The answer is variable. A variable cost refers to the corporate expense that varies with the output of the production. It depends on the company’s production volume; the cost rise if the production increases and fall if the production decreases.
Answer: True
A bank line of credit is a prearranged loan amount that you can access by writing specific checks
Explanation:
A line of credit (LOC) refers to a type of loan extended to an individual, organizations or government which establishes the maximum loan amount a customer can borrow. It is a form of arrangement between a financial institution and its customer. It is an open-end credit account that enables borrowers to spend money, repay it, and spend it again. A customer or borrower can access funds from the line of credit in agreement with the maximum amount that is agreed upon because he or she must not exceed the limit. The loan on the line of credit must be paid back within a specified time and at a specified interest rate. It allow a borrower to write checks (drafts) in order to access the loan.
Answer:
Fraudulent Financial reporting
Explanation:
Fraudulent financial reporting is practiced by managers to present financial position of the firm in a better way. Managers manipulate the figures in profit or loss or balance sheet to make the statements appear good with an intention to deceive investors.
This could be done by managers under pressure from upper management or for personal benefits. It can be avoided by getting external auditors to audit the statements.
Answer:
The answer is C.
Explanation:
In financial market, it is the money that customers save that is available for loans. So customers supply money for loan into the financial market, and the demand for this money makes loan.
The financial markets help to save money for the future and to borrow money for current use.
Answer: Globalization
The process of conducting business on an international scale is a part of globalization.
Explanation:
Globalization refers to a process of interaction and integration between the people, companies, and governments across different nations in a seamless and integrated manner. It is driven by international trade, investment and supported with the use of information technology. It is interdependence of nations around the world advanced through free trade. It raises the standard of living in poor and less developed nations through the creation of job opportunities and improved access to goods and services.
The answer is globalization. This is when you are now bringing your economy from domestic to international level where you are now engaging in business transactions with other countries overseas. There will be many hurdles but these are necessary when competing in the global market.