Answer: d) Dividends cause equity to decrease.
Explanation:
Dividends are payments to shareholders as a way of sharing the profit that the company made with its owners. Net profit is added to the Equity of company.
In other words, dividends cause equity to decrease because they are taken from Retained Earnings (net income) which are added to Equity. By reducing the amount of Retained earnings available therefore, dividends are reducing Equity.
Answer:
Market segmentation
Explanation:
Market segmentation is the process of dividing a market of potential customers into groups, or segments, based on different characteristics.
Markets can be segmented on the basis of socio-economic groups (income), age, location, gender, lifestyle, use of the product (home/work, leisure/business..) etc. Each segment will require different methods of promotion and distribution. For example, products aimed towards kids would be distributed through popular retail stores and products for businessmen would be advertised in exclusive business magazines
Market segmentation makes marketing cost-effective, as it only targets a specific segment and meets their needs. it also leads to higher sales and profitability and also Increases opportunities to increase sales
.
Answer:
$12.93
Explanation:
First , find the dividend amount per year;
D1 = 4.25
D2,D3,D4,D5, D6 = 0
D3 = 2.2020(1.024) = 2.2548
D7 onwards = 2.35
Next, find the present value of the dividends at 12.6%;
PV (of D1) = 4.25/ 1.126 = 3.7744
PV (of D2 to D6) = 0
PV (of D7 onwards) today = (2.35/0.126) /(1.126^6)
PV (of D7 onwards) today = 18.6508 / 2.0381 = 9.1511
Add the PVs to find price of stock;
= 3.7744 + 0 + 9.1511
= $12.93
Answer: The Production Possibilities Curve (PPC) is a model that captures scarcity and the opportunity costs of choices when faced with the possibility of producing two goods or services. Points on the interior of the PPC are inefficient, points on the PPC are efficient, and points beyond the PPC are unattainable.
Answer:
A. Offers ways for a firm to realize 1+1 = 3 benefits because the value chains of the different businesses present competitively valuable cross-busniess relationships.
Is a process that take place when a business expands its activities into product lines that are similar to those it currently offers.
