The author of the text suggest that you should

A)

attempt to offset all risks with market-purchased insurance.
B)

self-insure against major financial losses and purchase market insurance only to cover minor monetary losses.
C)

self-insure against minor monetary losses and purchase market insurance only to cover major financial losses.
D)

attempt to offset all risks with self-insurance.

C

Business

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XYZ Company has credit terms of 2/15 net 45. Customers should take the discount and pay in 15 days if they CANNOT earn more than ________ (EAR) on their investments

A) 17.81% B) 27.86% C) 24.83% D) 16.55%

Business

MDU, A Michigan-based general contractor, bills its clients on the first of the month

Clients traditionally pay as follows: 60% pay by the end of the first month, 30% by the end of the second month, 7% by the end of the third month, and 3% default on their bills. For example, a $1.00 sale made in the month of July is billed August 1st and $0.60 is paid in August, etc. The firm's CEO wants to know the anticipated cash flow for the second quarter. Use the following information to estimate second-quarter cash flows. What will be an ideal response?

Business