1.Describe how the time value of money impacts the terms of a business loan.

Q: Which of the following transactions would be recorded if using the accrual basis ofaccounting but…

A: Given: To determine the following transactions would be recorded if using the accrual basis…

Q: Question #2. If we know the projected cash flows from loan notes and their current market value,…

A: The discounted cash flow system refers to the method for determining the present value of future…

Q: c. receivab

A: Cash Management: It is the technique to meet out all the payment obligations of day to day operation…

Q: Payables and Receivables. As a financial manager, would you prefer that the accounts payable period…

A: The longer the period one can wait to make payment for the inventory, the longer will be the A/P…

Q: (1) How does getting a secured loan using accounts receivable as collateral differ from factoring?…

A: Hi student Since there are multiple questions, we will answer only first question. Sales means…

Q: An investment made in a fixed asset is similar to an investment made by a bank when it lends money.…

A: It is a long-term segment of a asset or property that an organization has and uses in the generation…

Q: 4. How can interest earned or paid on short-termsecurities or loans be incorporated in the…

A: Introduction: Interest earned is nothing but an amount earned by a firm on bank accounts or other…

Q: e traditional 4 C’s of credit analysis, which is the ability of a company to make payments on time?…

A: 4Cs of credit are Collateral, Covenant, Capacity and character.

Q: All of the following are monetary items, except: a. Accounts payable b. Accounts receivable c.…

A: This question is answered as per IAS 29 "Financial Reporting in Hyperinflationary Economies".

Q: How transaction between and users of funds take place? How would they prove that there was a…

A: Financial markets are the place where buyers and sellers interact and transact business. The…

Q: 8. In which part of the cash flow statement will you show the repayment of long- term loans? O A)…

A: As per Bartleby guidelines,  "Since you have asked multiple question, we will solve the first…

Q: The customers of the company would like to know its credit worthiness and the terms of payment. O…

A: Accounting concept states the basic principles, assumptions as well as rules that work on the…

Q: Which of the following is money kept by the firm with a bank in low-interest or non-interest bearing…

A: Loan is a part of financing in which a bank or institution lends money to the business in exchange…

Q: Describe how the time value of money impacts the terms of a business loan. Explain how the time…

A: The time value of the  money states that an amount of money is worth more now than it will be in the…

Q: Explain how time affects the value of money

A: Value of Money in terms of time, it explains worth of an amount at present and future.  Based on the…

Q: Which of the following cannot be considered an expense for the business? O Cost of goods sold O…

A: Expenses of the business means all expenditures that are made in routine day to day activities of…

Q: What is Repayment cash flow?

A: Cash flows play a significant role in companies. It helps companies to identify the liquidity…

Q: Return on equity is: the rate of return that owners earn on their investment O the relationship of…

A: Return on equity can be defined as the earning on the equity as hold by the equity shareholders of…

Q: Accountancy is a field that deals with money. What ideas and words are used there?

A: Accountancy is the field that deals to identify, measure, record, and communicate the monetary…

Q: effect to asset, liability and owner's equity if the company repays the bank loan

A: Bank loan is the amount borrowed from the bank. Upon repayment of bank loan, the bank loan account…

Q: Why are bankers interested in the income statement of a business to which they loan money?

A: We’ll answer the first question since the exact one wasn’t specified. Please submit a new question…

Q: How to calculate Rent income in the Cash flow Statement

A: As per IAS - 7 " Statement of Cashflows"  Rent received is to be shown under the cashflows from…

Q: debit interest payable, credit cash debit loans payable, credit accounts payable debit cash, credit…

A: Journal book is the book in which the company will record the transactions in a chronological…

Q: Why is it advantageous for a company to finance its receivables?

A: Accounts receivable is the amount due to a firm for the use of goods and services but not yet paid…

Q: What is the time value of money? Why should accountantshave an understanding of compound…

A:

Q: Explain how factoring works. Of what benefit is factoring to a firm that sells its receivables?

A: Lets first understand the meaning of factoring. Factoring is a selling the debtor to the factor at…

Q: a. The borrower's history of paying bills. b. The assets a borrower owns and can sell to pay off a…

A: in this you have to match right option to right meaning of option

Q: Hi why is the net income on the credit side and not debit?

A: Net Income - Net Income is the result of the revenue over expense incurred by the company. It will…

Q: In the case of a bank's accrued interest ?revenues, which occurs first Earning The Interest Revenues…

A: Accrued Interest Revenue implies the interest revenue that has been earned but not yet received. It…

Q: c. What is the face value of the loan? d. How much did the bank earn on this transaction? e. How…

A: A bank note is a negotiable instrument which can be considered as a small term loan from the bank…

Q: .Which of the following transactions affects the total value of liabilities of a firm? Goods…

A: Solution: Transaction that affect total value of liabilities of a firm, is the transaction that…

Q: Which of the following ratios would a lender find most useful in monitoring a porrower's ability to…

A: Analysis of various options: 1) P/E ratio - It is used for measuring the  price of the stock of a…

Q: If a company is worried about having enough cash to pay interest to their bondholders, rent to their…

A: Solution: Liquidity means easy of any asset that can be converted in to ready cash in a very short…

Q: The _____ ratio gives actual losses on loans, while the ______ ratio gives the extent to which the…

A: Bank provide loans to borrowers but given are risk to banks So loans may occur loss to banks.

Q: Which of the following increase when business takes a loan from a bank? O a. Sales O b. Equity O c.…

A: The balance sheet of business consists of assets and liabilities.

Q: discuss the process of applying for a business loan.

A: A business loan is a loan that is intended primarily for business purposes. It includes the…

Q: is purchashing something on credit an operating activity or a financial activity

A: Assuming that purchase of something as the purchase of inventory.

Q: 1) What would be the gross profit margin and net profit margin? 2) what is the relevance of…

A: The gross profit margin estimates the financial stability of the company.it is the balance left…

Q: WHAT IS THE LOAN FACILITY THAT WILL BE USED TO COVER THE DEPOSIT AND CLOSING COST

A: Credit facility Meaning: Credit facility is type of loan that is made business and corporate…

Q: What are the use of primary tools, and how are they used by lenders when determining whether they…

A: The primary tools used by the lenders include the 5 C's of credit, which helps the lenders in…

Calculating the Return On A Loan