Answer: GDP price index is 62.5, percentage price level rise is 60%.
Explanation: The GDP price index will be calculated by dividing the 1984 price by the 2000 price and multiplying by 100 thus:
10/16 X 100 = 62.5.
Therefore the GDP price index is 62.5.
To calculated percentage change using the price index, we have:
((100-62.5)/62.5) X 100
= (37.5/62.5) X 100
= 0.6 X 100
= 60%.
We can as well use another method:
((16-10)/10) X 100
= (6/10) X 100
= 0.6 X 100
= 60%
Answer:
A title search is done to insure that there are no leans are owed on the property. Its to insure that the property is clean of any debt.
Answer:
1. Procurement: all the activities that go into the purchase of goods and services.
2. Marketing: presentation of goods and services to the customers with the aim of increasing sales.
3. Management: the act of controlling all the resources that go in the business in a manner to ensure that the organizational goals are met.
4. Finance is capital that is needed in business.
Explanation:
There are different aspects that ensure that a business can perform it's functions to ensure that the business goals are achieved. The four major functions of a business that will be considered are; procurement, marketing, management and finance. They are further elaborated below;
1. Procurement
Procurement can be defined as all the activities that go into the purchase of goods and services. They involve evaluating different offers from different vendors to determine the best product at an agreeable cost. most business needs resources to function. The resources can be labor or material resources. Procurement looks at ways in which these resources can be purchased with efficiency.
2. Marketing
Marketing involves the presentation of goods and services to the customers. The main aim of marketing is also to gain more customers and ultimately to increase sales. It involves the use of various marketing channels to achieve it's objective. A successful marketing strategy wins over more customers, which generally leads to more sales and profits. Since making profits is the main reason for business, a profitable marketing strategy is important for business success.
3. Management
Management is the act of controlling all the resources that go in the business in a manner to ensure that the organizational goals are met. The business resources include; human resources and material resources. When all the resources that go into a business are carefully managed, the potential of achieving organizational goals is also increased. Good management ensures business success
4. Finance
Finance is capital that is needed in business. The capital is usually monetary. Finance can be used to acquire various resources in form of salaries for laborers, raw materials and utility bills. Adequate and timely financing are needed to ensure that a business succeeds.
When technology is progressing rapidly, firms are more likely to;
commit themselves to fixed assets.
focus on developing the necessary skills in-house.
Answer:
1. No. The convertible bonds' lower coupon rate does not suggest that it is less risky than the straight or traditional bonds. It is even riskier. Mostly, companies that have reduced financial credit rating issue convertible bonds in the first place. Secondly, converting into stock suggests that more risks will be tolerated with the hope of increased returns.
2. The cost of capital is lower on the convertibles than on the straight bonds because convertible bondholders will participate in sharing the profits left over by non-convertible bondholders, just like common stockholders when they convert to stock. This participation in the retained profits is not available for straight bondholders. This increased participation opportunity requires reduced fixed interest rates or cost of capital.
Explanation:
Convertible bonds are debt instruments that convert into common stock at the time determined by the holder but at the entity's specified price. Straight (regular or traditional) bonds are not converted into common stock. They only earn fixed interests from the entity and the return of the face value at maturity.