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GrogVix [38]
3 years ago
14

Cindy has just opened a hair salon and wants to bring more customers in. She's just starting out so she doesn't having anything

free to offer, but she can adjust her regular prices if it will increase her overall sales. Which sales promotion is she considering?
Business
2 answers:
valentinak56 [21]3 years ago
8 0

Answer:

Discount

Explanation:

ELEN [110]3 years ago
3 0

Answer:

Discount

Explanation:

You might be interested in
11. If you want to have a return for your Final Portfolio (that is invested between Optimal Risky portfolio and Risk Free Securi
melamori03 [73]

Answer:

Answer is explained in the explanation section.

Explanation:

Note: First of all, this question is incomplete and lacks necessary data to calculate this question. However, I have found the similar question on the internet with complete data given. Additionally, I have shared that data as well in the attachment below for your convenience, Thanks.

Solution:

SD = Standard Deviation

Using utility function, E(R) = Rp - 0.005 x A x SD^{2} = 1.34 - 0.005 x 3x 4.06^{2}

Using utility function, E(R) = 1.093%

If the weight in the risky portfolio is let's say, "a" then,

weight in the risk-free asset = 1 - a

So,

E(R) = a x Rp + (1 - a) x Rf

1.093% = a x 1.34% + (1 - a) x 0.50%

Solving for "a"

a = 70.56% - weight in risky portfolio

and 1 - a = 29.44% - weight in risk-free asset.

Similarly, if you want a return of 1.10%,

we can follow the above steps and get

1.1% = a x 1.34% + (1 - a) x 0.5%

Weight in risky portfolio,

a = 71.43%

weight in risk-free asset,

1 - a = 28.57%

5 0
2 years ago
"the telling style of leadership has a ________ feature."
Shkiper50 [21]
Hi Laight6069, 

The telling style of leadership has a <span>high-task, low-relationship feature.</span>
5 0
3 years ago
____ consumption occurs when consumers "set apart" objects and events from normal activities and treat them with respect. ____ c
solong [7]

Answer:

  • Sacred consumption
  • Profane consumption

Explanation:

This differentiation is based on special religious events (e.g. religious holidays) that considered some goods as sacred, while profane had to do with everyday life.

Some modern marketing strategies try to build sacred brands. For example, Google has become our God of all knowledge and no one even dares to challenge that almost religious belief. Anyone can make their own coffee or buy coffee at any coffee shop, but Starbucks is different, it has built a sense of emotional connection with the public. It's not any coffee that we need or want.  

6 0
3 years ago
(Advanced analysis) Answer the question on the basis of the following information for a mixed open economy. The letters Y, Ca, I
son4ous [18]

Answer:

The correct option is c. raise G by $30 or reduce T by $40.

Explanation:

Note: This question is not complete. The complete question is therefore provided before answering the question as follows:

(Advanced analysis) Answer the question on the basis of the following information for a mixed open economy. The letters Y, Ca, Ig, Xn, G, and T stand for GDP, consumption, gross investment, net exports, government purchases, and net taxes respectively. Figures are in billions of dollars.

Ca = 25 + 0.75(Y - T)

Ig = Ig0 = 50

Xn = Xn0 = 10

G = G0 = 70

T = T0 = 30

Refer to the information. If government desired to raise the equilibrium GDP to $650, it could:

a. raise G by $45 or reduce T by $10.

b. raise G by $40 and reduce T by $30.

c. raise G by $30 or reduce T by $40.

d. raise both and T by $40.

e. reduce G by $30 and increase T by $40.

The explanation of the answer is now provided as follows:

Equilibrium GDP (Y) can be obtained as follows:

Y = C + G + I + Xn …………………….. (1)

Substituting all the values in the question into equation (1) and solve for Y, we have:

Y = 25 + 0.75(Y - 30) + 70 + 50 + 10

Y = 0.75Y - 22.50 + 155

Y – 0.75Y = 132.50

0.25Y = 132.50

Y = 132.50 / 0.25

Y = 530

Therefore, we have:

Y = Current equilibrium GDP = $530

Amount of increase in equilibrium GDP required = Desired equilibrium GDP – Current equilibrium GDP = 650 - 530 = 120

From the question, we have:

Ca = 25 + 0.75(Y - T) ………………. (2)

The 0.75 in equation (2) is the marginal propensity to consume (MPC). Therefore, we have:

MPC = 0.75

Expenditure multiplier = 1 / (1 - 0.75) = 4

Tax multiplier = - MPC / (1 – MPC) = -0.75 / (1 – 0.75) = -3

Amount of increase in G or government expenditure required = Amount of increase in equilibrium GDP required / Expenditure multiplier = 120 / 4 = $30

Amount of tax cut or decrease in T required = Amount of increase in equilibrium GDP required / Tax multiplier = 120 / (-3) = -$40

Therefore, correct option is c. raise G by $30 or reduce T by $40.

4 0
3 years ago
Simon Software Co. is trying to estimate its optimal capital structure. Right now, Simon has a capital structure that consists o
lidiya [134]

Answer:

14.35%

Explanation:

Simon Software Co

rs= 12%

D/E = 0.25

rRF= 6%

RPM= 5%

Tax rate = 40%.

We are going to find the firm’s current levered beta by using the CAPM formula which is :

rs = rRF+ RPM

12%= 6% + 5%

= 1.2

We are going to find the firm’s unlevered beta by using the Hamada equation:

=bU[1 + (1 −T)(D/E)]

Let plug in the formula

1.2= bU[1 + (0.6)(0.25)]

1.2=(1+0.15)

1.2= 1.15bU

1.2÷1.15

1.0435= bU

We are going to find the new levered beta not the new capital structure using the Hamada equation:

b= bU[1 + (1 −T)(D/E)]

Let plug in the formula

= 1.0435[1 + (0.6)(1)]

=1.0435(1+0.6)

=1.0435(1.6)

= 1.6696

Lastly we are going to find the firm’s new cost of equity given its new beta and the CAPM:

rs= rRF+ RPM(b)

Let plug in the formula

= 6% + 5%(1.6696)

= 14.35%

3 0
3 years ago
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