Define increase or decrease of credits.

Q: Distinguish the nominal rate of return from the real rate of return.

A:

Q: What Is Quantity Discount Analysis Illustrated?

A: Cost:   It is the economic value of resources incurred by a firm to manufacture a product or render…

Q: Define Discount Rate.

A: A discount rate is rate which is used to bring future value of cash flow to the present value.It is…

Q: Define the term loan cash flow?

A: Statement of cash flow: It refers to a financial statement that shows all the cash payments and…

Q: DEFINE credit policy

A: Credit policy is the set of policies governing a company’s credit sales, outstanding amounts;…

Q: Required: a. Determine the discounted rate of return.

A: Formula: Discount rate= Lower Rate +Lower NPV×Higher Rate-Lower RateLower NPV-Higher NPV

Q: Define cost of borrowing.

A: Company needs to complete the goal set initially by the top level of management. These goals include…

Q: of computing vat payable

A: VAT refers to the type of tax imposed by the government over the sale of goods and services.

Q: Define discount on forward rate

A: Answer: For a purchase, a forward rate is a contract price that will be fulfilled at a date…

Q: Calculate the accounting rate of return of the new sign. Accounting rate of return %

A: Accounting Rate of Return The accounting rate of return (ARR) formula is helpful in determining the…

Q: What are the calculation formulas for transfer pricing?

A: There are many methods for determining the transfer price. Most businesses actually set the transfer…

Q: When are credits increases? When are credits decreases?

A:

Q: A sub-capitation payment is a:

A: Disclaimer: “Since you have asked multiple questions, we will solve the first question for you. If…

Q: State the difference between secondary market and primary market.

A: Financial Markets refer to the place where financial assets or securities are being created,…

Q: What is the Relationship between the Incremental Cost and the Loan-to-Value Ratio?

A: The question is based on the concept loan to value ratio and its relationship with incremental cost.

Q: What is the Effect of Loan-to-Value Ratio on Loan Cost?

A: LTV ratio tells about the maximum loan approved in terms of the value of the collateral given.

Q: What is the lnventory·turnover ratio?

A: Inventory turnover ratio: Inventory turnover ratio indicates how many times a corporation has sold…

Q: How is Gross Margin % calculated?

A:

Q: What is credit enhancement, and what effect does it have on debt costs?

A: Credit enhancement represents the strategy that improves the business' credit risk profile. It helps…

Q: Find an expression for the marginal revenue function, s

A: Marginal revenue is the additional revenue earned from selling one more unit of output.  It is…

Q: give the definition, recognition, measurement and derecognition of "borrowing cost"

A: A uniform group of principles, standards, and procedures that explain the basic financial accounting…

Q: Define credit enhancement

A: Borrowings are the liability of the company which is used to finance the requirement of the funds.…

Q: Define payback period.

A: Capital investment analysis: Capital investment analysis is the process of decision making, planning…

Q: Define Interest cost.

A: Cost: The amount paid to purchase the asset, install it, and put it into operations, is referred to…

Q: Define Incremental Borrowing Cost?

A: Incremental borrowing cost is used in the context of the cost of borrowing additional funds.

Q: How is the Compounding Period equal to Payment Period? Give an example?

A: The annual payment of $7,000 and compounding is to done semi-annually then compounding period 2 will…

Q: What is offset accounting?

A: The accounting is a process to identify the business transactions, record the transactions, and…

Q: Explain CECL (“Current Expected Credit Loss”) model.

A:

Q: Define Loan Refinancing?

A: Introduction: A loan refinancing permits a debtor to replace their present obligation of debt with…

Q: which one of the following will tend to increase the length of the credit period? Decrease in…

A: The length of credit period is a time duration provided to its consumer to pay back the amount of…

Q: How can fi nancial statement analysis be used to evaluate the credit quality of a potentialfi…

A: Whenever, an investor is considering an investment proposal, he need to analyze the various things…

Q: With example, explain the difference between induced and indirect economic impact.

A: Answer:- Economic impact definition:- An economic impact study investigates the effects of a certain…

Q: Define the term credit revenue.

A: Credit Revenue: When goods or services are sold on credit, they are recorded as revenue, but since…

Q: Write the definition, recognition, measurement and derecognition of BORROWING COST

A: Following is the answer to the given question

Q: Define transfer price

A:

Q: Define the term an incremental benefit-cost ratio?

A: The incremental cost is the additional cost incurred for producing an additional one unit of a…

Q: etc. The return of such goods to the suppliers is recorded in the

A: Option a is wrong because one among the options is correct. Option b is wrong because returns inward…

Q: What is meant by incremental revenue or incremental cos

A: Incremental Revenue Incremental Revenue means is an additional revenue earned from selling one…

Q: Define discounted payback period

A: The payback Period is the time duration taken to reap back the amount invested in the project. The…

Q: How is the payback period is calculated?

A: Payback period is the amount or length of time taken by an investment to recover its cost.

Q: Define Advance payments.

A: Advance Payment : Advance Payment is a payment made before goods or services are provided. Advance…

Q: What is the Effective Rate per Payment Period?

A: Answer: The effective rate is nothing but the yearly rate under average compounding, will have…

Q: What four fundamental factors affect required rates of return(i.e., the cost of money)?

A: The minimum rate that is expected by an investor from the investment made in a project is referred…

Q: What is premium on forward rate?

A: A forward rate is referred as an interest rate which is applicable on financial transactions which…