. Dean advises his Broker that he has completed renovations in his basement. He will be renting the basement to two separate families but does not want his rate to increase.Dean has been a long term client and refers a lot of business to the Brokerage. What should the Broker do?   Inform the client of a likely premium increase and advise the insurance company of the change. Add a note to the client's file and save the changes for a renewal date. Work on quotes with other markets at renewal time. Leave the policy as is since the basement is still vacant.

You have been appointed as a loans officer for the local state bank. One day a person walks intothe bank looking for loan to buy a new car. List items about that individual that you should findout before making a decision whether or not to approve the loan.

Complete your calculations by filling in the highlighted cells. Note: the PV Annuity table is provided for you. Discuss if you think the cookie business should accept or reject the purchase of the new equipment and why.Additional information has come to your attention regarding the equipment purchase. One of the partner's brother owns the company that sells the equipment and insists the equipment is needed. Discuss any ethical concerns you see with this type of transaction.  Cookie Business           As the owner of the Cookie Business, you are considering the following investment:           Purchase of new equipment  $  250,000.00       Expected  annual increase in sales   $    48,017.50       Time frame 7 years     Acceptable rate needed 9%                 Calculate the Internal Rate of Return:         PV of annuity factor         Internal rate of return                   Accept or reject

Beth and Bob are scheduled to close on the purchase of a new home soon. They were surprised by how much the total closing costs turned out to be, particularly the amount they have to pay to an escrow account. These funds are for A :    the home inspection and estimated repairs.    B :    prepayment of homeowner’s insurance and property taxes.    C :    payment of the attorneys and real estate agents.    D :    payment for the lender’s origination fee.

Your company has loaned money to an outside entity. You earned the monthly interest on the loan but did not receive the payment yet. The payment is expected to be received next month. To capture the interest expected to be received in the future you have created account #901 , Interest Receivable in your chart of accounts and booked the journal entry to DR: Interest Receivable and CR: Interest Income. While the basic journal entry was correct, your manager is questioning how you setup this new account. Based on this image of the chart of accounts below what needs to be corrected and how would you correct this?

Steven is a mortgage broker who receives referrals from a real estate agent on a regular basis. The real estate agent has told the Steven that she will be sending him several clients who may have trouble being approved because of their income. Steven is concerned that if he cannot get these clients approved the real estate agent will find another mortgage agent who can. Given this scenario which of the following statements is correct? Select one: a. The mortgage agent should consider each applicant on their own merits and do the ones he can ethically do b. The mortgage agent must not do these deals as they are likely fraudulent c. The mortgage agent must refer this situation to his principal broker since he knows they are fraudulent d. The mortgage agent should tell the real estate agent that he cannot do these deals because he would have to commit fraud

A friend of yours is graduating college next month. He has had a credit card and student loans for the past few years, but he’s never bothered to check his credit report. 1)Why is it vital that your friend reviews his credit report? How soon would you recommend he does so and why? 2) Which sections of information in his credit report should he pay particular attention to given his situation?

Ann Smith just saw her doctor. After the appointment, she was informed by the receptionist that the fee for the visit is $75 and that her insurance company will be billed for the visit. Ann was also notified that her insurance company will pay all of the fee except for the $20 co-pay, which she pays with her debit card right away. Because the doctor’s office has not entered into a contract, it would not record revenue until it verifies that the insurance company will pay.   True or False?

Craig decided to start offering assurance-type warranties to increase product sales.  He feels this will help increase sales volume and add positive word of mouth for his business.  He will also offer service-type warranties on several of the high end products that he sells.  After discussing with him the pros and cons, you both agree to record these warranty expenses and liabilities at the end of each quarter. Prepare the journal entries for the following: 1. Craig Design and Landscaping offers 1 year assurance-type warranties on each tree sold over $500.  Craig also sells a 3-year service-type warranty for each tree sold over $500.   2. Craig sold $5,000 worth of service-type warranties and received cash during the 3rd quarter of this year.  These warranties are effective after the one year assurance-type warranty expires.  Record the journal entry for this warranty transaction. 3. You and Craig estimate that 5% of customers will require assurance- type warranty replacement.  Sales…

Micah asks his girlfriend Brandi if he can borrow her car. Brandi agrees to allow Micah to use her car for the day.   Multiple Choice A leasehold has been created. An easement has been created. A fee simple defeasible has been created. A bailment has been created.   If a transaction is unsecured what might a creditor request in exchange for offering a line of credit?   Multiple Choice A recorded security A perfected security interest A legal guaranty A personal guaranty   The court cannot force creditors to agree to a reorganization plan even if it is fair, equitable, and feasible. True False