They help you find unbiased information about the product’s actual performance.
Answer:
The correct answer is: Regarding the above, it is taken into account that the vast majority of new product ideas do not become marketable products, and most marketable products are failures. Perhaps hundreds of designs accompany each success. So it is the primary task of management to clearly assess the market in order to know what are the trends that allow a business duration over time.
Explanation:
The production or service execution process is the core process that encompasses all the operations carried out by an organization to transform requirements into a final product or service. The entries that involve orders and budgets become work orders that allow planning, design, manufacturing and execution, all supported by the support processes that involve purchases and resources. Finally, the exit of this activity constitutes the process of expedition and after-sale.
Answer:
10.67%
Explanation:
Gecko Company
Gecko = Expected Earnings growth rate = 8% annually
As there are no Capital gains tax, thus after Tax returns = Pretax returns
= 8%
Expected Dividend yield of Gordon = 5%
After tax returns = 5(1-.25)
=5(0.75)
= 3.75%
Assuming the pay out ratio = 100%
Gordon’s required pretax return = 8/ (1-.25)
=8/0.75
= 10.67%
At pretax return of 10.67% on Gordon the after tax returns on both the stocks are equal.
Answer: Decrease, decrease
Explanation: Substitute goods are those goods that are used in place of each other. When the price of a substitute good falls, it becomes more attractive to the consumers. Here, wood planks and wood beams are substitutes to each other. So, when price of wood plank falls, demand for wood beams will decrease, shifting the demand curve to the left. As a result, of this the equilibrium price of wood beams and the quantity of wood beams will also decrease.
Answer:
a.) The proportional up movement , u, for the currency can be calculated using the following formula:
u = eStd Dev * Square root of t
u = e0.06*square root of 0.25
u = 1.0305
b.) Probability of up movement, p , = (a - d) / (u - d)
where a = ert where r = 0.025, t = 0.25
a = e0.025*0.25 = 1.0063
d = 1 / u = 1 / 1.3050 = 0.7663
p = (1.0063-0.7663) / (1.3050-0.7663)
p = 0.46
1-p = 1-0.46 = 0.54
c) Price of an American Call Option on the currency : we use binomial tree for that , as follows: The amounts below line indicate the option price and figures above line indicate the underlying asset price which is 0.55555
