Answer:
Cost of equity = 19.1
%
Explanation:
Cost of equity = required rate of return + flotation cost
The Capital assets pricing model would be used to determined the required rate of return
<em>The capital asset pricing model (CAPM): relates the price of a share to the market risk or systematic risk. The systematic risk is that which affects all the all the economic agents, e.g inflation, interest rate e.t.c </em>
Using the CAPM , the required rate of return is given as follows:
E(r)= Rf +β(Rm-Rf)
E(r) - required return
β- Beta
Rm- Return on market
Rf- Risk-free rate
DATA
E(r) =? , Rf- 3%, Rm-14% , β- 1.1, flotation cost - 4%
E(r) = 3% + 1.1× (14% - 3%) = 15.1
%
Cost of equity = required rate of return + flotation cost
= 15.1
% + 4% = 19.1
%
Cost of equity = 19.1
%
Answer:
Strategy she should use is "Maximize Clicks"
Explanation:
Jasmine should use Maximize clicks automated bidding strategy as to drive her clients to her website so that maximum people can visit her website in a set budget and choose her clothing products.
The part of the combined price allocated to the product is less than 50% which might be around 35-40%.
<u>Explanation:</u>
Since the price of the product all alone is $450 and the price of the service alone is $550, so the combined amount totals up to be nothing less than $1000. But the company under the discount and offer, offers the both things combined for $800.
This shows that the company is under some loss which it has to incur. The loss is of $200 under the discount to be offered to the clients which serves as the incentive to the customers.
Answer:
Writing personalized thank you cards would be better for each customer because it would make the customer feel more appreciated since you put so much effort into making each thank you card. For the products, the name specifically depends on what the product is.
Answer:
The cash award will be equal;l to $444422.01
Explanation:
We have given amount invested P = $440000
Rate of interest r = 8.3%
Time t = 1 year
As the amount is compounded on daily basis
We know that 1 year = 365 days
So rate of interest 
%
Time period n = 365
We know that final amount is equal to 
So 
$
So the cash award will be equal;l to $444422.01
