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nata0808 [166]
3 years ago
9

A small change in the rate of productivity growth will have a large impact on output in the short run but a small impact in the

long run
a. True
b. False
Business
1 answer:
Anna35 [415]3 years ago
4 0
<span>False A change in productivity growth is similar to compounded interest. A small change has a small effect in the short run because it is a small change. However as time goes on the effect accumulates and the difference "compounds" upon itself.</span>
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Which of these should you consider while communicating in a diverse workplace?
Ivahew [28]

Answer:

A. Culture

Explanation:

Culture is very important and is reflective of how people communicate and etc. For example, the big business setting in China differs from America, so you would want to know how to be respectful of their culture. In China, when giving and receiving business cards, you have to accept it with two hands, not one hand. Failure to do so will cause you to look rude!

I hope this helps clear things up!

6 0
3 years ago
Under which condition does a country with a small GDP have a large per capita income?
Ket [755]
When it has a small population
5 0
2 years ago
Rossdale Co. stock currently sells for $72.87 per share and has a beta of 1.22. The market risk premium is 7.10 percent and the
Paul [167]

Answer:

Cost of Equity =11.56%

Explanation:

The cost of equity can be determined using any of the following methods:

  1. The Dividend Valuation Model(DVM)
  2. Capital Asset Pricing Model (CAPM)

The Dividend Valuation Model(DVM) is a technique used to value the worth of an asset.

According to this model, the value of an asset is the sum of the present values of the future cash flows would that arise from the asset discounted at the required rate of return.  

Price = D/Kp

D- Dividend payable

Kp- cost of preferred stock

The capital asset pricing model (CAPM): relates the price of a share to the market risk or systematic risk. The systematic risk is that which affects all the all the economic agents, e.g inflation, interest rate e.t.c  

This CAPM is considered superior to DVM because it incorporates risk. Hence, we will use the CAPM  

Using the CAPM , the expected return on a asset is given as follows:  

E(r)= Rf +β(Rm-Rf)  

E(r) =? , Rf- 2.90%, Rm-Rf- 7.10% β- 1.22

E(r) = 2.90% + 1.22×(7.10)% = 11.562  %

Cost of Equity =11.56%

7 0
2 years ago
Your parents have made you two offers. The first offer includes annual gifts of $5,000, $6,000, and $8,000 at the end of each of
expeople1 [14]

Answer: $16,707

Explanation:

Given the given discount rate of 6.2%, the minimum amount that we shall accept today is the Present Value of the annual cashflows,

PV = \frac{5000}{1.062} + \frac{6000}{(1.062)^{2} } + \frac{8000}{(1.062)^{3} } = $16,707

7 0
3 years ago
Elizabeth Pie Company has been in business for 50 years and has developed a large group of loyal restaurant customers. Giant Bak
zlopas [31]

Answer:

goodwill = $195,000

Explanation:

goodwill = offered purchase price - fair value of assets - fair value of patents = $5,100,000 - $4,600,000 - $305,000 = $195,000

Customer loyalty is part of a company's goodwill, so it will not be included in this calculation. Goodwill is the difference between the acquisition price of a company and the fair value of its assets.

7 0
2 years ago
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