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skad [1K]
3 years ago
7

How is going public a way to secure capital without going into debt? Name a company that has held an IPO.

Business
1 answer:
dedylja [7]3 years ago
5 0
Going public is a way to secure capital without going into debt because going public means that a company could increase its capital by sharing its ownership or issuing its stock. There are two types of capital which company can be obtained which are the equity capital and debt capital. Facebook and Alibaba Group have held an IPO to issue its stocks.
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quilibrium in the money market exists when a. excess demand for money is equal to the quantity demanded of money at a given inte
Elanso [62]

Answer: b. excess supply of money is equal to the quantity demanded of money at a given interest rate.

Explanation:

Equilibrium in the money market takes is usually achieved when the quantity of money demanded is equal to the quantity supplied. The demand curve for money is used to illustrate the quantity of money demanded at a given interest rate. The demand curve for money usually sloped downward, what this tells us is that people would want to hold less of their wealth in the form of physical cash ( money ). When the interest rates on bonds and other alternative investments are way higher.

3 0
3 years ago
During 2020, Stellar Furniture Company purchases a carload of wicker chairs. The manufacturer sells the chairs to Stellar for a
Ber [7]

Answer:

What is the amount of gross profit realized during 2020?

(460 x $33.30) + (230 x $29.60) + (276 x $18.50) = $27,232

What is the amount of inventory of unsold straight chairs on December 31, 2020?

[(920 - 460) x $56.70] + [(690 - 230) x $50.40] + [(1,610 - 276) x $31.50] = $26,082 + $23,184 + $42,021 = $91,287

Explanation:

lump sum cost of chairs = $137,655

Type                     Chairs       Selling Price Each       Total

Lounge chairs       920                     $90                 $82,800

Armchairs              690                     $80                   $55,20

<u>Straight chairs      1,610                     $50                $80,500</u>

total                      3,220                                          $218,500

if we allocate costs based on resale, then each chair should cost:

Lounge chairs $90 x ($137,655 / $218,500) = $56.70

Armchairs $80 x ($137,655 / $218,500) = $50.40

Straight chairs $50 x ($137,655 / $218,500) = $31.50

contribution margin per chair:

Lounge chairs $90 - $56.70 = $33.30

Armchairs $80 - $50.40 = $29.60

Straight chairs $50 - $31.50 = $18.50

7 0
3 years ago
According to the consumption​ function,
anygoal [31]

Answer:

The correct answer is option A.

Explanation:

Consumer spending refers to the expenditure of households on consumer goods and services. The aggregate consumer spending depends upon the disposable income of the consumer, the real interest rate, consumer optimism and wealth.  

Consumer spending is positively related to disposable income, consumer optimism and wealth. The real interest rate is inversely related to consumer spending.

5 0
3 years ago
Describe the three important trends in the us economy
Dafna11 [192]

Climate Change is the first trend that is expected to cause more natural disasters. This has been facilitated by global warming caused by increased green house gases. Food prices are expected to rise due to high temperatures that has affected corn and soybean. Floods and storms are now becoming unpredictable.

There is high control of oil, gas and food prices by financial markets. Commodities traders are now setting prices instead of supply and demand thus the value of dollar in  under the control of foreign exchange traders.

Increasing rates of interest, where recently the Federal Reserve wants to increase the Fed fund rates to two percent point. Inflation will be at 2% and unemployment at 4% thus this will show <u>a no falling to recession situation</u> which will allow Fed to keep increasing rates.In the long run cost of loans will rise.

Other trends to notice are;the decline in global economic power of the U.S and the fact that the U.S economy is current in the expansion phase of the business cycle.


7 0
3 years ago
Nokia is a cell phone brand that offers digital cameras as part of its cell phone products. It is now in direct competition with
irakobra [83]

Answer:

A. Envelopement

Explanation:

Envelopment is the process whereby an organization or a company moves into another company's market by combining it's own functionality with the other company functionality to create a multi-platform bundle. In this case, Nokia decided to add cameras which are Sony and Canon market to their mobile phones thereby creating a multi-platform bundle in form of a camera mobile phone.

3 0
3 years ago
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