_ Since prices are extremely low, the Pipeline SupplyCompany wants to purchase a special line of pipesfrom a company going out of business. Pipeline,however, will need to borrow money to make thisdeal. Which assets will Pipeline most commonlypledge as collateral for this short-term loan?a. delivery equipmentb. notes payablec. manufacturing equipmentd. owners’ equitye. inventory

Please Make this notes clearer and perfectly written. Here is my notes: At times companies engage in repurchase agreements; are from the perspective of the borrowers. they borrow money to finance themselves short term and the value of the money they borrow whatever that value is they agreed to pay the lenders when they return the money with a higher value even if they borrow low and pay high and that difference is their cost of funding repurchase agreements repurchase agreements are always collateralized with high quality paper government securities it can also be a commodity like precious metals gold or silver repos besides the collateralization. The federal funds that's an important take away that one member of the treasury reserve system lends to another short term loans that one member of the treasury reserve system lends to another The banks have surplus reserves with our central bank some are in deficit the who the ones who are in surplus lend to the ones who are in deficit…

Ma4. Please give only typed answer.

What does a firm need to do to improve liquidity?   Extend credit terms to customers in order to gain more sales Stock up on inventory in order to never run out of stock Pay all bills and payables when due Speed up collection of accounts receivable from customers

Please help with the below minicase.  Directions: The best way to do this case is to use relevant credit information and calculate some financial ratios: ROA, debt ratio, liquidity ratios, ROE, profit margin, Inventory and Asset turnover. Then look at breakeven point probability, and finally the possibility of a repeat order. What can you say about Miami Spice’s creditworthiness? What is the break-even probability of default? How is it affected by the delay before MS pays its bills? How should George Stamper’s decision be affected by the possibility of repeat orders?   MiniCase: George Stamper a credit analyst with Micro-Encapsulators Corp. (MEC) needs to respond to an urgent email request from the southeast sales office. The local sales manager reported that she had an opportunity to clinch an order from Miami Spice (MS) for 50 encapulators at $10,000 each She added that she was particularly keen to secure this order since MS was likely to have a continuing need for 50 encapulators a…

In looking at Free Cash Flow, which of the following is true? The value of any asset business is based solely on the free cash flow and it is important to buyers and sellers. FCF's are the discounts received from vendors for purchases made The net income of a company should be equal to its free cash flow. FCF's represent the funds available to business owners that can be withdrawn after all business related costs and investments have been paid.