Answer:
Explanation:
Terminal or horizon date is a point in time where a company's dividend experiences a constant growth rate.
In this case, it is mentioned that non-constant growth rate of 20% will happen for first two years and thereafter, a constant rate of 5%; this means that
D1= 1.25(1.20) =1.5
D2 = 1.5 (1.20)= 1.8
Then starting at D3, there's a constant growth rate = 5% so,
D3 = 1.8 (1.05)= 1.89
D4 = 1.89(1.05)= 1.9845
D5 = 1.9845 (1.05) = 2.0837
.....and so on
Therefore, the horizon date would be at the end of the second year i.e. End of Year 2.
The statement that would describe the shift from D1 to D2 is Demand for the product increased.
<h3>Why was there a shift from D1 to D2?</h3>
D2 is a curve that is to the right of D1 which means that it represents a higher level of demand for goods and services.
This means that for the demand to move from D1 to D2, there must have been an increase in the demand for the good or service and this could have been for any number of reasons including a reduction in the price of complimentary goods.
Find out more on determinants of demand at brainly.com/question/1245771
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Answer: The hourly wage will be higher in occupation B.
Explanation:
From the information given in the question, workers in occupations A and B possess the same skills and abilities as work for the same number of hours. The difference between both occupations is that there is stability of employment for workers in occupation A while there are seasonal layoffs in occupation B.
Due to the seasonal changes in occupation B, the hourly wage will be higher in occupation B. Workers in occupation B need to be compensated in order to overcome the layoffs and uncertainties.
Answer:
The following statements are true:
c. A potential energy function can be specified for a conservative force.
e.A conservative force permits a two-way conversion between kinetic and potential energies.
f. The work done by a non-conservative force depends on the path taken.
Explanation:
- The statement a is incorrect as the work done by a conservative force does not depend upon the the path taken instead work done by a non- conservative force depend upon the path taken.
- The statement b is incorrect as the potential energy function can not be specified for a non-conservative force but it is specified for a conservative force.
- The statement d is also incorrect as the non-conservative force doesn't permits a two way conversion between Kinetic and Potential energies but the conservative force permits this conversion.
Answer:
First question Option D. Reserves are so large that banks have little need to borrow reserves from other banks.
Second question. C. Using the tools the Fed had available would have disrupted the financial system.
3rd question. A. The Fed raised the rate it pays on excess reserves.
Explanation:
1st question. The financial crisis revealed the need of increases reserved by banks. Now, banks have abundant reserves with the Fed so that they do not need to borrow reserves from other banks.
2nd question. With the monetary policy tools the Fed had prior to the financial crisis, the Fed could not control the feferal funds rate because investor and consumer behavior was not confirming to the normal pattern because of the housing crisis and decline in the funds rate was not leading to increase in investor confidence or consumer confidence and thus aggregate demand was not increasing.
3rd question. (To increase the federal funds rate, Fed raised the rate paid on excess reserves and reserve purchase agreements.)
