Answer:
$51.25
Explanation:
P9 = Next dividend / Required rate r - Growth rate g
P9 = $15 / 14% - 5%
P9 = $15 / 9%
P9 = $166.67
Po = P9 / (1 - Required rate of return)^9
Po = $166.67 / (1 + 0.14)^9
Po = $166.67 / 3.2519
Po = $51.25
So, the current stock price is $51.25.
Answer:
b. can keep the accessories but not the motorcycle.
Explanation:
Answer:
b. increases ; 2.5
Explanation:
MPC stands for Marginal Propensity to Consume. In economics, the MPC may be defined as the metric that quantifies the induced consumption. It is the concept that determines that the increase in the spending of personal consumer occurs with increase in the disposable income.
It is estimated that as the MPC increases, the spending multiplier also increases. MCP is the ratio of consumption function to the disposal income change. When the MCp is 0.6, then the multiplier becomes 2.5 if there is no imports and taxes involved.
Answer:
The correct answer is True.
Explanation:
The production possibilities frontier (FPP) is a graphic representation of the maximum quantities of production that an economy can obtain in a given period using all the resources it has available.
In an economy that has thousands of products, the alternatives to produce one good or another and how much of each are very large. When an alternative is chosen, it means that other possibilities are being renounced. The relationship between what we choose and what we give up is the opportunity cost.
In this case, two activities are listed that cannot be executed as much as possible, because there is the time factor which directly determines the trend if one of the two activities (work or study) is chosen. If the first one is chosen, the second one will be harmed, and vice versa.
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