Answer: Puffery
Explanation:
Adam's statement is puffery which is a form of exaggerated praise of his mp3 product he sells.
Puffery is a form exaggerated praise of a person or an item, which most individuals won't take serious.
Answer:
Asset = Liabilities + Equity
7000 = N/A + (Paid in treasury stock)
7000 = N/A + 2000 - (-5000)
Explanation:
Cash debit 7000
Paid in the capital - Treasury Stock credit 2000
Treasury Stock credit 5000
Treasury stock is to buy back stock; therefore, it can be sold at a lower price.
Note: Cash balance = $35*200 shares = $7000
Paid in the capital - Treasury Stock = ($35 - $25)*200 shares = $2000
Therefore, treasury stock $(7000 - 2000) = $5000
A rightward shift of the investment demand curve will suggest an increase in demand. The reasons for this shift in the right would depend on the situation of the economy. The shifting of the curve may be affected by the following:
1. Level of economic activity
The increase in production would increase the demand thus the curve will shift to the right.
2. Expectations
T<span>he forecasting would also affect the shifting of the curve since they may have forecasted </span>an increase sale<span> of the company</span>
3. Capacity utilization
The larger the utilization of the capacity of the stocks, the larger would be the demand.
4. Cost of capital goods
T<span>he cost of constructing or producing capital would also affect the investment demand since investors would always look at the potential returns.</span>
Answer:
The correct answer is $12.5.
Explanation:
According to the scenario, the computation of the given data are as follows:
Dividend = $1
Growth rate = 9%
Rate of return = 17%
So, we can calculate the current value of stock by using following formula:
Current value of stock = Dividend ÷ ( Rate of return - Growth rate )
By putting the value, we get
Current value = $1 ÷ ( 17% - 9%)
= $1 ÷ 0.08
= $12.5
Answer:please refer to the explanation section
Explanation:
The question is incomplete, The amount that each firm must produce is not given or the Quantity/demand equation that each firm faces is not given. We use a firm's quantity/demand equation to calculate how much each firm should produce and then work out the number of firms that should exist in the industry.
let us assume quantity produced by each firm is given by this equation;
Q = 1900 + 15000Price
We need to plug the Price of $2.54 per unit Vitamin Bottle to the quantity equation. Q = 1900 + 15000(2.54) = 40 000
each firm must produce 40 000 units
Number of firms that should exist = Total Market Quantity/Firms Quantity Number of firms that should exist = 1055 560 000/40 000
Number of firms that should exist = 26389
When the price is $2.54, with each firm Producing 40000 units, 26389 firms should exist in the market to cover the total Market Quantity of 1055 560 000.
The question may provide you with the Quantity that each firm must produce, in that case you simple divide total market quantity by the firm's quantity to find number of firm that should exist.
When you are given quantity equations you use the price to work out quantity produced by each firm and then Divide the Market Quantity by Firm's quantity to find number of firms that should exist