Answer:
b. it is less volatile and more like a bond
Explanation:
Preferred stocks pay a fixed dividend and has the potential to appreciate in price.
Preferred share holders have no voting right but they are paid first before common shareholders.
I hope my answer helps you
Answer:
contribution margin ratio= 0.86
Explanation:
Giving the following information:
Young Company budgets sales of $970,000
Variable costs of $135,800.
<u>To calculate the contribution margin ratio, we need to use the following formula:</u>
contribution margin ratio= contribution margin / sales
contribution margin ratio= (970,000 - 135,800) / 970,000
contribution margin ratio= 0.86
Answer:
we are only given information about assets A and B, no information is given about assets C or D. But you should be able to solve the question in a similar manner.
- rate of return asset A = 42.86%
- rate of return asset B = 25%
Explanation:
using the future value formula
Asset A:
future value = present value x (1 + r)ⁿ
future value = $200
present value = $140
n = 1
1 + r = $200 / $140 = 1.4286
r = 0.4286 = 42.86%
Asset B:
1 + r = $200 / $160 = 1.25
r = 0.25 = 25%
Answer:
A difference between a perfectly competitive market equilibrium and a perfect price discrimination equilibrium is that in a competitive market <u>marginal cost equals marginal revenue</u>, whereas in perfect price discrimination <u>marginal cost does not equal marginal revenue.</u>
Explanation:
In a perfectly competitive market, equilibrium is only possible when marginal revenue equals marginal cost and marginal revenue curve is cut by the marginal cost curve from below.
Contrariwise, in a perfect discrimination, equilibrium is achieved irrespective of the nature of marginal cost; whether rising, constant or falling.
