathleen should continue watching episodes unless the marginal

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The Law Offices of Kathleen G. Alvarado offer assertive representation for family law, criminal defense, and marginal injury claims in Riverside County, San Bernardino County, and throughout the Inland Empire.

In some cases, a marginal increase in sales means something much more specific than a vague, positive growth. Marginal revenue is a key number in the income statement that is closely connected with sales. It refers to revenue that is earned from sales after costs have been subtracted.

She should watch until the marginal benefit of watching the show is equal to the marginal cost.

It is the benefit maximizing condition that consumers should consume anything until marginal benefit equals marginal cost.

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plans to retire in 25 years (1st withdrawal in year 26). he is told by ned flanders that a desirable standard of living in 26 years will require $250,000 per year. homer wants to be able to maintain that level of purchasing power forever (assume inflation

Answers

In 25 years, Homer Simpson intends to retire (1st withdrawal in year 26). Ned Flanders informs him that a comfortable level of life in 26 years will cost $180,249 a year. Homer wants to always have that amount of purchasing power.

What is purchasing power?A unit of currency's purchasing power is the quantity of products or services it can currently be used to purchase.Over time, inflation reduces a currency's ability to buy things.Interest rates are adjusted by central banks in an effort to preserve Purchasing power and price stability.The Consumer Price Index is one U.S. indicator of buying power.Since currencies are now more tightly correlated than ever due to globalization, it is essential to safeguard buying power globally.The value of a currency and the things it may purchase are diminished by inflation.Price increases result from a decrease in purchasing power. You might compare the cost of an item or service to an index of prices, such as the Consumer Price Index, to determine buying power in the classic economic sense.

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Suppose you are buying your first condo for $180,000, and you will make a $15,000 down payment. You have arranged to finance the remainder with a 30-year, monthly payment, amortized mortgage at a 6. 5% nominal interest rate, with the first payment due in one month. What will your monthly payments be?.

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If we arranged to finance the remainder with a 30-year, monthly payment, amortized mortgage at a 6. 5% nominal interest rate, with the first payment due in one month. The monthly payments amount be $1,042.91

Purchase Price of Condo                            $180,000.00

Down payment                                             $15,000.00

Loan amount                                                 $165,000.00

Terms in years                                              30

Annual interest rate                                      6.50%

Monthly interest rate                                    0.5417%

No. of monthly loan payment                      360

Monthly payment amount                         $1,042.91

The term "Monthly Payment Amount" refers to the total of the interest payable under this Note on the portion allocated as Fixed Rate Tranche A at the Fixed Interest Rate in the amounts for each such Payment Date set forth on Annex 1 attached hereto and incorporated herein by this reference or as provided by Payee to Maker in connection with the initial Fixed Interest Rate Interest Period from and including the First Payment Date through the Maturity Date.

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Suppose you borrow $5,000 from the bank. the loan terms require you to repay $6,299 three years from now. what is the annual interest rate you would be agreeing to?

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The amount of interest payable each period expressed as a percentage of the amount lent, deposited, or borrowed is known as an interest rate. The amount lent or borrowed determines the total interest charged,

The Interest Rate Would be 8%

Calculation is as follows

F = P ( F / P , 10 % ,5) is the formula for determining Rate given a current value of P.

The right response is 8%.

Also,

Calculation of the repayment amount due at the conclusion of the fifth year

Future Value = (F/P, 10%, 5000)= 5000 * 1.61051= $8052.5

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coca cola has a market orientation and follows the marketing concept. most likely, the company would react to consumer dissatisfaction to its product by first: a) hiring better sales people b) increasing advertising to better explain product benefits c) lowering the price d) conducting research to determine if its customers’ needs have changed

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coca cola has a market orientation and follows the marketing concept. most likely, the company would react to consumer dissatisfaction to its product by the first D) conducting research to determine if its customers' needs have changed.

Market-oriented perspectives include decision-making perspectives, market information perspectives, cultural behavioral perspectives, strategic perspectives, and customer-centric perspectives. Market Orientation is a business approach focused on determining consumer needs and wants and developing products and services to meet them.

The focus of the organization and its marketing is focused on five main categories, grouped into the following orientation groups Production Oriented, Product Oriented, Sales Oriented, Social Oriented, and Market Oriented.

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Which demographic groups does Women in Motion serve?

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Demographic groups do Women in Motion serve, Akela Peoples is an award-winning teacher and entrepreneur who has helped over 20,000 young women create career plans.

Demographic evaluation is the take a look at a populace primarily based totally on elements including age, race, and gender. Demographic information refers to statistically expressed socioeconomic records including employment, education, income, marriage rates, start rates and loss of life rates.

Examples of diagnosis. It is included. Demographic studies consist of 5 simple themes. Distribution over a geographical area. its composition (including age, gender, race, and different characteristics); modifications in populace size, distribution, and composition over time; Determinants and outcomes of populace growth.

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Hillman corporation reported a decrease in accounts receivable of $391,216. This is best defined as a _________ of cash on the _______________ segment on the statement of cash flows.

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Hillman corporation reported a decrease in accounts receivable of $391,216. This is best defined as a source of cash of cash on the operating activities segment on the statement of cash flows.

What is account receivable?

Account receivable can be defined as the money a company is expecting to received from their customers for the services they rendered to their customers which is why account receivable is classified as a current assets.

So,

Source of cash = Asset

Accounts Receivable = Asset

Therefore the statement that filled the gap is  source of cash, operating activities.

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Including ______
in a sales strategy is important.

A. customer rewards
B. employee feedback
C. customer support
D. employee support

Answers

C. Customer support
A. customer rewards

According to the video, what are some tasks that Construction Managers perform? Select four options.

installing plumbing and electrical fixtures
purchasing land to build on
deciding on construction methods
hiring contractors
selling building materials to laborers
making schedules
getting permits and licenses
creating architectural plans

Answers

Tasks. To fulfill deadlines, arrange or manage the activities of a construction project. Prepare and send cost tracking reports, progress reports, or budget estimates. Thus option C, D, F, G is correct.

What are Construction Managers to perform?

A representative of the owner or developer, such as administrative personnel, employees, or clients, shall interpret and explain the plans and the conditions of the contract.

Construction project planning, coordination, budgeting, and completion are all under the control of construction managers.

A construction manager performs the following duties at a high level: The entire building project is planned out with deadlines and checkpoints. Employs and oversees personnel and contractors.

Therefore, the planning or management of a construction project's activities to meet deadlines.

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If you are able to articulate thoughts and ideas clearly and effectively in written and oral forms to persons you know and to those of a wider, general audience, you have a proficiency in which competency?.

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You have a skill in communication if you can express yourself clearly and persuasively in both written and oral form to people you know and to members of a larger, more general audience.

More about communication competency:

Effectively communicate ideas and concepts using spoken, writing, visual, and non-verbal means, as well as through listening to understand. the capacity to convey knowledge orally, in writing, or digitally.

Understanding the various communication abilities and talents is a crucial skill for managers, business owners, and employees alike. No matter what line of work you are in, interacting with people is a big part of many sectors, thus having the skills and abilities to do so is crucial.

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14. assume that sweeten company used cost-plus pricing (and a markup percentage of 80% of total manufacturing cost) to establish selling prices for all of its jobs. what selling price would the company have established for jobs p and q? what are the selling prices for both jobs when stated on a per unit basis? (do not round intermediate calculations. round your final answers to nearest whole dollar.)

Answers

Considering the markup and the costs %, Job P's selling price would be $4,545 and Job Q's price would be $1,848.

What are the predetermined overhead rates?

Molding department:

= Variable overhead cost per hour + (Estimated overhead / Estimated machine hours used)

= 1.40+ (10,000/ 2,500)

= $5.40

Fabrication Department:

= 2.20 + (15,000 / 1,500)

= $12.20

Manufacturing overhead of Job P

= (Molding department hours x Overhead rate) + (Fabrication department hours X Overhead rate)

= (1,700 x 5.40) + (600 x 12.20)

= $16,500

Manufacturing overhead of Job Q

= (800 x 5.40) + (900 x 12.20)

= $15,300

Selling price of Job P

= ((1+ markup percentage) x (Direct materials + Direct labor + Manufacturing overhead)) / Number of Job Q units

= ((1+80% ) x (13,000 + 21,000 + 16,500)) / 20

= $4,545

Selling price of Job Q

= ((1+80% ) x (8,000 + 7,500 +15,300))/ 30

= $1,848

Therefore, the selling prices are $4,545 and $1,848 respectively.

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the first stock exchange was established in . brokers, merchants, and investors met at these stock exchanges. the stock exchange helped and companies raise money for their businesses.

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The first stock exchange was established in Antwerp, Belgium. Brokers, merchants, and investors met at these stock exchanges. the stock exchange helped and companies raise money for their businesses.

What is stock exchange?Businesses and governments join together at a stock market as a single center to trade equities. Buy and sell orders can be physically and verbally communicated by traders and brokers on auction-based exchanges like the New York Stock Exchange. The first publicly traded firm and creator of modern stock trading, the Dutch East India Corporation, established it in Amsterdam. The business made the decision to sell stock and give shareholders dividends in order to obtain funds. The Amsterdam stock exchange was subsequently founded in 1611. The stock exchange's primary responsibility is to provide a ready platform for the sale and acquisition of securities. This gives investors the assurance that their current investments can be turned into cash, or in other words, that the stock market offers investment liquidity.

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wally is a pennsylvania licensee. he’s planning to purchase a house with several acres of land from seller seth. based on wally’s expertise, he believes the property is being underutilized and plans to divide the land into several separate lots to sell off individually. what does wally need to disclose to seth?

Answers

Wally needs to be honest about his plans for the land.

If a licensee has an interest in a property, they are required to disclose this interest as well as any potential conflicts of interest in writing. When selling their own property, licensees are required to reveal their license status.What is mean by licensee?In U.S. tort law, a licensee is a person who is on another's property even though it is not accessible to the general public because the owner of the land has granted the licensee permission to enter.A licensee can also refer to the holder of a license.If a person travels to see an invitee for personal reasons, they may be regarded as a licensee. A person is a licensee, for instance, if they go to a friend's rental home. Typically, an invitee extends an invitation to a property to licensees.

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Two customers purchased $500 of merchandise from the same store on account. The terms of both sales were 2/10, n/30. If the first customer paid in 8 days and the second customer paid in 12 days, what would be the difference in the merchandise company’s records on the date the customers paid in full?.

Answers

If the first customer pays in eight days and the second customer pays in 12 days. The difference in the merchandise company's records on the date the customers required to pay in full of 500$.

The first customer's cash admission would be $490, and the second customer's cash input would be $500.

The first consumer would save 2% on their purchase because they paid within 10 days. As a result, their final bill would be $500 * 0.98, or $490, paid in cash and subject to a $10 sales discount. The second consumer didn't pay in ten days to make a payment. As a result, the second customer is required to pay the full amount of $500.

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Switzerland is much smaller than the united states but its population density is much greater. Although switzerland’s gdp is much smaller than the united states’ gdp, its _______ is slightly higher.

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Switzerland is much smaller than the united states but its population density is much greater. Although Switzerland's GDP is much smaller than the united states' GDP, its GDP per capita is slightly higher.

Gross home Product (GDP) in step with capita shows a country's GDP divided by its total population. The table beneath lists international locations inside the global ranked via GDP at purchasing electricity Parity (PPP) in step with capita, at the side of the Nominal GDP per capita. As a result, higher GDP consistent with capita is often related to high-quality results in a huge range of regions consisting of higher fitness, extra schooling, or even more lifestyle delight. The USA. The united states of the USA is a North American nation that is the arena's most dominant economic and navy strength. Likewise, its cultural imprint spans the world, led in large element by using its popular culture expressed in song, movies and television.

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What others changes could lisa make possitively affect her budget

Answers

Some other changes that Lisa can make to positively affect her budget include:

Setting up budgeting goalsSetting up a monthly review

How can be budget better?

You did not include the whole question so I will give a general overview.

In order to be able to come up with a good budget, one thing that we need to do is to set up some budgeting goals. We need to figure out why we are budgeting and what we hope to gain for it. Having a reason for budgeting makes it easier to budget because we know what we are working towards.

It is also important to set up a monthly review of our budget to see how well we are doing with it. This monthly review will show if we are sticking to the budget and what we can do to be better at the budgeting process. Budgeting is not easy the first couple of times so we need a review to keep us on track.

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wp, inc. pays $18,000 for an annual insurance policy on march 1, 2021. they initially debit prepaid insurance for that amount. if wp only prepares adjusting journal entries at the end of the year (12/31), how much prepaid insurance will appear on the december 31, 2021 balance sheet as a result of this transaction?

Answers

$3,000 prepaid insurance will appear on the december 31, 2021 balance sheet

WP will have used $15,000 of the insurance after 10 months (March to December) ($18,000 x 10/12). As of 12/31/2021, $3,000 will still be listed as an asset on the balance sheet.

A balance sheet, also referred to as a statement of financial position or a statement of financial condition in financial accounting, is a summary of the financial standing of a person or an organization, including a corporation, private limited company, sole proprietorship, business partnership, government agency, or not-for-profit organization. As of a particular date, such as the conclusion of its financial year, assets, liabilities, and ownership equity are listed. It's common to refer to a balance sheet as a "picture of a company's financial status." The balance sheet is the only one of the four fundamental financial statements that only applies at one particular period in a company's fiscal year.

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the core principles of economics — end of chapter problem ivan has inherited his mother’s 1963 chevrolet corvette, which he values at $45,000. he decides that he might be willing to sell it, so he posts it on craigslist for $55,000. samantha is interested and willing to pay up to $72,000 for one.

Answers

Yes, Ivan and Samantha both voluntarily enter the trade because they both profit in their own ways. Ivan got more money than expected. This is a producer surplus for him. There is a consumer surplus because Samantha is paying less than she is willing to pay. Therefore, both benefit from the transaction.

Producer surplus to Ivan = Amount received - willing to sell amount = 55000-45000 = 10000

Consumer surplus to Samantha = willing to pay - Actual amount paid = 72000 - 55000 = 17000

Economic surplus = Consumer + Producer surplus = 10000+17000 = 27000$.

Starting prices for the 2022 Chevrolet Corvette are $60,900 for the coupe model and $68,400 for the convertible. This is average for elite athletes. In the world of high-end sports cars, the 2021 Chevrolet Corvette is proving to be a great bargain. Its overall value is hard to beat. Chevy lists the new model at a starting MSRP of just under $59,000. This is an incredible price for a car that offers so much style and performance.

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Jeff, the owner of a business, invests an additional $100 into his business from his personal checking account. how would this affect the equity of his business?

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Jeff invests an additional $100 into his business from his personal checking account.This would affect the equity of his business as the common stock and total equity would increase.

When an owner invests into his business from his personal checking account he is putting the amount of assets into the company. In other words, this is the amount of money or other assets which the owner contributes to the business either to start it or to keep it running.

So an owner's investment into the company will increase the company's assets while also increasing the common stock as well as the owner's equity. Whereas, when company borrows money from its bank, the company's assets and liabilities increases.

Hence, then the owner's equity is recorded on the balance sheet which is at the end of accounting period.

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As the manager of an office supply store, raven seems to be constantly confronted with problems. She tries very hard to create alternative solutions and then evaluate them. Often, raven implements the selected solution, but then another problem arises. She begins to express her frustrations by accusing employees of not fully executing the solution as described in her plan. What style of decision making does raven use?.

Answers

Answer:

Rational

Explanation:

She wants to be able to find a solution, and the coworkers need to work together to get stuff done.

The style of decision-making raven use is rational. Thus the correct option is B.

What is Manager?

A manager is refer to an individual in an organization who is responsible for coordinating and controlling the functions of the organization and helps to perform business activities smoothly and timely.

In this case, it is given that Manager named Raven is facing problems in working and tries to develop alternative solutions and evaluate them. In this method when she resolves one problem, another rise.

This caused her frustration with employees so in this situation she should use a rational decision-making model in which she should implement strict actions or plans to fulfill the objective of the business by using a logical approach.

She should conduct research about the facts causing problems and by using evidence reached on alternative outcomes to make the final decision that can be considered appropriate for the organization.

Therefore, option B is appropriate.

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The city council made an appropriation to the police department of $190,000 for the purchase of supplies and equipment. the following transactions and events occurred regarding this appropriation. 1. the department placed purchase order (po) 1 for 5 motorcycles, estimated to cost $20,000 each. 2. the department placed po 2 for crime prevention supplies at an estimated cost of $60,000. 3. the motorcycles ordered in po 1 arrived in good condition. the invoice of $100,000 was approved for payment. 4. po 3 was placed for radio equipment at an estimated cost of $20,000 . 5. the supplies ordered in po 2 arrived, along with an invoice for $64,000. the invoice was approved for payment. 6. the department obtained a check from the finance director for $500, made out to a local supplier, to purchase a new firearm for $500 on an emergency basis; no purchase order had been placed. a) prepare journal entries to record the transactions and events. charge all expenditures to supplies and equipment. (assume the approved budget has already been recorded.)

Answers

The journal entry is below.

Events                       Accounts                          Debit                  Credit

1.                               Encumbrances                   50000

                       Budgetary fund balance                                           50000

                  reserved for encumbrances

                                To record PO 1

2.                            Encumbrances                    30000    

                     

                       Budgetary fund balance                                         30000

                   reserved for encumbrances

                               To record PO 2.

   

3.                   Budgetary fund balance          50000

                 reserved for encumbrances

                             

                                    Encumbrances                                            50000      

                     To reverse encumbrance for PO 1.

4.                              Encumbrances                      10000    

                            Budgetary fund balance                                      10000

                          reserved for encumbrances

                                    To record PO 3.

5.                      Budgetary fund balance

                        reserved for encumbrances        30000

                                  Encumbrances                                                  30000

                           To reverse encumbrance

                                       for PO 2.

                              Expenditures                    32000          

                      supplies and equipment

                               Vouchers payable                                           32000

                       To record approved voucher

6.                             Expenditures                     250

                        supplies and equipment

                           

                                     Cash                                                             250

                      Record emergency cash purchases.

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Colgate-palmolive secured the endorsements of dentists to make the claim that colgate total toothpaste is the number-one recommended toothpaste by most dentists, a tactic that is most effective at.

Answers

Colgate-Palmolive secured the endorsements of dentists to make the claim that Colgate total toothpaste is the number-one recommended toothpaste by most dentists, a tactic that is most effective at decreasing perceived risk.

What is perceived risk?

According to Arrow (1950), Humphreys and Kenderdine (1979) and Taylor (1975), perceived risk "represents an uncertain, probabilistic potential future expenditure". Simply put, perceived risk is the ambiguity that consumers have before purchasing any product or service. a term used in marketing and sales Perceived risk refers to how a customer perceives the risks associated with any purchase and is mostly associated with products that are expensive such as houses or cars or products that are complex and have many features such as computers or laptops.

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What term describes an internet-inspired mechanism for raising money or sponsorship from members of the public for a small project or business venture?.

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Project sponsorship is a strategy used online to enlist the public's financial or sponsorship support for a side project or for-profit endeavor.

A project sponsor is a person or organization that controls the project and gives funding and other resources to the project, program, or portfolio to ensure its success. Every undertaking has a minimum of one project sponsor.

Project sponsors are often managers or executives who are in charge of overseeing the whole project. He or she represents the organization and is mainly focused on making sure that the project sponsorship delivers the agreed-upon business advantages. In doing so, they exercise significant leadership in a range of fields.

Project sponsorship is often responsible for initiating, ensuring, approving, and establishing a significant group of project-related responsibilities that fall under the umbrellas of vision, governance, and value/benefit realization. Remember that the majority of the objects may fall under more than one category, and that the categories are not exclusive.

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Source documents would include items such as:_____.
a. receipts, travel records, etc.
b. trial balances.
c. stock options.
d. journal entries.
e. financial statements.

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Source documents would include the items such as receipts, travel records, etc.

A source document is considered to be the original document which tends to contain the details of a business transaction. A source document thus captures the key information about a transaction, such as the amounts paid (if any), the date, the substance of the transaction, and the names of the parties which are involved.

So the source documents are considered to be the original records of a business transactions.These documents serve as the proof with the details of the transaction. It also include items such as receipts, travel records, etc.

Hence, option A is correct.

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During the annual planning meeting with her executive leadership team, mieko, president of a rapidly growing company, expressed her vision for expanding company operations across the globe. Mieko’s long-term vision is an example of e-commerce.

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During the annual planning meeting with her executive leadership team, the president of a rapidly growing company Mieko expressed her vision of expanding company operations across the globe. The long-term vision of Mieko's is an example of e-commerce, which is a false statement.

The phrase "e-commerce," sometimes known as "electronic commerce" or "internet commerce," refers to the transfer of funds and data for the purpose of conducting business over the internet.

The Mieko vision of expanding company operations across the globe is an example of global expansion. A growth strategy known as "global expansion" entails bringing operations, goods, and services from a domestic market to target markets abroad.

During the annual planning meeting with her executive leadership team, mieko, president of a rapidly growing company, expressed her vision for expanding company operations across the globe. Mieko’s long-term vision is an example of e-commerce. T/F

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debt analysis springfield bank is evaluating creek enterprises, which has requested a $4,000,000 loan, to assess the firm’s financial leverage and financial risk. on the basis of the debt ratios for creek, along with the industry average and creek’s recent financial statements (following), evaluate and recommend appropriate action on the loan request.

Answers

Through data analysis,The appropriate action on the loan request on the debt ratios for the creek is 0.730

Loans are one of the most popular types of unsecured loans that offer instant liquidity. However, because personal loans are unsecured loans, the interest rates are higher than secured loans.

Debt ratio Creek Enterprises Ind.av.

Total Liabilities/Total assets (16500000+20000000)/50000000=  

 0.73 0.51

   

Times interest earned Ratio    

Operating profit /Interest expense 3000000/1000000=  

 3 7.3

   

Fixed payment coverage ratio    

Operating profit before lease & interest expenses/(Lease+Interest) expenses (3000000-200000)/(1000000+200000)=  

 2.33 1.85

The debt level is too high, going by the industry average.

Naturally, the no.of times debt-interest expenses are covered by the operating income is less than almost half of the industry figure, for the metric.

Other fixed payments seem to be high for other industry peers as seen by the difference (7.3& 1.85)between fixed PMT. Coverage & interset coverage

whereas,

They are not much for Creek. Also, the lease payments will be over by another couple of years.

That said, going by the debt & interest coverage ratios of the company &its peers, the loan request cannot be conceded--as already the company has a high level of liabilities, including fixed commitments like finance leases.

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