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Ksivusya [100]
3 years ago
5

Prextos Corp., after incurring losses, decides to move its manufacturing unit to a foreign location where it would get labor at

cheaper rates. This way it plans to make profit. In this scenario, Prextos is planning to employ _____ to cut down its losses.
Business
1 answer:
Darya [45]3 years ago
7 0

Answer:

Offshoring

Explanation:

offshoring is the  process of  moving an aspect of a business process overseas with the intention of  reducing cost.

A firm can move its manufacturing process from its own parent country to another country (usually where the  labour rate and cost of raw materials is cheap compared to what it obtainable in its home country) in other to  reduce  its cost of production thereby increasing its added value.

From the above explanation, we can conclude that Prextos is planning to employ  Offshoring to cut down losses.

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2 years ago
Which of the following best represents the pricing behavior of firms in a monopolistically competitive industry?
allochka39001 [22]

Answer:

The correct answer is option B.

Explanation:

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3 0
2 years ago
American Hat has $1,000 face value bonds outstanding with a market price of $1,150. The bonds pay interest semiannually, mature
Aneli [31]

Answer:

Current Yield of bond is 3.53%

Explanation:

Current yield is the ratio of coupon payment of a bond to its current market price.

Formula for Current yield is as follow

Current Yield = Annual Coupon payment / Current market price

First we need to calculate the coupon payment by using following formula

YTM = [ C + ( F - P ) / n ] / [ ( F + P ) / 2 ]

5.8%/2 = [ C + ( $1,000 - $1,150 ) / 16 ] / [ ( $1,000 + $1,150 ) / 2 ]

2.9% = [ C + ( $1,000 - $1,150 ) / 16 ] / [ ( $1,000 + $1,150 ) / 2 ]

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1,075 x 2.9% = C - $9.375

31.175 = C - 9.375

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