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lakkis [162]
3 years ago
6

Acme Products manufactures and markets a product called Grow Tall. Acme claims in its advertising that Grow Tall will make its u

sers grow a minimum of six inches taller than their current height. The Federal Trade Commission (FTC) will likely find that the ad is
Business
1 answer:
adoni [48]3 years ago
8 0

Answer: a. deceptive, and the FTC may issue a cease-and-desist order.

Explanation:

A product that can increase human height by 6 inches sounds highly improbable and so is deceptive to people.

The Federal Trade Commission in it's role as a protector of Consumers from.unfair and deceitful practices in Commerce can act against Acme to stop them from deceiving the consumer.

One of the ways that the FTC can do this is by issuing a Cease and Desist order to Acme and if they fail to do so, can then take them to Court.

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What is the expected return if a firm has a payout ratio of 0.4, a return on equity of 25%, and a dividend yield of 6%
Varvara68 [4.7K]

Answer:

21%

Explanation:

We can calculate the expected return of a firm by add dividend yield and growth rate but in this question, the growth rate is not given therefore we will find growth rate first with the available data

DATA

Payout ratio = 0.4

Return on equity = 25%

Dividend yield = 6%

Solution

Growth rate = Return on equity x retention ratio

Growth rate = Return on equity x (1 - payout ratio)

Growth rate = 25% x (1-0.4)

Growth rate = 25% x 0.6

Growth rate = 15%

Expected return = Dividend yield + growth rate

Expected return = 6% + 15%

Expected return = 21%

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Cost of Bank Loans Gifts Galore Inc. borrowed $1.6 million from National City Bank. The loan was made at a simple annual interes
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This refers to the inalienable rights which a property owner has as to how he chooses to rent, lease, let or sell his property or live there.

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