<u>Explanation:</u>
According to the equity theory it will improve efficiency and productivity of his performance. Equity theory of motivation suggests that the employees will be motivated by fairness. Jim is salaried employee when he finds that he is paid more than colleagues he will try to work hard to prove that quality of his work is better than his peers.
On the contrary if he knows that everyone is equally paid but feels if he does a lot of work then he would take things lightly and would not show productivity.
Answer:
Explanation:
Net Income = 20m
Sales = 100m
Debt-equity ration = 40%
Asset turnover = 0.60
A)
Profit Margin = Net Income / Sales = $20 million / $100 million = 20%
Equity Multiplier = 1 + Debt-Equity Ratio = 1 + 0.40 = 1.40
Return on Equity = Profit Margin * Asset Turnover * Equity Multiplier = 20% * 0.60 * 1.40 = 16.80%
B)
Debt-equity ratio = 60%
Equity Multiplier = 1 + Debt-Equity Ratio = 1 + 0.60 = 1.60
Return on Equity = Profit Margin * Asset Turnover * Equity Multiplier = 20% * 0.60 * 1.60 = 19.20%
As calculations provide, if debt-equity ratio increases to 60%, Return on equity will increase by 2.40% (19.20% - 16.80%)
He should either take a bank loan or family funds.
in my opinion, he should go with family funds because of the more flexibility of repayment
Answer:
c. a small number of firms are acting strategically.
Explanation:
The Firms in oligopoly can influence market outcome and thus they act strategically to achieve the expected outcome.
Answer:
Check the explanation
Explanation:
Margin when it comes to business and commerce generally means the difference or variation between the vendor's expenditure for purchasing the products and the selling price. A margin emerges as a form percentage of net sales profits.
A step by step solution and completed diagram is in the attached image below.