Importance Of Credit Score

Traditionally a business owner applies for a bank loan to get funding to fund the startup phase, unfortunately usually banks decline them. An easy option is to use credit instead which provide fast and easy spending ability for a new and growing business. There are good uses of credit cards, there are also downsides. Careful use of credit cards can make them attractive as an option. First, some advantages to using credit cards to fund your business operations: • Easier to get funds • On time payments improve credit scores for the business owners and the business • There are rewards and benefits such as gas discounts, airline miles, cash rebates • Record keeping is easier.

Additionally, I felt this workshop was important to attend because it would give me insight in how to maintain a good credit score and avoid some of the common mistake the people make with their credit cards. Lastly, since ones credit score is the basis of how they are judged of their reliability to payback loans and other general purchases I felt as though this would be a very informative and helpful workshop to attend. The biggest thing I learned during the workshop was about interest rates. While I was already aware that one is charged interest one the money they charge to their credit card I was did not know of the different levels and type of interests that could be charged. For example, the Annual Percentage Rate (APR), which is the percentage you pay if you carry is a balance on a credit card, is often charged to the highest balance you currently owe that is over the minimum balance.

My reason is they are the most important in understanding the financials of a business. They give you a picture of the performance of your business. A practical example of this is as follows: Company revenue-expenses= net income= 6000-4700=1300 this 1300 net income must also be shown on the balance sheet as equity. (Garrison, 2010) The most important point or concept in chapter three is JOB ORDER COSTING. My reason is allows one to distinguish overhead cost versus direct labor cost.

Provide sellers with a low-cost and efficient alternative approach to reaching their consumers. Direct marketing is a low-cost and effective approach of selling and reaching consumers and prospects via telemarketing, direct mail and company Websites; reaching an end result a marketing world that is advantageous to both the seller and the consumer. Selecting channel members: Channel management calls for selecting, managing, and motivating individual channel members and evaluating their performance over time. With our promise... ... middle of paper ... ...side. Personal selling requires the training of sales representative which can be costly.

The annual sales revenue would be 1,250 x $200 = $250,000 in year 1. At 3% increase per year, the annual sales revenue would be $200 x 1.03 x 1,250 = $257,500.00 for year 2. The revenue would be increased at 3% per year to $265,225.00 and $273,181.75 for year 3 and 4 respectively. Incremental cost. The incremental cost per unit is $100 in the first year, excluding depreciation, increasing at 3% per year.

Capitalizing on HUDs approach and showing the home owner how to make the most of their investment is a great solution to red... ... middle of paper ... ... homes purchased that cannot be afforded, plummeting property values, a group of consumers not prepared for unexpected expenses and emergencies, poor refinance decisions and bank lending practices needing reform. Implementing the solution of requiring home buyer and refinance education classes will empower consumers to be smarter buyers. It will also help to secure long lasting financial stability in the housing and other economic markets. Firmer lending regulations will keep the banking industry alive but with more responsibility on realistic returns on buyer’s investments and loans they provide. I plan to make a wise choice when I am able to purchase a home in the future.

The new homeowner would be requi... ... middle of paper ... ... out. By helping people get through their own financial crisis, the tax payer can focus this same money on things such as creating new jobs so more people can own homes. I feel that if passed, this could be an incredibly important piece of legislation. I feel that this would enable so many homeowners to avoid losing their homes. It would empower the banks to be able to lend with more confidence.

(Leonhardt). In some areas college helps without needing a degree because of the growth on a personal level. Investing in College also helps with payments, because it can teach how to use money wisely and save for other expenses later

Once the current economy gloom improves as a result of positive government influence and boosted consumer confidence, many individuals will be able to pay their mortgage without any hardship. In order to enable Americans to purse the “American Dream” once again, sound economic policies must be implemented by the government!

Throughout this essay I will discuss the different aspects of the balance sheet and how the way they are presented affects the figures on the balance sheet. But firstly it is important to understand what the balance sheet comprises of and the role it is intended to carry out. The balance sheet is a financial document which identifies the company’s assets and liabilities of a company. By deducting the assets from the liabilities the net worth is calculated, this is a key indicator of the value of the company to its owners. It shows the financial of the company on a particular date, “it is a snapshot of the business and is the best measure that we have for looking at financial health” .