Answer:
Joint venture
Explanation:
Typically , joint venture is formed in order to:
- Pursue a new emerging market
To pursue an emergency market, two companies who operate in a similar industry can join their resources to face off larger competitors. Even though they might lose a little bit of control over the business, the profit that obtained from beating their competitors might be enough to cover the inconvenience
- increase the efficiency of their operation
Sometimes, companies also create a join venture because both parties involved have infrastructure that complement each others. Rather than purchasing new assets, creating a joint venture might be a cheaper option.
- Reduce the Risk of the operation
Creating a joint venture will also cut of the percentage of the profit that each parties initially obtain. But, the risk from potential loss will also be divided between each parties involved in the joint venture.
Answer:
Dividend yield = 227.06%
Explanation:
Assuming the Closing stock market summary for Baldwin company is $44.05
Dividend yield = Dividend * 100 / (Price* (1 + growth rate) )
Dividend yield = 1.10 * 100 / (44.05 * (1+0.10) )
Dividend yield = 1.10 * 100 / (44.05 * 1.10)
Dividend yield = 110 / 48.455
Dividend yield = 2.2706
Dividend yield = 227.06%
Answer:
(A) Variable cost
(C) Gross margin
D) Contribution margin
Explanation:
mathematically:
Gross Margin = Sales – cost of goods sold
for constant cost of good sold, an increase in sales alternately increases the gross margin.
and
Contribution Margin = Sales – Variable costs
as sales increase, the variable cost has to increase so as well the contribution margin has to increase.
Market Research
Explanation:
In a global business, <u>The firm often goes into uncharted territories for themselves and takes heavy risks in places unknown to them.</u> In such a situation market research done right is the best thing a firm can hope for apart from all other things.
A market not suitable for their products will simply not be beneficial no matter how everything else works out.
For example,<u> McDonald's setting up operations in India made its menu suit the Indian taste pallet and was able to carve out a market share</u> while other food chains were not as quick to do it.
Answer:
D) foreign; domestic
Explanation:
The central Bank can improve the domestic currency by using the reserves. If the domestic currency undervalued the central bank may intervene to sell the Foreign currency and purchase the domestic currency, which will increase the demand of domestic currency and increase the supply of foreign currency in the market which will improve the value of domestic currency and undervalue the foreign currency.
