This question is to complex. In Order for this to be answerable you would need to put it into chunks
Answer:
D. To keep our costs low and our prices competitive, Nelson Hardware only offers refunds for unused merchandise returned within 30 days with a receipt.
Explanation:
It is challenging to present bad news effectively. The managers or leaders have to deal with it in their day-to-day activities.
A. The first option is a direct "No". Therefore it is a piece of direct lousy news. It cannot represent an effective way of presenting bad news.
B. The second option tells the situation from the formal way of showing bad news. However, it does not represent any effectiveness.
C. The third choice shows the negative form of acknowledging faulty news. In this case, bad news becomes worse.
E. The last option suggests the same way as the first choice represents.
D. The fourth choice shows courtesy, formal business communication, and effectiveness by reasonably saying all the things. Therefore, when the conversation represents the formal business exercise or application, it presents a piece of bad news effectively.
Answer: Disadvantage of -$5,800
Explanation:
Incremental sales revenue if processed further and sold = (12 - 10) * 2,200
= $4,400
Additional cost = $10,200
Financial Advantage(Disadvantage) = Incremental revenue - Additional cost
= 4,400 - 10,200
= -$5,800
Answer and Explanation:
The computation of the maturity of the bond is as follows;
When the bond sales at par that means the future value is equivalent to the present value. Also the par value is considered as a future value and we assume the par value be $1,000. Also the coupon rate and the market rate is the same i.e. 10%
Now
Present value = $1,000
Future value = $1,000
PMT = 10% of $1,000 = $100
RATE = 10%
The formula is shown below:
= NPER(RATE;PMT;-PV;FV;TYPE)
The present value comes in negative
After applying the above formula, the maturity would be
As it shows #VALUE so it is not able to find therefore the maturity would be equal to the par value i.e. $1,000
Answer:
Following are the factors in the economy that affects the cost of money:
- Inflation
- Required return of the investors on the additional risk
- Systematic risk in the economy
- Duration of lending
- Credit Spread
Explanation:
If the inflation rate increases then the required return would be compensation for inflation and required return.
The higher is the risk associated with the investment the higher would be the investor's required return.
According to the Capital Asset Pricing Model, the company compensates the investor for the systematic risk, not for the unsystematic risk that he faces because CAPM assumes that the investor has diversified portfolio of investment.
If the amount lend is for greater duration, then there is a risk that the borrower will default payments. There is another explanation which is that there is higher chances of loss of opportunity due to lending amount for greater duration.
Credit Spread is the measure of the risk that the company will be unable to pay interest on loan or principal amount or both. So as we know higher the risk associated with the investment, the higher is the Required return demanded by the investors.
