Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
1. As a lending agency, what criteria using the 3 c's of lending would you use to determine how much to grant, to whom, and under what conditions? Also give an example as to whom to lend to, how much to grant, and under what conditions.
2. As part of your response to 1 above, where applicable under the respective and/or select criteria, please identify the financial ratio(s) that are critical for supporting lending decisions (see Commonly Used Ratios list (Spiro, 1996:60 (Table 4).
Please provide a detailed rationale(s) for why the selected ratio(s) identified are important. We must use the 3c''s of lending as well.
Verified Expert
The task pertains to the writing about three C's of the lending arrangement. The example has been quoted in the 1st part to analyse the three C's and their suitability in order to lend to the borrower who is not the defaulter. Further, the financial ratios of the borrower do reflect the three C's. The financial ratios can therefore be helpful to prove that the borrower should be given the loan or not. The financial ratio is the indication of the purpose of the lending arrangement. these all have been explained in the solution as per the requirement ofthe question.
The Expert who worked on this task was very responsive and gave me the project before the time scheduled with them. I only had to make minor changes. Great job thank you almost did to much but I am sure more is better. Thank you
Example for reference: There are two borrowers in front of lender : individual person who is trader of readymade garments and the company dealing in construction services. Although prima facie, one may assume that company will be able to repay and should be given the loan. However, after studying the historical background, it was reflected by lender that company is short of character as well as collateral. So, the eligible borrower in this case should be the individual Also provide an example in the solution as to whom to lend to, how much to grant, and under what conditions". Thanks.
However, it could forgo the discounts, pay on the 90th day, and thereby obtain the needed $500,000 in the form of costly trade credit. What is the effective annual interest rate of this trade credit?
Why are paid-in-capital and retained earnings displayed separately in the stockholder's equity section of the balance sheet? Why would investors buy common stock when preferred stock is available?
How would I find the present value of the trust fund's final value, the present value of each of the three offers, and then which offer would be the best? Please explain how each answer is acheived.
Find online Clorox’s other financial statements from that time. What was the cause of the change to Clorox’s book value of equity at the end of 2004?
You have a choice between receiving $1,200,000 immediately or $101,304.76 each month for a year. What APR makes these alternatives equivalent (of equal value)?
How can we build a primary/secondary education system in the USA that broadly prepares young people to operate in a creative, high technology society? How do we prepare citizens to be information literate and life-long learners at the same time? U..
A call premium of 10 percent would be required to retire the old bonds, and flotation costs on the new issue would amount to $5 million. Schumann's marginal federal-plus-state tax rate is 40 percent. The new bonds would be issued 1 month before ..
Calculating Flotation Costs. The Collins Co. has just gone public. Under a firm commitment agreement, the company received $22.32 for each of the 9.5 million.
A company thinks it can sell 30,000 of its proposed satellite radio at a price of $350 each. There will be annual fixed costs associated with developing, marketing, and manufacturing the radio of $6,000,000. If Yoste desires to make a profit of 18..
Calculate the project's annual project free cash flow (PFCF)for each of the next five years where the firm's tax rate is 35%.
The company has a cost of capital of 22% The after tax cost of debt is 7% the cost of equity is 32% What is the Net present value.
Is a Roth IRA considered income in Respect of a Decedent (IRD)? Please explain
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd