What are the advantages and disadvantages of using credit

Assignment Help Financial Management
Reference no: EM131306218

1. Types of Credit. Explain the three types of credit. Under what conditions might a consumer find each type useful?

2. Using Credit. What are the advantages and disadvantages of using credit?

3. Credit Rights. The Equal Credit Opportunity Act prohibits creditors from denying credit for what reasons? If you are denied credit, do you have the right to know the reason for the denial?

Reference no: EM131306218

Questions Cloud

How do you motivate yourself to save : They may be much more willing to save if they have a specified future reward as a result of their saving behavior. How do you motivate yourself to save?
What are the values of the more fragment flag : In an 802.11 network, assume station A has four fragments to send to station B. If the sequence number of the first fragment is selected as 3273, what are the values of the more fragment flag, fragment number, and sequence number?
Show the procedure each station should follow : The contention window for each station has 31 slots. Station A randomly picks up the first slot; station B picks up the fifth slot; and station C picks up the twenty-first slot. Show the procedure each station should follow.
Cash flows and planned monthly savings in the long run : Based on the cash flow statement and personal balance sheet, do the Sampsons have adequate liquidity to cover their recurring cash flows and planned monthly savings in the long-run?
What are the advantages and disadvantages of using credit : Explain the three types of credit. Under what conditions might a consumer find each type useful?- What are the advantages and disadvantages of using credit?
Explain how a weak credit report can affect you : How do utilities extend credit and how can this credit help you establish a credit history?- Explain how a weak credit report can affect you.
How does a vantage score differ from a fico score : What are the six major areas of information that may be included on your credit report?- How does a Vantage Score differ from a FICO score?
Which one has more overhead, a switch or a router : A switch uses a filtering table; a router uses a routing table. Can you explain the difference?
How long can it take to erase a poor credit history : How often should you review your credit report from each of the three major credit bureaus. Why is this review beneficial?

Reviews

Write a Review

 

Financial Management Questions & Answers

  Establish trust fund

You would like to establish a trust fund that will provide $120,000 a year forever for your heirs. The trust fund is going to be invested very conservatively so the expected rate of return is only 5.75 percent. How much money must you deposit today t..

  Reward-to-risk ratios for stocks

Stock Y has a beta of 1.6 and an expected return of 16.6 percent. Stock Z has a beta of .8 and an expected return of 9.4 percent. If the risk-free rate is 5.1 percent and the market risk premium is 6.6 percent, the reward-to-risk ratios for stocks Y ..

  What are the arithmetic and geometric returns for the stock

A stock has had returns of -26 percent, 6 percent, 34 percent, -5 percent, 28 percent, and 19 percent over the last six years. What are the arithmetic and geometric returns for the stock?

  How much money will he have at the end of one year

Stanford Simmons, who recently sold his Porsche, placed $10,000 in a savings account paying annual compound interest of 6 percent. Calculate the amount of money that he will have accrued if he leaves the money in the bank without making any additiona..

  Compute the current price of the bonds

Midland Oil has $1,000 par value bonds outstanding at 8 percent interest. The bonds will mature in 25 years. Use Appendix B and Appendix D for an approximate answer but calculate your final answer using the formula and financial calculator methods. C..

  Refers to the securitization transaction

The following question refers to the securitization transaction “CMLTI 2006-NC2” which is discussed in the FCIC report and in the FCIC resource library. The following question refers to the securitization transaction “CMLTI 2006-NC2” which is discuss..

  Cost of trade credit and bank loan

Lamar Lumber buys $8 million of materials (net of discounts) on terms of 3/5, net 30; and it currently pays after 5 days and takes discounts. Lamar plans to expand, which will require additional financing. Assume 365 days in year for your calculation..

  What will be the annual deposit

My grandchild will be attending Pace Law School in New York; four-year college, in year 2036. The college tuition and fees for 2015 – 2016 is $45,624 per year. According to the College Board’s Trends in College Pricing, 2015, there is a 3.75% rate in..

  How long is financing statement effective

How long is a financing statement effective? How can it be extended? What is the creditor's obligation realted to a filed financing statement once the debt is paid off by the debtor? Upon debtor's default what rights does the creditor have to the col..

  Covariance of returns between willow stock and sky diamond

The covariance of the returns between Willow Stock and Sky Diamond 0.0950. The variance of Willow is 0.2330 and the variance of Sky Diamond is 0.1240. What is the correlation coefficient between the returns of the two stocks?

  Potential demise of social security affect

As a benefits manager, how might the potential demise of Social Security affect the decisions you make regarding other benefits that you have the option of providing to your employees? How might it affect your company's human resource planning proces..

  What is the risk-free rate

Consider the CAPM. The expected return on the market is 13%. The expected return on a stock with a beta of 1.5 is 18%. What is the risk-free rate?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd