The three formal communication channels in organizations are categorized as ___

three-fourths of the burden, and sellers bear one-fourth of the burden. b. one-half of the burden, and sellers bear one-half of

zubka84 [21]

The correct option is: For each unit of the good that is sold, buyers bear one-half of the tax burden and sellers bear one-half of the tax burden.

Explanation:

Incidence of tax is a term referred in economics which deals with division of taxes. Tax incidence refers to division of tax among the buyer and seller for a product. The tax incidence is related to the price elasticity of supply and demand.

When a product is sold, the buyer of the product is charged with one-half of the tax burden and the seller of the product bears the other-half of the tax burden.

The incidence of tax can be observed in two ways:

i) Formal incidence

ii) Effective incidence

7 0

4 years ago

The Vogt corporation paid a dividend of $4.20 on its stock in the year just ended. If the dividends are projected to grow at a r

Jet001 [13]

Answer:

cost of equity = 13%

Explanation:

With the info given, we will use cost of equity formula from Dividend Growth Model. THis is given by:

$k_e=\frac{D_1}{P_0}+g$

Where D_1 is the next year dividend or D_1 = D_0(1+g)

P_0 is current stock price

g is the growth rate

Since D_0 (dividend this year) is 4.20 and g = 6.4% or 0.064, we can calculate D_1:

$D_1=D_0(1+g)=4.2(1+0.064)=4.47$

Current share price is 68, so we can now calculate cost of equity:

$k_e=\frac{4.47}{68}+0.064=0.13$

Hence,

cost of equity = 13%

8 0

4 years ago

Last year a country’s real GDP grew by 4%, it’s inflation rate was 2.5%, and it’s government budget deficit was about $250 billi

Arturiano [62]

Answer:

d. 3.85 trillion

Explanation:

Step 1: Given data

GDP = GDP grew by = 4% = 0.04

R = inflation rate was = 2.5% = 0.025

D = government budget deficit was = $250 billion

Step 2: Formula

X = debt at the start of last year

X = D / (GDP + R)

Step 3: Computation

X = 250 billion / (0.04 + 0.025)

X = 250,000,000,000 / 0.065

X = 3,846,153,846,153.85

Step 4: Convert to trillion

X = 3,846,153,846,153.85 / 1,000,000,000,000

X = 3.85 trillion

The correct option is d. 3.85 trillion

Hope this helps!

5 0

3 years ago

Consider the following two projects. Both have costs of $5,000 in Year 1. Project 1 provides benefits of $2,000 in each of the f

frutty [35]

Answer:

1. Compute the net benefits using a discount rate of 6 percent.

Net befit of Project 1 = $629.04

Net befit of Project 2 = $1,578.47

2. Repeat using a discount rate of 12 percent.

Net befit of Project 1 = $339.38

Net befit of Project 2 = - $373.39

3. What can you conclude from this exercise?

(a) Project 2 should be chosen when the discount rate is 6 percent.

(b) Project 1 should be chosen when the discount rate is 12 percent.

Explanation:

Note: See the attached excel file for the calculations of net benefits for Project 1 and Project 2.

3. What can you conclude from this exercise?

(a) When a discount rate of 6 percent is used, both Project 1 and Project 2 have positive net benefit. But the net benefit of Project 2 of $1,578.47 is higher than the net benefit of Project 1 of $629.04.

Therefore, project 2 should be chosen when the discount rate is 6 percent.

(a) When a discount rate of 12 percent is used, only Project 1 has a net benefit of $339.38, but the net benefit of Project 2 is negative at minus $373.39.

Therefore, project 1 should be chosen when the discount rate is 12 percent.

Download xlsx

6 0

3 years ago

If data aggregation is the goal of collecting the data, ______ are the best choice.

Jobisdone [24]

The answer for the blank pace is:
"Classifications"
The full sentence will be read as follow:

If data aggregation is the goal of collecting the data, Classifications are the best choice.

Data aggregation means a process where information is gathered and expressed in a summary form, and the purposes include many such as statistical analysis etc.

8 0

4 years ago

The three formal communication channels in organizations are categorized as ____.