Using more credit than can be repaid is a primary cause of individual bankruptcies
Indicate whether the statement is true or false.
Answer: TRUE
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Krueger Burgers, a chain of restaurants, intends to change its pricing policy and promotional mix to cater to a new market segment. Which of the following growth strategies will best suit Krueger Burgers?
A. Market expansion growth opportunity B. Market penetration growth opportunity C. Wholesale format growth opportunity D. Diversification growth opportunity E. Retail format growth opportunity
On January 1, 2017, Tolvin Company signed a contract to have Bob's Builders construct a office building at a cost of $30,000,000. It was estimated that it would take four years to complete the project. Also on January 1, 2017, to finance the construction cost, Tolvin borrowed $20,000,000 payable in five annual installments of $4,000,000 plus interest at the rate of 8%. During 2017, Tolvin made
progress payments totaling $5,000,000 under the contract, and the average amount of accumulated expenditures was $6,000,000 for the year. The excess borrowed funds were invested in short-term securities, from which Tolvin realized investment income of $650,000. What amount should Tolvin report as capitalized interest at December 31, 2017? A) ?$ 400,000 B) ?$ 480,000 C) ?$ 650,000 D) ?$1,600,000
When is a shareholder permitted to sue as a representative of a corporation?
What will be an ideal response?
Answer the following statements true (T) or false (F)
Agency theory holds that management always tries to maximize the value of the firm.