Pyramid Products Company has a revolving credit agreement with its bank. The company can borrow up to $1 million under the agreement at an annual interest rate of 9 percent. Pyramid is required to maintain a 10 percent compensating balance on any funds borrowed under the agreement and to pay a 0.5 percent commitment fee on the unused portion of the credit line. Assume that Pyramid has no funds in the account at the bank that can be used to meet the compensating balance requirement. Determine the annual financing cost of borrowing each of the following amounts under the credit agreement:
a. $250,000
b. $500,000
c. $1,000,000

Answers

Answer 1

Answer:

a. $250,000

if you borrow $250,000, you will only get $225,000, but you will still have to pay interest for the whole amount, so total interest charge = $250,000 x 9% = $22,500. Additionally, you must pay $750,000 x 0.5%  for the unused portion = $3,750.

total interests charged = $26,250 / $250,000 = 10.5%

b. $500,000

if you borrow $500,000, you will only get $450,000, but you will still have to pay interest for the whole amount, so total interest charge = $500,000 x 9% = $45,000. Additionally, you must pay $500,000 x 0.5%  for the unused portion = $2,500.

total interests charged = $47,500 / $450,000 = 10.56%

c. $1,000,000

since you need to have at least 10% in the bank, if you borrow $1,000,000, you will only get $900,000. So you cannot actually borrow $1 million, your net borrowing = $900,000. But you will still have to pay interest for the whole amount, so total interest charge = $1,000,000 x 9% = $90,000.

total interests charged = $90,000 / $900,000 = 10%


Related Questions



Consumers spend the least amount of time-consuming news delivered in which format?

A.television
B.print
C.digital
D.radio

Answers

Answer: A. television. and D. Radio.

For what reason did Middle English most likely develop? people learned to speak languages other than English people gave up their languages to begin speaking English people tried to make everyone around them speak English people who spoke English met people who spoke other languages

Answers

The reason Middle English had to develop was due to the fact that  people tried to make everyone around them speak English

How did Middle English develop?

The Norman Conquest of 1066, when William the Conqueror (after known as William I of England) conquered the island of Britain from his base in northern France and established there with his nobles and court, marked the beginning of the change from Old English to Middle English.

There are many causes, but the Norman conquest of Britain in 1066 was a significant one. An early form of French that was used by the Normans swiftly replaced the native tongue as the official language of England for political and legal purposes.

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The local supermarket buys lettuce each day to ensure really fresh produce. Each morning any lettuce that is left from the previous day is sold to a dealer that resells it to farmers who use it to feed their animals. This week the supermarket can buy fresh lettuce for $9.00 a box. The lettuce is sold for $17.00 a box and the dealer that sells old lettuce is willing to pay $5.00 a box. Past history says that tomorrow's demand for lettuce averages 258 boxes with a standard deviation of 41 boxes.

Required:
How many boxes of lettuce should the supermarket purchase tomorrow?

Answers

Answer:

276 boxes

Explanation:

Given the following :

Cost price of lettuce = $9

Selling price of lettuce = $17

Selling price of old lettuce (Salvage value) =$5

Mean demand (m) = 258

Standard deviation(σ) = 41

The marginal profit = selling price - cost price

Marginal profit = $(17 - 9) = $8

Marginal loss ; old lettuce : cost price - salvage value $(9 - 5) = $4

Probability (p) = marginal profit /(marginal profit + marginal loss)

P = 8 / (8 + 4) ; 8 / 12 = 0.667

Using the InvNorm function of the T84 calculator :

InvNorm(prob, mean, standard deviation)

InvNorm(0.667, 258, 41) = 275.697 = 276 boxes

Number of lettuce boxes supermarket should purchase tomorrow = 276 boxes

The ledger of Sunland Rental Agency on March 31 of the current year includes the following selected accounts, before adjusting entries have been prepared.
Prepaid Insurance
Supplies
Equipment
Accumulated Depreciation-Equipment
Notes Payable
Unearned Rent Revenue
Rent Revenue
Interest Expense
Salaries and Wages Expense
Debit
$ 1,200
3,500
18,750
Credit
$ 8,370
25,000
9,000
62,000
17,000
An analysis of the accounts shows the following.
The equipment depreciates $465 per month.
One-third of the unearned rent revenue was earned during the quarter.
Interest of $625 should be accrued on the notes payable.

Answers

yes it should 625% of interest

Firms in an oligopoly often Group of answer choices Have no control over the price of their product. face perfectly elastic demand curves. make decisions based on the behavior or expected behavior of their competitors. operate without regard to the behavior of competing firms.

Answers

Based on economic situation analysis, the Firms in an oligopoly often "make decisions based on the behavior or expected behavior of their competitors."

This is because firms in an oligopoly tend to act inter-dependently.

This implies that the firms in oligopolies can act together to fix prices to maximize the possible profits in their industries.

Oligopoly is a term in economic theory used to describe the market condition whereby the smaller number of firms are producing a commodity.

Hence, in this case, it is concluded that the correct answer is option C. "make decisions based on the behavior or expected behavior of their competitors."

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11. a. Suppose David spends his income M on goods x1 and x2, which are priced p1 and p2, respectively. David’s preference is given by the utility function
(1, 2) = √1 + √2.
(i) Derive the Marshallian (ordinary) demand functions for x1 and x2. (25 marks)
(ii) Show that the sum of all income and (own and cross) price elasticity of demand
for x1 is equal to zero. (25 marks) b. For Jimmy both current and future consumption are normal goods. He has strictly convex and strictly monotonic preferences. The initial real interest rate is positive. If the real interest rate falls, in each of the following cases, argue what will happen to his period 2 consumption level? Clearly illustrate your argument on a graph.
(i) He is initially a borrower. (25 marks)
(ii) He is initially a lender. (25 marks)

Answers

Answer:

Explanation:

D

Many students take out private loans for some or all college tuition costs. If you take out a loan for $25,000, and the interest rate on that loan is 4.5% over 360 months, what would the total interest on the loan end up being? Explain how you came to this conclusion.

Answers

Answer:

1,625 interes

Explanation:

4.5% x 360 = 1,620

please pasagot ang
hirap kasi ​

please pasagot anghirap kasi

Answers

Answer:

1)32/100×10000

=3200

2)13/100×10000

=1300

3)15/100×10000

=1500

4)3/100×10000

=300

5)4/100×10000

=400

6)12/100×10000

=1200

7)5/100×10000

=500

8)2/100×10000

=200

9)14/100×10000

=1400

the total amount is 3200+1300+1500×300+400+1200+500+200+1400

=10000

is this the way...I am sorry if it is wrong...was just giving it a try..


What word do we use when we describe an economy with a high unemployment rate and little growth while prices are still rising?

Answers

Answer:

i dont know to be honest can you tell me

Explanation:

Answer:  Stagflation

Explanation:

NEED HELP ASAP
When Pierre decides to add a few extra expenses to his reimbursement request for
his last business trip, he doesn't worry about whether or not it's ethical because he's
sure nobody pays attention to the expenses as long as the amount is reasonable. He
is sure nobody will notice a few small extra charges. This is an example of
OA) Rationalizing
OB) An ethical dilemma
OC) Whistleblowing
OD) A conflict of interest

Answers

Pierre engaging in such actions is known as rationalizing.

When a person rationalizes a decision they:

Try to prove that what they did isn't bad Come up with some sort of reasoning to support their decision

Pierre is clearly doing something wrong here by increasing expenses more than they are supposed to be. He however convinces himself that what he is doing is not bad because no one will notice.

He is therefore coming up with reasons to prove that what he is doing is not bad and we can conclude based on this fact that he is engaged in rationalizing his behavior.

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Current liabilities are important because they determine how much
company has.
A. working capital
B. current assets
C. liquid cash
D. stockholders' equity

Answers

Answer:

working capital is calculated by using the current ratio, which is current assets divided by current liabilities. A ratio above 1 means current assets exceed liabilities, and, generally, the higher the ratio, the better.

What happens when demand decreases while supply increases

Answers

Explanation: When demand decreases while supply increases, it creates a situation of surplus, also known as oversupply. This is because there is now more supply available in the market than there is demand for it, leading to a surplus of goods or services.

As a result, businesses may have to lower their prices to incentivize consumers to purchase their products or services. This can lead to a decrease in revenue for the businesses and potentially even lower profits. In some cases, businesses may also need to reduce their supply in response to the decrease in demand.

If the surplus persists over a longer period, businesses may also need to cut costs, such as reducing staff or production capacity, in order to remain profitable. This can have broader economic implications, such as rising unemployment rates and a decrease in overall economic activity.

Overall, a decrease in demand while supply increases can have negative consequences for businesses and the economy as a whole.

Answer: When demand increases and supply increases it leads to reduction in the equilibrium price.

Explanation:

The market price will fall as a result of a decline in demand and an increase in supply because, for any quantity, consumers now place a lower value on the item and producers are ready to accept a lower price.

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During revenue cycle monitoring, the revenue cycle is assessed to ensure financial viability and stability using metrics, which are standards of measurement. List and explain the metrics used during revenue cycle monitoring.

Answers

Answer:

Common financial metrics used in the revenue cycle include net days in accounts receivable, discharged not final billed, and aging accounts receivable. Tracking such metrics allow organizations to measure and monitor performance against set goals

Explanation:

The metrics used during revenue cycle monitoring are Days in Accounts Receivable, Denial Rate, Clean Claim Rate, Cost to Collect Etc. These metrics provide valuable insights into the revenue cycle performance and help identify areas for improvement, optimize processes, and ensure financial stability.

Revenue cycle monitoring involves the evaluation of various metrics to ensure the financial viability and stability of an organization. These metrics serve as standards of measurement and provide insights into different aspects of the revenue cycle.

Key metrics used during revenue cycle monitoring are,

Days in Accounts Receivable (AR):

This metric calculates the average number of days it takes for an organization to collect payments from its customers after generating invoices. A lower number of days in AR indicates better efficiency in managing accounts receivable.

Denial Rate:

The denial rate measures the percentage of claims that are denied by insurance companies or payers. A high denial rate can impact cash flow.

Clean Claim Rate:

The clean claim rate reflects the percentage of claims submitted to payers that are processed without any errors or rejections. A high clean claim rate indicates effective billing.

Collection Rate:

The collection rate compares the amount of money collected to the amount of money that was expected to be collected during a specific period. It indicates status of an organization at collecting payments from  payers.

Cost to Collect:

This metric calculates the total cost incurred in the revenue collection process, including administrative expenses, personnel costs, and technology-related expenses. Lowering the cost to collect can increase overall efficiency.

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After reading a child's file, a trained adult asks the child to perform specific tasks. The
information gained indicates the child may have a developmental delay or disability and
could benefit from early intervention. The adult refers the family to a medical professional
for diagnosis.
Observation
Screening
Assessment
Evaluation

Answers

After reading a child's file, a trained adult asks the child to perform specific tasks and learns that the child may have a developmental disability and could benefit from early intervention and he refers the family to a medical professional for diagnosis. This is called assessment. The correct option is c.

What is a developmental disability?

Developmental disability refers to a diverse group of chronic conditions, comprising mental or physical impairments that arise before adulthood. These disabilities cause individuals living with them many difficulties in certain areas of life, especially in language, mobility, learning, self-help, and independent living.

Developmental disabilities can be detected early on and persist throughout an individual's lifespan.

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alternatives to commercial insurance​

Answers

Explanation:

Labor and Economic Opportunity.

Bureaus & Agencies.

Workers' Disability Compensation Agency.

Insurance Requirements.

Group Funds - An Alternative to Commercial Insurance.

Alistair owns and runs a bakery. He buys groceries worth $250 for his business. What entries does he make in the book of accounts?

Alistair makes two entries in the book of accounts. He debits the supplies account and
compliance with the
principle of transaction
Reset
Next

Answers

Alistair is the owner and operator of a bakery. He spends $250 on groceries for his business. He makes two bookkeeping entries in the book of accounts. He debits the supplies account and follows the transaction principle.

A book of accounts contains commercial account transaction records. Commercial double entry accounting systems include numerous ledgers or books, such as the general ledger as well as general journal. These ledgers are collectively referred to as books, a shortened term for books of account. Any of the numerous books utilised in the accounting process can be referred to as a single book of accounts.

Thus the entries that he make in the book of accounts is that he makes two entries in the book of accounts. He debits the supplies account and compliance with the principle of transaction.

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Steps to follow when preparing a budget

Answers

Answer:

1. Assess your financial resources

The first step is to calculate how much money you have coming in each month. This might be investment income, government assistance, student loans, employment income, disability benefits, retirement pensions or money from other sources.

2. Determine your expenses

Next you need to determine how you spend your money by reviewing your financial records. If your records aren't clear, consider keeping a financial diary to track your spending.

Be sure to separate the fixed expenses that you must meet (mortgage, rent, car payments, insurance) from variable expenses (food, clothing, entertainment, charitable gifts). Once you see your spending patterns, you may be able to make adjustments to certain expenses.

3. Set goals

Establish a list of the goals you wish to achieve. These can be long-term goals like purchasing property or funding your retirement. Or they can be short-term goals such as home improvements or car maintenance.

4. Create a plan

Once you've figured out how much money is coming in and where it's going, you can put together a plan that matches your goals with your financial situation.

5. Pay yourself first

When you pay yourself first you simply set aside a certain amount of money each month to go into an account that you will not touch. You can set up a separate savings account for infrequent but anticipated expenses, such as property taxes, vacations, automobile insurance or car maintenance. Our Jumpstart® is specially designed for these types of savings plans.

6. Track your progress

At the end of each month, you should re-evaluate your budget. Compare your actual expenses and income to your budget and make appropriate adjustments.

Once your budget is done, things are bound to change. They always do. So stay flexible. And remember, a budget is only a guideline. It doesn't factor in non-financial considerations that can result from drastic changes in spending habits.

Decision Point: Getting to Know the Company
Your first step as a turnaround consultant is to get more familiar with the company. What should you review first in order to understand more about the company?

Answers

The mission statement was your choice. The wisest company decision was that. The organization's mission statement is a great place to start because it describes how the organisation will fulfil its purpose in the context of the environment in which it operates.

An essential tool for determining how well your company has done in relation to its objectives is strategic evaluation. It's a crucial way to evaluate your successes and shortcomings and is also helpful for organization's your goals, which may have been set at a different time or under different conditions. Review strategies are methods for re-engaging with previously learned material to keep it current in your memory.

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Carlson Auto Dealers Inc. sells a handmade automobile as its only product. Each automobile is identical; however, they can be distinguished by their unique ID number. At the beginning of 2021, Carlson had three cars in inventory, as follows:

Car ID Cost
203 $78,000
207 78,000
210 81,000

During 2021, each of the three autos sold for $108,000. Additional purchases (listed in chronological order) and sales for the year were as follows:

Car ID Cost Selling Price
211 $78,000 $108,000
212 78,000 111,000
213 79,500 not sold
214 81,000 114,000
215 84,000 118,500
216 82,500 not sold
217 87,000 123,000
218 84,300 124,500
219 90,000 not sold

Required:
Calculate 2021 ending inventory and cost of goods sold assuming the company uses the specific identification inventory method.

Answers

The Carlson Auto Dealers Inc.'s 2021 cost of ending inventory is $252,000 based on the specific identification inventory method.

2. The Carlson Auto Dealers Inc.'s Cost of Goods Sold for 2021 is $729,300 using the specific identification inventory method.

Data and Calculations:

Beginning Inventory of cars:

Car ID        Cost

203         $78,000

207           78,000

210            81,000

Total = $237,000

Cost of Ending Inventory:

Car ID        Cost      

213          79,500      not sold

216          82,500       not sold

219         90,000       not sold

Total  $252,000

Cost of Goods Sold:

Car ID                  Cost    

203                    $78,000

207                      78,000

210                       81,000

211                       78,000

212                      78,000  

214                      81,000

215                     84,000  

217                     87,000

218                    84,300

Total Cost = $729,300

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what is Framing in a conversation?​

Answers


“How someone frames an issue influences how others see it and focuses their attention on particular aspects of it. Framing is the essence of targeting a communication to a specific audience. Although conceptually framing seems pretty staightforward, the reality is that most people don't do it well.”

Word it differently or be arrested for plagiarism :D

Answer:

How someone frames an issue affects how it is seen by others and focuses their attention on specific aspects of it. Framing is the basis of approaching a particular audience to connect. Although framing seems very simple conceptually, the reality is that most people don't do it well.

Explanation:

A baseball leaves a pitcher's hand horizontally at a speed v. The distance to the batter is d. (Ignore the effect of air resistance.) (a) How long does the ball take to travel the first half of that distance

Answers

Answer:

\(Time = \frac{d}{2v}}\)

Explanation:

Given

\(Speed = v\)

\(Distance = d\)

Required

Determine the time taken to travel half of the distance

Recall that

\(Speed = \frac{Distance}{Time}\)

Make Time the subject

\(Time= \frac{Distance}{Speed}\)

In this case:

\(Distance = \frac{1}{2}d\)

\(Speed = v\)

So:

\(Time= \frac{Distance}{Speed}\)

\(Time = \frac{\frac{1}{2}d}{v}\)

\(Time = \frac{1}{2}d}/v\)

\(Time = \frac{1}{2}d} * \frac{1}{v}\)

\(Time = \frac{d}{2}} * \frac{1}{v}\)

\(Time = \frac{d}{2v}}\)

A foreign company (whose sales will not affect Benjamin's market) offers to buy 4,300 units at $7.83 per unit. In addition to variable manufacturing costs, selling these units would increase fixed overhead by $630 and selling and administrative costs by $330. Assuming Benjamin has excess capacity and accepts the offer, its profits will:

Answers

Question Completion:

Benjamin Company had the following results of operations for the past year:

Sales (16,000 units at $9.90)                                            $158,400

Direct materials and direct labor                      $94,400  

Overhead (20% variable)                                     14,400  

Selling and administrative expenses (all fixed)  31,800   (140,600)

Operating income                                                               $17,800

Answer:

Benjamin Company

The company's profits will increase by $6,635.

Explanation:

a) Data and Calculations:

Variable costs of production:

Direct materials and labor = $5.90 ($94,400/16,000)

Variable overhead = $0.18 ($2,880/16,000)

Fixed overhead = $11,520 ($14,400 - $2,880)

Fixed selling and admin. expense = $31,800

Relevant costs:

Direct materials and labor ($5.90 * 4,300) = $25,300

Variable overhead ($0.18 * 4,300) =                       774

Fixed overhead =                                                    630

Selling and admin. expense =                                330

Total relevant costs for the special offer =    $27,034

Sales revenue ($7.83 * 4,300)                       $33,669

Profit from the special offer =                          $6,635

Answer:

According to the case, the five kinds of share are directly relevant and can be calculated from the provided information are:

1. Authorized Capital

2. Issued Capital

3. Un-issued Capital

4. Subscribed Capital

5. Called-up Capital

Explanation:

Authorized Capital:

The authorized capital is known as the registered capital of the company, Authorized capital is the maximum amount of share that a company is authorized to issuing share to its shareholders.

In this case, the Alpha limited company registered on 5th January 2023 with the capital of 500,000 which is divided into 25,000 ordinary shares and the value of each share is Rs. 20.

Issued Capital:

The issued share capital of company is monetary value of shares which legally offers by company to its shareholders.

In this case, the Alpha limited company on 20th of January offered for sale to the public from authorized capital. The company put forward 15,000 and the value of each share is 20 Rs. Consequently, the company’s issued capital is 300,000 Rs (15,000 shares x 20 Rs.) .

Un-issued Capital:

The un-issued share capital reflects the part of authorized capital stock that the company has not yet issued to the public.

In this case, the Alpha limited company has not issued his 10,000 shares, and the value of each share is 20 Rs so its total un-issued capital is Rs. 200,000 (10,000 shares x 20 Rs.).

Subscribed Capital:

The subscribed capital is the portion of issued capital for which the public has been subscribed and the company has accepted.

In this case, the Alpha limited company on 23rd January received applications for 14,500 shares from the public which informed by company’s bank, so the subscribed capital is Rs. 290,000 (14,500 shares x 20 Rs.).

Answers

The five kinds of capital that are directly relevant are:

Authorized Capital: Rs. 500,000Issued Capital: Rs. 300,000Un-issued Capital: Rs. 200,000Subscribed Capital: Rs. 290,000Called-up Capital: Rs. 290,000

What is a called-up capital?

The called-up capital refers to the portion of the subscribed capital that the company has demanded and the shareholders are required to pay.

In this case, the Alpha limited company called up the entire subscribed capital of Rs. 290,000 on 25th January. Therefore, the called-up capital is also Rs. 290,000.

Summarily,

- Authorized Capital: Rs. 500,000

- Issued Capital: Rs. 300,000

- Un-issued Capital: Rs. 200,000

- Subscribed Capital: Rs. 290,000

- Called-up Capital: Rs. 290,000

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Based on GAAP, companies must use the same accounting from one period to the next.
a:principles
b:personnel
c:tools
d:firms​

Answers

Answer:

principles

Explanation:

Define the term product mix and describe at least two strategies that companies may use to manage their product mix.
Describe the stages of the product life cycle.
Describe the purpose and common uses of a SWOT analysis.
Explain the goal of product planning and typical product planning activities. What impact do operation needs, such as size of staff, distribution, etc. have on making decisions about products and services?
Explain the four components of a product’s utility.

FIVE SHORTS ANSWERS PLEASE.

Answers

1) Product mix refers to the set of all products or product lines that a company offers for sale. This includes variations in product size, style, color, and other features. Companies may use various strategies to manage their product mix, including product line extension and product line contraction. Product line extension involves adding new variations or products to an existing product line, while product line contraction involves eliminating products or variations that are no longer profitable or aligned with company goals.

2) The goal of product planning is to ensure that a company's products meet customer needs and are profitable. Typical product planning activities include identifying customer needs and trends, researching and developing new products, determining pricing and promotional strategies, and evaluating product performance. Operation needs, such as the size of staff and distribution capabilities, can impact decisions about which products and services a company offers. For example, a company with limited distribution capabilities may choose to focus on a smaller product mix that can be efficiently distributed to customers. Similarly, a company with a small staff may choose to focus on a narrower product mix that can be effectively managed with limited resources.

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Explain how the classification of risks into categories such as ‘high’, ‘medium’ or ‘low’, helps entities manage their businesses

Answers

Explanation:

Classification of the customers is done under three risk categories viz. low, medium, and high. Customer’s identity, Social/financial status, Nature of business activity, Information about the client’s business and their location, etc. are some of the parameters in the risk assessment strategy of the financial institutions.

An early 1970s government study ("Work in America") identified three chief sources of worker dissatisfaction. Which of the following is one of those sources?

Answers

Answer:

"The rigidity of rules and regulations " is the appropriate response.

Explanation:

Rigidity seems to be a distinguishing characteristic of the disposition among people with autism or disabilities. The same kind of perspective also requires an individual to implement strict guidelines to circumstances that require uncertainty as well as consistency.

That being said, regulations, as well as standards, seldom operate stringently, with little difference throughout circumstances and conditions.

ratio analysis is important to understand and interpret financial statements; however, sound financial analysis involves more than just calculating and interpreting numbers. qualitative factors also need to be considered.

Answers

Qualitative factors include the company's management team, competitive position, industry trends, and economic outlook. these factors provide a more complete picture of the company's financial performance and outlook.

Qualitative factors help to determine whether or not a company is a good investment. They can also influence a company's stock price. For example, a company's management team is important in determining the overall success of a company.

If the management team is experienced and knowledgeable, the company may have a better chance of achieving its goals and thus, have a higher stock price.

Similarly, if the competitive position of a company is strong, it may be more attractive to investors, resulting in a higher stock price. Similarly, industry trends and economic outlook can also influence a company's stock price.

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Click to review the online content. Then answer the question(s) below, using complete sentences. Scroll down to view additional
questions.
Online Content Site 1
This site shows the occupations with the highest expected growth rates over the period 2014 - 2024. Which occupation is expected
to grow at the highest percentage increase? Is this occupation also expected to have the largest increase in the number of jobs?
Explain.

Answers

Answer:

there's is no meaning to this question

Supremewriters247.us is the only trusted American Writing Company when it comes to the writing of custom essays, dissertations, term papers, research papers, ...

Answers

etc

They answer is etc
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