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amid [387]
2 years ago
9

When Sebastian wrote the contract with BP for over two billion dollar s, he included targets for performance that had to be met

before payment would be released. Sebastian was trying to avoid ____ bias
Business
1 answer:
Alexeev081 [22]2 years ago
7 0

Answer:

Escalation of commitment

Explanation:

Escalation of commitment is the situation where an individual invest the resources into a course of action which is failing. Resources could be time, energy and money which an individual continue to invest into an investment as the individual  do not want to be inconsistent.

So, in this situation, before releasing the payment, he ensures that the targets should be met for the performance. He is avoiding the situation of escalation of commitment bias.

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Suppose the civilian noninstitutionalized working-age population is 35.9 million in in a hypothetical economy. Of these, 4.4 mil
grandymaker [24]

Answer: 22.71 million

Explanation:

The labor force refers to both the employed and unemployed populations of a country. In other words it comprises of those who are working and those who are not working but are able to and are currently seeking employment.

Labor force = Unemployed + Employed

= 3.4 + 1.72 + 4.4 + 13.19

= 22.71 million

Those who have not looked for work in sex weeks and above are not considered unemployed.

Part time employees are considered employed.

5 0
2 years ago
Harwood Company uses a job-order costing system that applies overhead cost to jobs on the basis of machine-hours. The company's
Damm [24]

Answer:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base (machine hours)

Explanation:

Giving the following information:

The company's predetermined overhead rate of $2.40 per machine-hour was based on a cost formula that estimates $192,000 of total manufacturing overhead for an estimated activity level of 80,000 machine-hours.

To allocated overhead costs to a specific job, you need to multiply the estimated rate for the number of machine-hours required for the job.

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base (machine hours)

5 0
3 years ago
It announces that it plans to pay dividends of $1 per share exactly three years from now and $2 per share exactly four years fro
kkurt [141]

The Question is incomplete.

The complete question is as follows:

It announces that it plans to pay dividends of $1 per share exactly three years from now and $2 per share exactly four years from now. From year 5 onwards, dividends are expected to grow at a constant rate of 10% per year. The company pays no dividends in years one and two. The risk-free rate is 5%, the company's beta is 1.5 and the expected return on the market is 11%. Calculate the price of this stock today

Answer:

Price of stock =  $34.42

Explanation:

<em>The Dividend Valuation Model is a technique used to value the worth of an asset. According to this model, the worth of an asset is the sum of the present values of its future cash flows discounted at the required rate of return.</em>

Required rate of return

Using the CAPM , the rate of return on equity can be determined as follows:

E(r)= Rf +β(Rm-Rf)

E(r) =? , Rf- 5%, Rm- 11%, β- 1.5

Ke = 5% + 1.5× (11-5)%

   = 14%

Present value of Dividends(PV)

Year                                                      PV

3                       $1.00, × (1.14^(-3) =   0.6749

4                        $2.00× 1.14^(-4) =  1.18416

<em>5 and beyond</em>

<em>This will be done in two (2) steps as follows:</em>

PV in year 4 = (2 × 1.10) /(0.14-0.1) = 55

PV in year 0 = 55× 1.14^(-4) = 32.56

Price of stock

=  0.6749  +  1.18416 + 32.56

=  $34.423

7 0
2 years ago
When making an attribution, dan considers how his roommate has behaved in similar situations in the past. dan is using _______ i
Gekata [30.6K]
When making an attribution, Dan considers how this roommate has behaved in similar situations in the past. Dan is using consistency information. 

Information consistency refers to the same thing, being consistent, that even though something may be slightly different the outcome remains the same. In this case, Dan is assuming his roommate will make the same behavior choices as he has previously. 
7 0
2 years ago
Suppose housing prices and stock prices decline significantly and cause autonomous consumption spending to decrease by $200 bill
kirill [66]

Answer: The change will be $400 billion.

Explanation: The marginal propensity to consume (MPC) is used to explain that increase in consumption is as a result of increase in income.

To calculate how much the equilibrium real GDP will change:

STEP1: CALCULATE THE MULTIPLIERS

multipliers = 1 ÷ (1 - MPC)

Where MPC = 0.

Therefore;

Multipliers = 1 ÷ (1 - 0.5) = 1 ÷ 0.5

Multipliers = 2

STEP 2: CALCULATE HOW MUCH THE EQUILIBRIUM REAL GDP WILL CHANGE;

Multipliers × change in consumption spending

2 × $200 billion = $400 billion

Equilibrium real GDP will change with $400 billion

4 0
3 years ago
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