Your friends just told you that they were denied a mortgage by their bank. The loan officer told them that they did not pass the 36 percent rule. They are confused and want you to explain what happened?

Novak Corp. issued 2,000 8%, 9-year, $1,000 bonds dated January 1, 2022, at face value. Interest is paid each January 1. b) Prepare the adjusting journal entry on December 31, 2022, to record interest expense.

Market failure occurs when A. the market system fails to allocate resources to each individual according to their needs. B. the unrestrained market economy leads to too few or too many resources going to a specific economic activity. C.

Carolyn gets a bank loan in order to purchase new tanning beds for her salon. In terms of the factors of production, how would this bank loan be characterized? A. Entrepreneurs B. Capital C. Human resources D. Information resources E.

Suppose that the marginal product of the last worker employed by a firm is 100 units of output per day and the daily wage that the firm must pay is $20, while the marginal product of the last machine rented by the firm is 100 unites per day and the

Suppose that the nominal rate of interest is 4 percent and the inflation premium is 2 percent. What is the real interest rate? % Alternatively, assume that the real interest rate is 1 percent and the nominal interest rate is 6 percent.

While waiting in line to buy two tacos at 75 cents each, and a medium drink for 80 cents, Emma notices that the restaurant has a value meal containing three tacos and a medium drink all for $2.50.

A not-for-profit nursing home has total expense of $20 million. Sales tax in the state is 7%. Expenses are broken down into salaries ($12 million), supplies ($6 million), and other miscellaneous not subject to tax ($2 million).

The year-end financial statements of Greenway Company contained the following elements and corresponding amounts: Assets = $23,000; Liabilities = ?

Bear Co. prepares its statement of cash flows using the indirect method. Bear sold equipment with a carrying value of $500,000 for cash of $400,000.

Assume the total cost of a college education will be $345,000 when your child enters college in 18 years. You presently have $73,000 to invest.