I would say if thats what you want to do go for it because the people that love you should want nothing more than for you to be happy.
Fluctuation in economic activity
I believe this needs to come from a non monetary source. Pure competition allows for no price change between firms. So profit maximization needs to come from market share. I believe the answer would have to be in service levels or ease of business improvements. If you are forced to have the same price levels the levers to pull are few but the exist only customer service, ease of transacting, other value add initiatives. Just my thoughts
Answer: 1) increases and 2) increases
Explanation:
When a government cuts tax on gasoline then it will become cheaper for the consumer as well as for the suppliers of gasoline. So, they increase the supply of gasoline because of the tax cut by the government.
Also, if the oil producing companies decided to increase the production at the same time then this will also increase the supply of gasoline.
Hence, both tax cut by the government and increase in oil production results in higher supply of gasoline.
Answer:
Cost of equity = 10.6%
Explanation:
<em>According to the dividend valuation, the value of a stock is the present value of expected future dividends discounted at the required rate of return.</em>
<em>The model can me modified to determined the cost of equity having flotation cost as follows:</em>
Cost of equity = D(1+r )/P(1-f) + g
d- dividend, p- price of stock , f - flotation cost , - g- growth rate in dividend
D-1.00, p - 20, f- 10%, g- 5%
Applying this to the question;
cost of equity - 1.00/(20×(1-0.1) )+ 0.05
= 10.6%
Cost of equity = 10.6%
