Expected rate of return is defined as the amount of money an individual gets on investment.
<h3>What is expected return?</h3>
The expected return is the amount of profit or addition on money invested that an individual who is an investor is expected to get after a periods of time on the investment.
Therefore, expected rate of return is defined as the amount of money an individual gets on investment.
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Answer:
See explanation section
Explanation:
The difference between buying shares and buying bonds are as follows:
1. Buying stock gives a person to own the company while buying a bond that provides a person to become a debt-holder of the company who can receive interest and get the entire amount in the future.
2. Purchasing stock gives an individual the voting right to elect the board of directors of a company. Buying bonds does not give voting rights to the bondholders.
3. Stock owners can receive the profit in the name of dividends. Bondholders do not receive any profit. Instead, they receive interest annually.
Answer:
About the Lagrangian method,
We can use it to solve both consumer's utility maximization and firm's cost minimization problems.
Explanation:
Lagrangian method is a mathematical strategy for finding the maxima and the minima of a function subject to equality constraints. Equality constraints mean that one or more equations have to be satisfied exactly by the chosen values of the variables. Named after the mathematician, Joseph-Louis Lagrange, the basic idea behind the Lagrangian method is to convert a constrained problem into a Lagrangian function.
Explanation:
It is correct to say that we live in a globalized world, where there is a lot of competition in the business market and where the flow of information occurs very quickly. Therefore, there is a greater demand from society for companies to be active promoters of practices that will lead to the development of society and the maintenance of scarce natural resources.
Companies that act in an environmentally responsible manner will obtain the benefits of certifying to their stakeholders that they are active agents of transformation and prevention of the environment, which can be accomplished through environmental certifications, environmental management systems, compliance with environmental legislation, etc. , which ensures that companies have a better positioning in the market, attracts more consumers and investors, in addition to improving production processes with environmental management systems, which promotes continuous improvement in the company, reducing costs and waste.