The return of equity will increase. Businesses can finance
themselves with debt and equity capital. By aggregating the quantity of debt
capital kin to its equity capital, a company can increase its return on equity.
The way in which rising financial leverage increases ROE is a
little less instinctive. One way to think about it is that if a business
adds debt, its assets increase for the reason that its
cash inflows from the debt issuance and so does its
entire debt.
I believe the answer is: <span>What goods and services are produced?
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Before we can determine how we should produce goods or service, we first need to determine the type of goods and services that are needed by the market. After knowing this, then we can see the resources availability in near us to determine the most efficient method to do the production.
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Answer:
D. usually produces an inefficiently small level of output.
Explanation:
A perfect competition is characterised by many buyers and sellers of homogenous goods and services. Market prices is usually set by market forces. There is no need for advertising because all firms produce homogenous products. There is little or no need for government regulation because goods and services are efficiently distributed.
A monopoly is characterised by one firm in the industry. The firm sets the market price. The government regulates the activities of the activities of a monopoly to reduce inefficiency that usually occur. Either quantity produced or price are usually regulated by the government to reduce inefficiency and ensure fair distribution of goods and services.
Monopoly firms usually advertise and undertake more research activities when compared to a pure competition.
I hope my answer helps you
Answer:
a. Net income - Operating
b. Paid cash dividends - Financing
c. Issued common stock - Financing
d. Issued bonds - Financing
e. Redeemed bonds - Financing
f. Sold long-term investments - Investing
g. Purchased treasury stock - Financing
h. Sold equipment - Investing
i. Issued preferred stock - Financing
j. Purchased buildings - Investing
k. Purchased patents - Investing
Explanation
The statement of cash flows is basically made up of three sections: operating, financing and investing activity.
Statement of cash flows, using indirect method is simply a statement that records the cash inflows and outflows after adjusting for non-cash items.
- Operating activities comprise the adjustment of non-cash items that were already added or subtracted from the net income in preparing the income statement in line with accrual accounting. Then, it records the movement in current assets and liabilities.
- The Financing section comprises those activities that are geared towards improving the capital structure of the company like issuance of stocks, cash dividend payment, etc.
- Finally, the Investing activities are those activities involving purchase of equipment or any other assets that would be used in the course of the business to generate revenue.
Answer:
The correct answer is Consumer-generated marketing.
Explanation:
Currently, people spend more time creating content, consuming and informing themselves than seeing the information generated by the brands themselves, even this is the content that has more value and influence for many consumers.
The User Generated Content will continue to be an important component in the marketing strategy, brands are looking for effective and convincing ways to engage and get closer to consumers.
