Answer:
<u>sell the stock which will drive it's expected return even lower.</u>
Explanation:
An investor wants to be compensated for the risk undertaken in the form of return. When investors believe that a stock is not providing sufficient return, such stocks would be sold by the investor.
When a stock is not performing well i.e it's current market price goes down, all the investors holding that stock will sell it , leading to it's market price going further down.
Since the market price goes further down, the expected return on such a stock would further decline.
Answer:
a) Total Interest Paid in 24 months is $1680
b) Total Cost of the car is $12180
c) Monthly Payment is $420
d) Annual Percentage Rate is 10.47%
Explanation:
(a) Loan Amount = $8400
Interest Rate = 10%
Monthly Interest = 8400 x (10%/12)
= $70
Total Interest Paid in 24 months = 24 x 70
= $1680
(b) Total Cost of the car = Loan Amount + Interest Paid + Down payment
= 8400 + 1680 + 2100
= $12180
(c) Monthly Principal Payment = 8400/24
= $350
Monthly Payment = Monthly Interest Payment + Monthly Principal Payment
= 70 + 35
= $420
(d) Annual Percentage Rate = (1+ 0.10/12)12 - 1
= 0.1047
= 10.47%
Answer:
B) rs > WACC > rd.
Explanation:
The formula to compute WACC is shown below:
= Weightage of debt × cost of debt × ( 1- tax rate) + (Weightage of preferred stock) × (cost of preferred stock) + (Weightage of common stock) × (cost of common stock)
As we know that the risk of equity in comparison to debt is more. And the return in respect of equity is received as an interest whereas for the debt it is received as a dividend.
And, The WACC has come between debt and equity
What page the ad will be located on in the publication are all decisions involving the PR and the Editorial boards.
Explanation:
The positioning of advertisements on a publication is something that is usually pre decided by the firm for the spots according to the preferences they give to certain clients during an ad cycle and in special cases, they make amends to these policies.
These policies are drawn up by the PR team in accordance with the Editorial team to make sure to have proper and required space to run ads to the maximum profit of all the beneficiaries and to give attractive spots to lure more cosponsors.
Answer: Megacities
Explanation:A megacity is a city with the population of over ten million. Most of the megacities are located in Asia, Europe and North America.
