<!--td {border: 1px solid #ccc;}br {mso-data-placement:same-cell;}--><span>The unwritten body of universal moral principles that underlie the ethical and legal norms by which human conduct is sometimes evaluated and governed. Natural law is often contrasted with positive law, which consists of the written rules and regulations enacted by the government. Philosophers of natural law are known as naturalists.
Naturalists believe natural law principles are part of nature and exist in their own right, independent of human systems. Naturalists believe governments need to involve natural law principles into their systems.</span>
Answer: " People face off trade offs"
Explanation:
" People face trade-offs" best describe the decision. So, there is a trade-off between studying for the final exam on a next day and enjoying a party. I can take the advantage of the one decision only if i left out the other decision as it is.
It clearly shows that if a people wants to get something from the one component then they have to sacrifice the other component.
Answer:
a.cost of common equity is 14.40%
b.WACC is 10.62%
c.Midwest Electric Company should accept project A since it has a rate of return higher than WACC of 10.62%
Explanation:
The cost of common equity can be ascertained using the stock price formula and changing the subject of the formula to r(cost of common equity)
Stock price=Do*(1+g)/(r-g)
stock price is $20
g is the dividend growth rate at 4%
Do is the dividend just paid $2
20=2*(1+4%)/(r-4%)
20=2.08/r-4%
20(r-4%)=2.08
r-4%=2.08/20
r=(2.08/20)+4%
r=14.40%
WACC=Ke*E/V+Kd*D/V*(1-t)
Ke is the cost of equity of 14.40%
E is the 55% or 0.55
D is 45% or 0.45
V=E+D=045+0.55=1
Kd is the cost of debt which is 10%
t is the tax rate at 40% or 0.40
WACC=14.40%*0.55/1+10%*0.45/1*(1-0.4)
WACC=(14.40%*0.55/1)+(10%*0.45/1*0.6)
WACC=10.62%
Midwest Electric Company should accept project A since it has a rate of return higher than WACC of 10.62%
Answer:
Explanation:
manager
'Sell' the decision to operating managers; get their understanding and cooperation.
Answer:
A monopolistically competitive industry is characterized by
a. many firms selling products that are similar but not identical.
Explanation:
A monopolistic competition is a form of imperfect competition with many firms operating in the industry. For such an industry, the goods or services are differentiated, such that one firm's goods or services can easily be associated with the producer. This is mostly achieved through branding and the use of trademarks. Each firm, therefore, competes with many other competitors, but they limit their competition by differentiating their products so that consumers would have preference for one against the other, depending on their perceived value.