Answer:
The short run refers to a period of less than one year.
Explanation:
The statements is false that the short run refers to a period of less than one year.
The short run, long run and very long run are different time periods in economics.
<u>Short run – where one factor of production (e.g. capital) is fixed</u>.
long run – Where all factors of production are variable,
Unlike in accounting where operating period refer to a period of one year, <u> there is no hard and fast definition as to what is classified as "long" or "short" and mostly relies on the economic perspective being taken.</u>
Answer:
$74.61
Explanation:
The computation of the value of preferred stock is shown below:
Value of preferred stock = Annual dividend ÷ return of preferred stock per share
= 10.40% × 100 ÷ 13.94%
= $74.61
Simply we divide the annual dividend by the value of preferred stock per share so that the correct value of preferred stock can be computed
It can affect the company's ability to get a lending (borrow money). It can also affect the chances of finding an investor.
Answer:
Since the real rate of interest is negative, this means that the purchasing power of the savings have decreased over the year.
Explanation:
Data provided:
Interest rates = 7.85 %
The rate of inflation = 12.3 %
Now,
The Real interest rate is calculated as :
Real interest rate = Nominal interest rate - Inflation rate
on substituting the respective values, we get
Real interest rate = 7.85% - 12.3%
Or
The real interest rate = - 4.45%
Here,
Since the real rate of interest is negative, this means that the purchasing power of the savings have decreased over the year.
Answer:
A. a separate schedule.
Explanation:
This is explained to be cash flow schedule or also cash flow statement. It is explained to be on out of the three financial statement which used generally to report for cash which been generated and how this money has been totally been spent within a period or interval which could be a week, month, quarter or even probably a year.
In the statement of cash flows, the cash flows are known to be generated from investing activities section while inclusion of receipts from the sale of investments. This is why in the stated 20 year payable bond, it is known to have been recorded in statement of cash flows in a separate schedule.