Answer:
Contractionary Fiscal Policy is the correct answer.
Explanation:
It is a fiscal policy that includes increasing taxes and decreasing the expenditure to curb inflationary pressures. As the taxes are increased, households have less income to spend and the lower disposable income affects consumption. Tax increments also lead to less profit for businesses. GDP includes the consumption and private investment hence both of them fall as a result. The government tries to magnify the fall in GDP with the multiplier effect.
If the government decreases the expenditures then it would lead to a decrease in GDP, as the government expenditures are a part of GDP.
Answer and Explanation:
a. The computation of the wacc is as followS;
= cost of common stock × weight of common stock + cost of debt × weight of debt × (1 - tax rate)
= 0.16 × 0.70 + 0.08 × 0.30 × (1 - 0.30)
= 0.112 + 0.0168
= 0.1288
= 12.88%
b. The after tax cost of debt is
= 0.08 × (1- 0.30)
= 0.056
So the capital should use the cost of debt
Answer:
Product advantage.
Explanation:
The statement, "With its 25 percent market share, this is the best-selling laser printer on the market today," is an example of a product advantage.
Product advantage can be defined as the attributes or characteristics of a particular product, which differentiates or gives it a competitive edge over other products that is being manufactured by an organization.
Hence, it refers to the ability of a particular product to do well in the market as a result of it being sought by the consumers.
Answer:
Unitary cost= $30
Explanation:
Giving the following information:
Material costs for a selected job are $900 for a batch of 30 suit coats (units).
<u>To calculate the unitary cost, we need to use the following formula:</u>
unitary cost= total batch cost / number of units
unitary cost= 900 / 30
unitary cost= $30
Answer:
Vroom's expectancy theory
Explanation:
Vroom's Expectancy theory states that three factors determine how motivated people will be. They are; expectancy, valence and instrumentality.
Expectancy is how employees expect they will perform or the effort they will have to put in to produce a certain level of performance.
Instrumentality relates to the belief that performance will achieve the required results and yield certain rewards.
Valence refers to how much employees value the rewards they receive.
