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djverab [1.8K]
2 years ago
9

Typically, the firms' lowest cost source of financing is ____________ as its cost is tax deductible and it also tends to offer t

he least amount of risk for investors. Group of answer choices Debt Preferred Equity Derivatives Common Equity Equity
Business
1 answer:
Finger [1]2 years ago
6 0

Answer:

Debt

Explanation:

Debt is the lowest cost source of financing because the <em>interest</em> return given to holders of debt has a <em>tax shield</em> (tax deductible) that is provided by the Section 11j  of the Income tax Act.

The other sources of finance give a return in form of <em>dividends</em>. Dividends are are not tax deductible hence they attract a huge cost.

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A product priced at $5 has annual sales of 1,000 units. When price is reduced to $4, quantity increases to 1,250 units. Other th
AURORKA [14]

Answer:

Unitary

Explanation:

Price elasticity of demand is demand is defined as a measure of how sensitive quantity of a product demanded is sensitive to changes in price.

Usually an increase in price results in a reduction in quantity demanded, and reduction in price results in an increase in quantity demanded.

Using the midpoint method of calculating price elasticity

Price elasticity = (change in quantity demanded) ÷ (change in price)

Change in quantity demanded = (1000-1250)/(100+1250)/2

Change in quantity demanded = -0.2222

Change in price = (5-4) / (5+4)/2

Change in price = 0.2222

Price elasticity = -0.2222 ÷ 0.2222 = -1

Therefore price elasticity is unitary.

Unitary elasticity means that a a percentage change in price results in equal percentage change in quantity demanded

4 0
2 years ago
Nicole is considering opening a Roth Individual Retirement Account. If she invests into the Roth IRA, determine the amount in th
Komok [63]

$180,488.86 will be the amount in her account in 30 years

3 0
3 years ago
Read 2 more answers
Identify the change in the parent function that will produce the related function shown as a dash line. f(x)= √ x
hichkok12 [17]

Answer:

g(x) = 2 + \sqrt x

<em>Translate the parent function, 2 units upward</em>

Step-by-step explanation:

Given

f(x) = \sqrt x

See attachment for the graph

 

Required  

Determine the change in f(x) that gives the dashed line

Let the dash line be represented with g(x)

From the attachment, there is only one transformation from f(x) to the g(x).

When f(x) is translated 2 units vertically upwards , it gives g(x); the dash line.

If

f(x) = \sqrt x

Then g(x) is:

g(x) = 2 + f(x)

g(x) = 2 + \sqrt x  

5 0
2 years ago
assume that two firms are both following generally accepted accounting principles. both firms commenced operations two years ago
Igoryamba

The statement is False as when the balance sheets for the two companies are submitted to investors, they are not obligated to disclose the same amount of net fixed assets.

The Property, Plant, and Equipment classification is used to categorize fixed assets on a company's balance sheet. The cost of fixed assets is decreased on the balance sheet by depreciating them over the course of their useful lives in order to account for wear and tear. Both firms started off with $1 million worth of identical fixed assets when they first opened their doors two years ago, and neither one has sold or added any new ones. So, they are not supposed to report the same amount of fixed assets to investors since there is an absence of asset purchases.

Both current assets and fixed assets are listed on the balance sheet, with current assets intended for use immediately or for cash conversion and fixed assets for longer-term usage (more than one year).

Learn to know more about Accounting principles on

brainly.com/question/18006164

#SPJ4

8 0
8 months ago
if there is a major problem in a country that leads to the rapid withdrawal of foreign investment, this is known as​
sukhopar [10]

<u>Answer:</u>

<em>If there is a major problem in a country that leads to the rapid withdrawal of foreign investment, this is known as​ International financial crisis </em>

<em></em>

<u>Explanation:</u>

The financial crisis was mainly brought about by deregulation in the budgetary business. That allowed banks to participate in support investments exchanging with subordinates. Banks, at that point, requested more home loans to help the productive clearance of these subordinates. They made intrigue credits that got moderate to subprime borrowers.

Big banks had the assets to become modern at the utilization of these convoluted subordinates. The money with the most muddled monetary items got the most cash flow.

5 0
2 years ago
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