Answer:
i. New firms will enter the market
iii. In the long run, all firms will be producing at their efficient scale
Explanation:
In the competitive market barriers to entry will be low as there is no monopoly. The firms in the market are experiencing increased profitability as a result of increased demand so the market will be attractive for new firms. This will result in new firms entering into the market. In the short run.
In the long run as more firms enter the market, the firm's will need to produce at efficient scales because of high competition, with the aim of minimising cost.
Answer: true
Explanation:
The term risk free assets are the assets that are secure because they are expected to bring about a return while the Beta is used to know the volatility of a portfolio when it is compared to the entire market.
Risk-free assets typically have zero beta since they're risk free. Therefore, risk-free assets have a beta of 0 and the market portfolio has a beta of 1 is true.
Answer:
16%.
Explanation:
The cost of machine is $14,750 and it can save up to $4,500 per year.
= $14,750 / $4,500 = 3.278
Suppose the company has a constant cash flow of $4500 for 5 years
16% is the write answer because at 16% net present value is zero.
Answer:
Skunkworks.
Explanation:
In the context of promoting organizational learning and intrapreneurship, the idea behind the role of <em>Skunkworks</em> is that, if intrapreneurs are isolated, they will become so intensely involved in a project that development time will be relatively brief and the quality of the final product will be enhanced.
A Skunkworks project typically represents an innovative project comprising of a loosely structured small group of people, usually outside the research and development departments of an organization. The Skunkworks is made up of well seasoned individuals or experts who research, quickly design or develop, and test innovative solutions for a project in order to enhance radical innovation.
As a result, isolating the intrapreneurs would enhance the rapid development and quality of the final product in a project.
Please note, Skunkworks has its origination from Martin Lockheed's World War II Skunkworks in the Advanced Development Projects (ADP).
