It effects the economy because that's another car that is having to take up oil and is another step to wasting natural resoources. Also the cars fumes pollute the air and everywhere around us.
The risk premium on the risky investment is 5%
<h3>What is
investment?</h3>
The dedication of an asset to achieve an increase in value over time is referred to as investment. Investment necessitates the sacrifice of a current asset, such as time, money, or effort. The goal of investing in finance is to generate a return on the invested asset.
Income investing is an investment strategy that focuses on constructing an investment portfolio that is specifically designed to generate regular income. The income investing strategy's sole goal is to generate a consistent stream of income.
The type of investor you are and how you should make investments are determined by your investing personality. Your investing personality is essentially your financial risk profile, which takes into account a variety of factors such as age, financial history, circumstances, and investment objectives.
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Answer:
1. Which amount related to this purchase should be recorded in the accounting records?
According to the historical cost principle, assets must be recorded at their original purchase price, only accumulated depreciation can adjust their value.
2. The resources owned by a business are its _____.
Assets are all the resources a business uses to carry out their normal business activities and operations.
3. The rights and claims of creditors on a company's assets are represented by _____.
Liabilities represent all the debts that a company has.
4. Which element of the accounting equation represents the rights of owners?
Equity refers to the part of a company owned by its stockholders or owners. A company can finance itself through all equity, or it can have a mixed financing structure with equity and debt (liabilities). The investment made by the owners of a company is represented by the equity part of the balance sheet.
Answer:
The correct answer is location economies
Explanation:
Location economies refers to a situation where goods are produced under the optimal economic conditions.
In determining this location,companies usually consider cultural,economic and legal perspectives,in that they are able to locate their manufacturing outfits where the combination of these factors is most favorable.
The ease of transporting output and trade barriers are also examined such that the goods produced can be transported to consuming nations all around the world without logistics headache or trade sanctions.
Answer: 26.5% increase
Explanation:
Current profit = Sales - Variable costs - fixed costs
= ((32.50 - 16.50) * 360 bears) - 1,420
= $4,340
Sales increase by 20% = 360 * ( 1 + 20%) = 432 bears
New profit;
= ((32.50 - 16.50) * 432 bears) - 1,420
= $5,492
Effect of sales increase = ( 5,492 - 4,340) / 4,340
= 26.5% increase
