Alice loans Grant $500 and Sue acts as surety under the loan agreement. When Grant defaults, Alice comes to Sue to collect the $500. Sue reaches a settlement to pay $400 to Alice in complete satisfaction of the loan. What recourse does Sue have against Grant?
A) She can require reimbursement of $400.
B) She can require payment of $500.
C) She can require payment of $100.
D) She cannot require him to pay her, since she accepted the risk of liability.
A
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A scope effect refers to ________
A) lowering the per-unit manufacturing cost of a product by increasing the volume of production B) improving the efficiency by learning new methods of management and production C) lowering the average unit cost of all products through extension of the product line D) increasing revenue by increasing the scope of marketing initiatives E) lowering the marketing costs through increasing the advertising cost efficiency of a brand extension strategy
National Advertising just paid a dividend of D0 = $0.75 per share, and that dividend is expected to grow at a constant rate of 6.50% per year in the future. The company's beta is 1.25, the required return on the market is 10.50%, and the risk-free rate is 4.50%. What is the company's current stock price?
A. $14.52 B. $14.89 C. $15.26 D. $15.64 E. $16.03
In working on a bid project, you have determined that $318,000 of fixed assets are required. These assets will be depreciated straight-line to zero over the 6-year life of the project. Ignore bonus depreciation. The discount rate is 18 percent, the tax rate is 21 percent, and there is no interest expense. In addition, the annual cash costs will be $198,200. After considering all the project's other cash flows, you have determined that the required operating cash flow is $92,400. What is the required amount of annual sales revenue?
A) $299,811.17 B) $302,006.64 C) $284,849.92 D) $301,073.42 E) $279,407.72
Identify and describe the four factors in a SWOT analysis and give examples for Ben & Jerry's Ice Cream that help it identify the critical strategy-related factors that could impact the firm.
What will be an ideal response?