Answer:
Expected rate of return is 27.8%
Explanation:
The Price of the stock is the present value using the expected rate of return of all the cash flows associated with the stock.
Use the following formula to calculate the expected rate of return
Expected rate of return = [ ( P1 - P0 ) + DPS1 ] / P0
Expected rate of return = [ ( $11 - $9 ) + $0.5 ] / $9
Expected rate of return = 0.278
Expected rate of return = 27.8%
Answer: The correct answer is the first statement.
Explanation: Marginal revenue product measures the amount by wich the extra production of one more worker increases a firm's total revenue.
<u>It is an economic term used to describe the change in total income that results from a unit change of one type of input variable. There are many types of input variables that you can change, such as adding an employee or a new machine.</u>
Answer:
lowers the cost of borrowing from the Fed.
Explanation:
The discount rate is the rate that the Fed charges to commercial banks for overnight loans. This loans are only made when commercial banks have no other option, and represent one of the Fed's main functions: acting as lender of last resort.
When the Fed lowers the discount rate, commercial banks can access the Fed as lender of last resort at cheaper interest rates.
Answer:
0.45
Explanation:
Calculation for What would be its weight on common equity
Using this formula
Weight on common equity= Common equity/(Debt+Preferred stock+Common equity+ )
Let plug in the formula
Weight on common equity=$3.3 million /($1.1 million +$3 million +$3.3 million)
Weight on common equity=$3.3 million/$7.4 million
Weight on common equity=0.45
Therefore What would be its weight on common equity is 0.45
Answer:
B) False
Explanation:
Chapter 4 of The China Study, called Lessons from China, the authors, Campbell and Dr. Campbell, state that a higher intake of animal protein was directly associated with higher rates of cancer, especially liver cancer.
The book advocates the need to substitute animal protein for vegetable proteins.
