Answer:
ABC company
Explanation:
Basically there are two markets i.e primary market and the secondary market.
The primary market is the market in which the initial public offer is taking place that means the new security is first offered to the public by the company whereas, in the secondary market, the broker or investor is involved while offering the securities.
In the given situation, the ABC company itself is involved while selling the shares of ABC stock in the primary market
Answer: coupon rate is greater than its yield to maturity
Explanation: This is because investors are interested in high yield and will not mind paying for it in other to get a higher payment from coupon.
Answer:
0.75 wheat
Explanation:
Opportunity cost is the cost of the next best option forgone when one alternative is chosen over other alternatives.
the opportunity cost of producing cars, is the quantity of wheat that would have to be forgone to produce one car
18 / 24 = 0.75 wheat
Answer:
incentives, trade-offs, opportunity cost, marginal thinking, and the principle that trade creates value.
Explanation:
Answer:
One important financial reporting instrument for measuring and assessing an organisations liquidity risk is the Cash Flows statement. It speaks to the availability of cash in the short term, and or assets that can be readily converted to cash.
In other words, when a business has immediate financial obligations, cash refers to those resources that can be used to satisfy them.
An understanding of cash flows is crucial to business success because it:
- provides a clear picture of an organisations cash status or liquidity;
- helps business owners plan for how much cash expected in the future and when it is likely to come;
- when organisations want to benchmark their performance against one another, it becomes very handy and useful. Banks, for instance, measure the ability of a business to meet it's liquidity requirements as a measure of eligibility to receive additional finance.
One way companies can maintain liquidity during this pandemic is to control overhead expenses. Necessity is the mother of invention. Companies can have their team brainstorm on creative ways to cut down on operational, administrative and production costs. Some costs which can be considered for downward revision are rent, labor costs (such as business performance incentives), professional fees, marketing costs, advertising costs, public relations etc.
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