Answer:
weighted average cost of capital is minimized
Explanation:
Weighted average cost of capital (WACC) in accounting is the average rate of return a company is expected to compensate all its various investors by comparing its debt and equity structure.
The value of a firm is maximized when the weighted average cost of capital is minimized.
The formula to calculate the weighted average cost of capital (WACC) is:
WACC = ((E ÷ V) x Re) + (((D ÷ V) x Rd) x (1 - T))
Where;
Re=Cost of equity
Rd=Cost of debt
E=Market value of equity
D=Market value of debt
T=Effective tax rate
V=Total market value of combined equity and debt
In deciding whether to sell a product or continue to process it, the costs incurred to get the product into its current condition are not relevant to the decision.
<h3>What is Cost Price?</h3>
This refers to the price at which a good was bought and might include the expenses incurred while procuring the goods.
Hence, we can see that when an owner is trying to decide whether to sell a good or process it, the costs incurred to get the product to its current condition are not relevant while making this decision.
Read more about cost price here:
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Answer:
The correct answer is option is b.
Explanation:
Swing trade is a trading strategy where attempts are made to earn profit from the stocks in a span of a few days.
Carry trade is a type of currency trading strategy. Under this strategy, money is borrowed in a currency which has a lower interest rate then converted and deposited into the currency which has higher interest rates. In this way, profit is earned.
Under channel trading strategy, the trading is done in a certain channel which represents the value of assets for a specific period. It is for short term and medium term.
Under the price action trading strategy, the price movements in the market are studied and trading is done on this basis.
Answer:
A) the same in both countries; the same in both countries
Explanation:
1.The steady-state level of output per worker will be the same in both countries because if their is higher growth rate of the population , the steady-state level of capital per worker will be lower which lead to lower level of steady-state income because the two countries have the same production function, same saving rate, same depreciation rate, and same rate of population growth which thereby means we have get to the Steady-State Level of Capital.
2. The steady-state growth rate of output per worker will be the same in both countries because the level of capita per worker will remain constant and does not change for both the countries because they share similar things in common.
