Answer:
The third option appears to be the best answer
Explanation:
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According to the graph A + B + C + D + E + F + G it represent the amount of consumer surplus domestic consumers will enjoy after the tariff has been imposed.
<h3>What concept will be applied when the domestic nation acts as a price taker, and its consumption and production have no impact on the global price?</h3>
Due to its tiny size in comparison to global markets, the domestic market is a price taker, and neither its production nor consumption affects global prices. Therefore, the nation uses the international price as the domestic price for any good, service, or resource.
<h3>
What distinguishes a tariff imposed by a big country from a small country's tariff?</h3>
Due to its size, the huge nation's tariff not only lowers the amount of the thing that is sought, but it also could lower the product's global price.
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Whereas American business embodies individualism, achievement, competition, and informality, Mexican business stresses collectivism, continuity, cooperation, and formality.
American business is a business of entrepreneurship, and corporations, together with responses by consumers, critics, and government.
In broader context, it is a major part of the Economic history of the United States which focuses on specific business enterprises.
Mexico is expected to continue to be a drawing for the industry of mobility. Successfully doing businesses rely heavily on understanding Mexico’s unique business culture.
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Answer:
more than 4% but less than 6%
Explanation:
Given that the new quotes for a 4% bond trading in the secondary market are higher than 4% which is actually a 6% basis, thus, it is expected that the customer's yield to be greater than the initial 4%. However, given that, we are looking for the customer's yield after-tax, then the net customer's yield will be less than 6%.
Therefore, the right answer is that the customer's yield will be MORE THAN 4% but LES THAN 6%.
Answer:
10.5%
Explanation:
the complete formula for calculating the intrinsic value of a stock with a growing perpetuity is:
stock price₀ = dividend₁ / (cost of equity - growth rate)
stock price₀ = $27.50
dividend₁ = dividend₀ x (1 + growth rate) = $0.90 x 1.07 = $0.963
growth rate = 7%
$27.50 = $0.963 / (cost of equity - 7%)
cost of equity - 7% = $0.963 / $27.50
cost of equity - 7% = 3.5%
cost of equity = 10.5%