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Sonbull [250]
3 years ago
8

Why must real options have positive​ value? ​(Select all the choices that​ apply.) A. Real options must have positive value beca

use they can always be sold to recover the initial investment. B. Real options must have positive value because they are only exercised when doing so would increase the value of the investment. C. Having the real option but not the obligation to act is valuable. D. If exercising the real option would reduce​ value, managers can allow the option to go unexercised.
Business
1 answer:
murzikaleks [220]3 years ago
4 0

Answer:

B. Real options must have positive value because they are only exercised when doing so would increase the value of the investment.

C. Having the real option but not the obligation to act is valuable.

D. If exercising the real option would reduce​ value, managers can allow the option to go unexercised.

Explanation:

A real option is a choice made available to the managers of a company concerning business investment opportunities. It is referred to as “real” because it typically references projects involving a tangible asset instead of a financial instrument. Tangible assets are physical assets such as machinery, land, and buildings, as well as inventory.

A 'real option' is also a choice available to a company regarding an investment opportunity. The term 'real' means that it refers to a tangible asset and not a financial instrument. Examples of real options include determining whether to build a new factory, change the machinery and technology on a production line.

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Sweet Treats common stock is currently priced at $17.15 a share. The company just paid $1.22 per share as its annual dividend. T
ddd [48]

Answer:

cost of equity =  9.68%

so correct option is d. 9.68%

Explanation:

given data

currently priced = $17.15

paid annual dividend = $1.22

dividends increasing = 2.4% annually

to find out

firm's cost of equity

solution

we get here cost of equity by apply price equation that is express as

Price = recent dividend × ( 1 + growth rate ) ÷ ( cost of equity - growth rate)   .....................1

put here value we get

$17.15 = \frac{1.22*(1+0.024)}{cost\ of\ equity - 0.024}

solve it we get

cost of equity =  9.68%

so correct option is d. 9.68%

5 0
3 years ago
The standard quantity allowed for the units produced was 4,500 pounds, the standard price was $2.50 per pound, and the materials
katrin2010 [14]
The standard quantity that is produces is multiplied to the standard price. The product is subtracted to the quantity variance and will be divided to the standard price. The product you have acquired will be the units that are produced.

4,500 pounds x $2.50 = 11,250
11,250 - $375  = 10,875
10,875 / $2.50 = 4,350

Answer: There are 4,350 units produced.
7 0
3 years ago
5. Kung ikaw ang itinalaga upang
Orlov [11]
Ang daan patungo sa isang malinis na paaralan ay isang malinis na silid aralan nang paisa-isa. Magsimula sa pamamagitan ng pakikipag-usap sa mga guro at mga gawaing maaari nilang magawa upang mapanatili ang kanilang silid-aralan at silid-pahingahan ng guro.

Halimbawa, ang mga bata at guro ay maaaring magtabi ng isang oras bawat linggo upang malinis at maiwaksi ang silid aralan. Ang mga guro at iba pang kawani ay maaaring maghugas ng kanilang mga tasa ng kape at baso pagkatapos magamit, at punasan ang anumang pagkalat o gulo na ginawa nila.

Ang mga pangunahing patakaran na ito ay makakatulong sa iyo at sa lahat sa paaralan na mapanatili ang isang mahusay na antas ng kalinisan sa araw-araw. Ang isang malinis na kapaligiran sa pagtatrabaho ay maaaring dagdagan ang pagiging produktibo, mapabuti ang kalagayan ng mga mag-aaral at guro, at mabawasan ang bilang ng mga pagliban.


dapat itong makatulong sa iyo sa tanong!
3 0
3 years ago
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Answer:

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4 0
2 years ago
An investor that owns between ___ and ___ percent of the voting stock of an investee is assumed to have significant influence ov
Alexeev081 [22]

An investor is considered to have substantial influence over an investee if they possess between 20% and 50% of the voting shares.

Equity accounting is used to record and account for equity investments made by a firm when it holds 20% or less of the voting shares of another company.

According to the number of shares it owns in the investee company, the investor records the investee's earnings in its accounts.

In other words, the initial investment grows in proportion to the earnings earned.

The investee is a subsidiary of the investor since it has the power to control influence if it holds more than 50% of the voting shares.

Find out more about voting stock

brainly.com/question/14821403

#SPJ4

4 0
2 years ago
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