A person takes out a car loan at a bank, but actually uses the money to play the lottery. This situation is an example of which problem banks face in lending?

a. adverse selection

b. moral hazard

c. interest rate

d. risk liquidity.

Maceo is making rock candy. Which best describes the steps she should take? heat a saturated sugar water solution, dissolve more sugar then let the solution cool.

A firm's before-tax cost of debt, rd, is the interest rate that the firm must pay on debt. Because interest is tax deductible, the relevant cost of debt used to calculate a firm's WACC is the cost of debt, rd (1 - T).

Which of the following is not one of the main economic variables that affects business cycles personal savings levels interest rates business investment levels external shocks

In an open economy, GDP is $12 trillion this year. Consumption is $8 trillion, and government spending is $2 trillion. Taxes are $0.5 trillion. Exports are $1 trillion, and imports are $3 trillion. How much is private saving

The SSC Partnership balance sheet includes the following assets on December 31 of the current year: Basis FMV Cash $180,000 $180,000 Accounts receivable - 0 - 60,000 Land 90,000 120,000 Total $270,000 $360,000 Susan, a 1/3 partner, has an adjusted

Sarah's gross pay is $5,000. She had $1,400 taken out of that amount; $1,050 is in taxes and $350 is for savings and retirement funds. Which number corresponds to the amount for deductions?

Monte Vista uses the perpetual inventory system. At the beginning of the quarter, Monte Vista has $39,000 in inventory.

On January 1, 2016, Nobel Corporation acquired machinery at a cost of $1,600,000. Nobel adopted the straight-line method of depreciation for this machine and had been recording depreciation over an estimated life of ten years, with no residual value.

If scheduling a closing on the last day of the month, it is wise to:

Why is it necessary for businesses to break their target markets down into segments? O Because that is what customers like O Because businesses like cheap advertising Because customers think it is cool Because businesses cannot serve everyone in the