Answer:
c. achieve greater market power.
Explanation:
Acquisitions to meet a market power objective generally involve buying a supplier, a competitor, a distributor, or a business in a highly related industry. Though a number of firms may feel that they have an internal core competence, they may be unable to exploit their resources and capabilities because of a lack of size.
Risk premium.
The risk premium is the difference between the required discount rate and the risk-free rate, as measured by T-bills. This risk premium is important for computing the CAPM and other portfolio management equations.
Answer: function---B
Explanation:Staples has found it pays to departmentalize by _function______.
This means that Staples will supply its products according to the function of various departments ie according to the activities performed or carried out by such department since it has found out that it is beneficial to the company
for eg, Quill is a subsidiary of Staples supplies medical supplies to doctor:s offices.
Answer:
D. 10.0%
Explanation:
As the bank reqiresd 10% compensating balance the actual amount unrestricted for the loan is 48,000 x (1 - 10%) = 43,200
and from this amount we have to solve for the effective rate:
principal x rate = interest
48,000 x 0.09 = 4,320
now we divide the interest over the actual principal to know the effective rate:
4,320 / 43,200 = 0.10 = 10%
Answer:
d.) $38,000
Explanation:
Given that
Acquired value of the plant = $190,000
Recovery period = 5 years
So according to section 179, the total deduction is limit to the 1 by 5 i.e useful life or recovery period of acquired price or purchase price
So, the amount is
= Acquired value of the plant ÷ recovery period
= $190,000 ÷ 5 years
= $38,000
By dividing the acquired value with the recovery period we can get the maximum deduction