Answer:
Profit earning ratio of MMC = 10%
Explanation:
Given:
Current stock price = $100
Yearly profit on each share = $10
Profit earning ratio (P\E ratio) =?
Computation of profit earning ratio:
Profit earning ratio (P\E ratio) = Current stock price / Yearly profit on each share
Profit earning ratio (P\E ratio) = $100 / $10
Profit earning ratio (P\E ratio) = 10
It is computed that MMC's Profit earning ratio is nearer to the industry averages P/E ratio so, the investor can wait for some time to purchase this stock.
Answer: C. II and III
Explanation:
Under the Security Act of 1933, new corporate bond issues of such high amounts are not exempt from the Act and so need to be registered with the Securities and Exchange Commission (SEC).
Also, as the amount exceeds $50,000,000, the issue is subject to the Trust Indenture Act of 1939 which states that the issuer should include certain protective provisions that are recommended by the SEC in order to protect bondholders. The adherence to these covenants will then be monitored by an independent trustee that is to be appointed by the Issuer.
Answer:
D. All the above are legal tactics that the union can use to pressure management to accept the union's position on an issue.
Explanation:
Each and everyone one of the options mentioned above are tactics adopted by the union in pressuring management to accept their position on most of the issues which they have or are arguing about.
