1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Alenkasestr [34]
3 years ago
11

Old Town Industries has three divisions. Division X has been in existence the longest and has the most stable sales. Division Y

has been in existence for five years and is slightly less risky than the overall firm. Division Z is the research and development side of the business. Given this, the firm should probably :a. require the highest rate of return from Division X since it hos been in existence the longest b. assign the highest cost of capital to Division Z because it is most likely the riskiest of the three divisions c. use the firm's WACC as the cost of capital for Division Z as it provides analysis for the entire firm.d. use the fim's WACC as the cost of capital for Divisions e. allocate captal funds evenly amongst the divisions to maintain the current capital structure of the firm A and B because they are part of the revenue-producing operations of the firm.
Business
1 answer:
Mekhanik [1.2K]3 years ago
7 0

Answer:

b. assign the highest cost of capital to Division Z because it is most likely the riskiest of the three division.

Explanation:

The Old Town Industries will assign highest cost of capital to Division Z because it is research and development side of business. The research will incur high cost to the company. Only the research cost which meets certain conditions it will be capitalized as development costs. This Division Z is riskiest and incurs a large amount of expense for planned search of new technologies.

You might be interested in
Your company decides to use internal sources for developing new product ideas. Which of the following would not be a common inte
Fed [463]

Answer: (D) Suppliers

Explanation:

 According to the given question, the organization using the various types of internal sources as it helps in developing the various types of new products ideas in the market.

The supplier is one of the common internal source in an organization as it helps the employees for encourage them for developing various types of new ideas and concepts.

The organization basically developing various types of new ideas by the formal research process and also through the development. Therefore, Option (D) is correct answer.

5 0
3 years ago
Melanie is working in a laboratory and spills a bottle of reagent which sources would most likely tell her how to clean the spil
I am Lyosha [343]
<span>The lab teacher would be one resource that could be asked, since they are likely experienced in the use and disposal of the reagent. Also, in other instances, the Material Safety Data Sheets could be accessed, since they will have all the steps required for handling, disposal, and cleaning of the reagent, and any hazards that need to be accounted for in the cleaning-up process.</span>
7 0
3 years ago
Which of the following is an advantage of first movers? Group of answer choices they are not prone to mistakes they have an oppo
joja [24]

Answer:

they have an opportunity to exploit network effects and positive feedback loops

Explanation:

The first mover advantage refers to competitive advantages that can be achieved by a firm that first enters a market or launches a new product first. E.g. Volkswagen has a first mover advantage in China because it was the first foreign car manufacturer to successfully a car factory there. Another type of first mover advantage would be the ones obtained by Apple for launching the first smartphone.

Network effects refers to a good or service becoming more valuable because more people purchase or use them, e.g. social media apps.  

Positive feedback loops occurs when a company's output is used as a positive input in the productive system, e.g. when a company uses information gathered by customer service (CRM) to improve the products or services it offers.

6 0
3 years ago
Rouse Corporation's December 31, 2012 balance sheet showed the following: 8% preferred stock, $20 par value, cumulative, 20,000
Scorpion4ik [409]

Answer:

See bellow

Explanation:

With regards to the above, Rouse total stockholder's equity is computed as;

= Preferred stock + common stock + paid in capital in excess of par (preferred stock and common stock) + retained earnings - Treasury stock

= $150,000 + $1,950,000 + $60,000 + $27,000,000 + $7,650,000 - $630,000

= $53,730,000

7 0
3 years ago
An established process for assessing quality of care or services in which an organization demonstrates that it meets a set of mi
Hunter-Best [27]

Answer:

Quality assessment

Explanation:

Quality assessment is a set of processes that is used to ensure progressive improvement in health care delivery by evaluating structure, process, and outcome in a health care organisation.

Quality standards are set for different criteria and the quality assurance officer follows certain steps to ascertain if minimum standard is being met.

If however the quality standard is below expectations, Tha cause is determined with a view of making improvement.

4 0
2 years ago
Other questions:
  • The demand for seats in 10
    9·1 answer
  • Process redesign: a. is the fundamental rethinking of business processes. b. is sometimes called process reengineering. c. tries
    9·1 answer
  • If lucinda has only $18 to spend and the price of kewpie dolls and the price of beanie babies are both $6, how many of each woul
    12·1 answer
  • Suppose the economy is operating at an output of $4,000 billion. Assume furthermore that potential output is $5,000 billion and
    15·1 answer
  • What type of body language are helpful when saying no to a situation
    6·1 answer
  • Select two skills from the list in the article that you feel you have to offer in the workplace . Discuss the importance of thes
    5·1 answer
  • Bretthauer Corporation has provided data concerning the Corporation's Manufacturing Overhead account for the month of July. Prio
    5·1 answer
  • Kava Inc. manufactures industrial components. One of its products, which is used in the construction of industrial air condition
    8·1 answer
  • Which of the following is an example of synthesizing?
    13·2 answers
  • Outdoor fitness posted $1.2 million in sales on account in December. Which division of the accounting department is responsible
    6·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!