A business plan.
A business plan is a comprehensive tool to plan out aspects of your idea so that you have a smart strategy when you decide to make it a reality.
Answer:
corporate social responsibilities
Explanation:
Corporate Social Responsibility refers to the form of global self-regulation for private companies aimed at contributing to community objectives of an entrepreneurial, political, or humanitarian type or by participating in or promoting voluntary or ethically focused action.
Although before it was easy to explain CSR as an inner organizational practice or a business ethics technique, the period followed when different international legislation were established and different organizations used their power to move beyond person and even sector-wide programs.
Although it has long been known a type of organizational self-regulation, it has changed significantly over the past decades from voluntary actions at just the individual level companies to compulsory systems at local, domestic and international scale.
Answer:
Stock B has a standard deviation of 14%. The portfolio contains 40% of stock A, and the correlation coefficient between the two stocks is -.23. A) 9.7% B)
Explanation:
Stock B has a standard deviation of 14%. The portfolio contains 40% of stock A, the portfolio contains 60% of stock B, and the correlation coefficient between the two stocks is -.23. A. 9.7% B. 12.2% C. 14% ... The standard deviation of return on investment A is .10, while the standard deviation of return on investment B is .05.
Answer:
The value of the firm or worth of the firm is $147058.82 rounded off to 2 decimal places
Explanation:
We first need to calculate the required rate of return for this firm that will be used as the discount rate in the valuation of the firm using the discounted cash flow methods.
Using the CAPM we can calculate the required rate of return as,
r = rRF + Beta * (rM - rRF)
Where,
- rRF is the risk free rate
- rM is the return on Market
So,
r = 0.04 + 0.4 * (0.11 - 0.04)
r = 0.068 or 6.8%
As the cash flows the firm can generate are expected to remain constant through out and they are generated after equal interval of time, this can be treated as a perpetuity.
The present value of a perpetuity is calculated as follows,
Present Value of perpetuity = Cash Flow / r
Present value of perpetuity = 10000 / 0.068
Present value of perpetuity = $147058.8235
So, the value of the firm or worth of the firm is $147058.82 rounded off to 2 decimal places