Answer:
C. 2.00
Explanation:
We have been the mean of television sets in a household is 3.5 and the standard deviation was 0.75.
We will use z-score formula to solve our given problem.
, where,
,
,
,
.
Substitute the given values:
Therefore, the standardized value corresponding to 5 televisions would be 2.00 and option C is the correct choice.
Answer:
a. The factor distribution of income describes the relationship between
3. capital and total income
b. The factor market and factor prices
1. allocation of income.
Explanation:
In economics, income distribution is defined as how a nation's total GDP is distributed amongst its population. On the other-hand, The factor distribution of income is the division of total income among labor, land, and capital. <em>Factor prices, which are set in factor markets, helps in the determination of the factor distribution of income.</em>
Answer:
d. The potential exists for agency conflicts between stockholders and managers.
Explanation:
- A problem of the agency is a conflict of the interest of relationships where one party is expected to act in another best interest and usually refers to the conflicts of the interest between the companies management and the stockholders.
Answer: The firm has consistently had a high turnover rate in all departments.
Explanation:
If the firm has a high turnover rate in all departments this means that there is a high number of employees leaving the company.
For this reason, it would be best to initiate a Training and Development program at Chelsea Paper Products.
Some of the benefits of T&D programs include, increased job satisfaction, morale and motivation amongst employees. This would reduce the high turnover rate as employees would be happier to work at Chelsea PP as they feel more fulfilled.
Additional benefits include a better bottomline and increased innovation in the company which can give them an edge in the industry.
If you require any clarification do react or comment.
Answer:
12%
Explanation:
For computing the equity cost of capital first we have to determine the weight of the capital structure after that the WACC and then finally equity cost of capital which is shown below:
Weight of capital structure
For debt
= $200 million ÷ $400 million
= 0.50
For equity
= 50 million × $4 ÷ $400 million
= 0.50
Now the WACC is
= 0.50 11% + 0.50 × 5%
= 8%
Since the value fo equity is declined by
= 50 × $3
= $150
Now the equity cost of capital is
= WACC + (WACC - interest rate) × (debt ÷ equity)
= 8% + (8% - 5%) × (200 ÷ 150)
= 12%