Under RICO, a ____ is any of several criminal offenses such as murder, kidnapping, arson, extortion, and drug dealing
A) predicate act
B) liable act
C) white-collar crime
D) mala in se act
A
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A restriction/appropriation of retained earnings
a. decreases total assets b. increases total retained earnings c. decreases total retained earnings d. has no effect on total retained earnings
With subordinated debentures, payment of interest by a firm is required only when earnings are available
Indicate whether the statement is true or false
The size of each payment required to amortize an adjustable interest rate mortgage (ARM) may remain constant even though the adjustable interest rate may increase from time to time
Indicate whether the statement is true or false
Your friend, Linda, started a graphic design firm about a year ago. The business has done well, but it needs a lot more equipment, computers, and employees to continue expanding. Linda does not see any problem because she thinks she can easily get all the money she will need from her local bank. What advice might you give her?
A. She is right, the bank is likely to lend her as much as she needs because banks primarily focus on supporting small businesses. B. She is crazy, banks do not lend money to small businesses but only to well- known, well-established organizations. C. She should sell her business immediately before it fails because most small businesses fail during the first five years. D. She should not accept any new clients so that she can end the need to add additional equipment and employees. E. She should consider alternative sources of financing because banks provide only about one-fourth of the total capital to small businesses.