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dsp73
1 year ago
8

Conduct online research to discover how to start and maintain a good credit rating throughout your life. Write a 500-word report

describing your plan to become a responsible, low-risk borrower with an excellent credit score. In addition, identify and discuss ways to repair credit problems.
Business
2 answers:
Brrunno [24]1 year ago
7 0

Answer:

Credit history usually begins after high school, when young adults take on the burden of student loans and credit cards. This is a fantastic way of beginning a consumer credit history the right way. Student loans have lower interest rates than standard unsecured loans, and you can usually defer payments until after you graduate from college. These payments are small, and the repayment plan can last as long as fifteen years. This is a perfect way to set up a history of on-time payments. Credit cards with low balances are another good way to establish credit.

The issue that most people run into is how to maintain a good credit rating throughout their lives. The best rule is to pay all debts on time. If a payment on a particular loan or line of credit falls behind, take care of it as soon as you are aware of the problem. Common mistakes that bring down credit scores include delinquent payments and payments that have gone to collections. A person who realizes there is a missed payment, but puts off paying it, is risking the debt growing larger.

Delinquent payments are those that are 30 days, 60 days, and 90 (or more) days past dues. Delinquent payments hurt credit history, because they tell other potential lenders that you have a high risk for defaulting on loans. If left unaddressed, your debt can go to collections. Letting a debt go to collections means that you defaulted on that debt and it can cost you a lot of points because it represents 35 percent of your credit score (600*0.35 = 210 points).

Maxing out credit cards is another mistake people make. When you are issued a credit card, it comes with a maximum line of credit. The best rule is to only borrow up to 30 percent of that maximum amount at one time before paying it off. Do not keep borrowing against the card until you owe 75 percent or more of the available balance. This reflects poorly on your ability to manage debt, and it will also lower your credit rating.

If spending is a problem, take the credit card out of your wallet and leave it in a secure place. By not having physical access to the card, you have to think about purchases and how they will affect your financial position. Make a budget and factor in the level of credit payments you can tolerate. If you know you can only handle payments on $2,000 of credit card debt, don’t go over that amount.

In the event that you do miss payments or let a bill go to collections, you can repair your credit. It is important to pay off missed payments and take care of bills that have gone to a collections company. Next, it is time to come up with a plan to pay down your current debt. Prioritize the payments by determining which credit card or loan has the highest interest rate, and then pay off that one first. The higher interest rate loan or credit will drain your finances the most. Also, stop applying for new credit. New credit means more debt that you don’t need. It also lowers your credit score by increasing your number of credit inquiries (10 percent of score) and decreasing your credit history average age (10 percent of score).

Explanation:

plato

fiasKO [112]1 year ago
4 0
They would need way more credit and more money to pay for it
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Define and discuss the four common denominators of all organizations, and provide an example for each component. What is the dif
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Answer: The four common denominator of every organisation is a)common purpose, b) coordinated effort, c)division of labor, d) hierarchy of authority.

Explanation: Every organisation lembodied with these four common denominators:

1) coordination of effort - This is the formulation and enforcement of policies, rules, and regulations achieved through working together in a way that will maximize resources. individuals and groups contribute their effort through diverse skill sets to create value. For example every company consists of different diverse skill set- accountant, manager, clerk, security guard, etc all these people come together to fuse Thier skills in an effective running of any organization.

2)a common goal: This is achieved when every member of an organisation understands it's company's mission, strategy, and values, it tends to bring unity in the organisation and achieve success. For example When a new employee joins a business, he /she would try to fit into the existing culture which is due to a sense of belonging they feel that they will succeed by taking up the behaviors of people whom have had long membership in the culture and worthy of emulation.

3.) division of labor - This occurs when the common goal is pursued by individuals performing discrete parts of a task for greater efficiency for example in a production company Each worker performs a specific task . boosting productivity and efficiency.

4)hierarchy of authority- Also called the chain of command, is a control mechanism which aims to making people do the right things at the all times by enabling them make decisions quickly when necessary. Here order flows from the topmost pyramid of hierarchy to the lowest pyramid m for example

Nicholas receives a report from his Quality control team that a new drug has successfully passed all regulatory tests and is ready for production and sales to the public. Nicholas then sends directions to his head of finance to prepare a budget for financing the manufacturing and marketingof the new drug. He directs his marketing president to develop a marketing plan production manager to develop a production schedule based on the projected budget received from the finance manager.

Each managers will delegate part of their task to their respective department heads who will in turn, delegate some tasks to the members of respective team. Once the task has been completed, the information will flow back up through the hierarchy to Nicholas where it will be assessed and further decisions and directives will be made.

B)

---Open system: An Open system is an adaptive system with porous boundaries which allows exchange of ideas and information whether random or defined with useful feedback . It interacts with its outside environment and thus exchanges information to change thier system with changing conditions in terms of improvement and development. Examples include Hospitals, educational Sectors, Buisness organisation s etc.

--Closed systems, unlike open systems, are not adaptive, or porous. Only very thorough little information is exchanged.

A closed system does not need interactions with its environment and most times isolates from the environment to function effectively. Such systems are very a rare. Examples include the Millitary- army, Monasteries.

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2 years ago
Nelson’s motto is “Go big, or go home.” Which type of investment would Nelson prefer? A. savings account B. speculative investme
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Answer:speculative investment

Explanation:

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5 0
1 year ago
The following information relates to the manufacturing operations of the JNR Printing Company for the year: Beginning Ending Raw
grin007 [14]

Answer: $117,000

Explanation:

So we are to calculate the Raw Materials purchased during the year.

Logically speaking the following should hold,

Raw materials purchased during the year + beginning raw materials = ending Raw materials + Raw materials used

Agreeing on that and rearranging the formula we will have,

Raw Material purchased during the year = Raw Material used during the year + Ending Raw Material Inventory - Opening Raw Material Inventory

Slotting in the figures we will then have,

Raw Material purchased during the year = 114,000 + 56,000 - 53,000

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Raw materials purchased during the year amount to $117,000.

8 0
2 years ago
Desired consumption is Cd = 100 + 0.8Y - 500r - 0.5G, and desired investment is Id = 100 - 500r. Real money demand is Md/P = Y -
allochka39001 [22]

Answer:

Under a) r=0.1;Id=50;Cd=750;P=7 b) P only changes and is now 9.33

Explanation:

a)  In a closed economy national savings are equal to investments or:

S d = I d = Y - Cd - G

Id = Y - 100 - 0.8*Y + 500*r - 0.5*G

100 - 500*r = 0.2*Y -100 + 500*r -0.5*G

200 - 1000*r = 0.2*1000 - 0.5*200=100

-1000*r=-100

r= 0.1

i = 0.15

Id = 100 -50 =50

Cd= 100 + 800 - 50 - 100=750

P = Md/Y-2000 i

P= 2100/1000 -300=7

b) If money supply increases to 2800, the price level would be:

P = 2800/Y - 2000*i = 2800/Y- 2000*(i-inflation)

However, since the variables determining real interest rate remained the same, r is also the same or 0.1 and i is 0.15. Consumption and investment remain the same, only price level changes or:

P=9.33  

4 0
1 year ago
The Southern Corporation manufactures a single product and has the following cost structure: Variable costs per unit: Production
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Answer:

d. $1,600 less than under absorption costing.

Explanation:

The computation of the carrying value on the balance sheet of the ending inventory of finished goods under variable costing is shown below:

But before that first we have to determine the unit cost which is

Unit fixed manufacturing overhead

= $96,320 ÷  6,020

= $16

Now the difference is

= Unit fixed manufacturing overhead × Change in inventory in units

= $16 × (6,020 units - 5,920 units)

= $1,600 less than under absorption costing.

5 0
1 year ago
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