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lapo4ka [179]
4 years ago
15

What are the weak points of economic costs that are part of a free enterprise economy?

Business
2 answers:
svlad2 [7]4 years ago
7 0

Answer:

competition is allowed to flourish with a minimum of government interference.

                                          Yha I know its short.

Zielflug [23.3K]4 years ago
3 0

The Definition of free enterprise would be competition is allowed to flourish with a minimum of government interference.


So the weak points or cons of this economy would be

the risk when creating a new product, profit is also a risk.  Business owners don't know if their product will be a success or a fail. (Efficiency at a Cost)

- inflation. This is the biggest danger of economic growth. When the demand outgrows supply, it sets the scene for companies raising prices. This sort of disparity can have a very bad chain reaction (Economic Growth Rates)

Hope this helped.

Cody



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Entitlement culture is the idea that __________________________. a. basic salaries are extra pay for sales performance rather th
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Answer:

The correct answer is letter "D": bonuses are deferred salary rather than extra pay for extra sales performance.

Explanation:

In the corporate world, entitlement culture refers to the workers' beliefs that they deserve a series of privileges. This tends to happen during growth periods. Employees assume that the optimal situation of the firm has to do with their performances then, the organization owes them.

An idea that is commonly spread under such a scenario is that bonuses and commissions are deferred salaries and not extra payment for outstanding performance.

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The company's wacc is 10.5%. what is the irr of the better project? (hint: the better project may or may not be the one with the
Inessa05 [86]

The better the IRR, the better. but, a corporation may additionally decide on a mission with a decreased IRR as it has other intangible advantages, together with contributing to a larger strategic plan or impeding competition.

Solution:

NPV of Project S= -$1,000 +$895.03/(1+10.5%) + $250//(1+10.5%)^2 +$10//(1+10.5%)^3 +$5//(1+10.5%)^4 =25.49320776

IRR of Project S= -$1,000 +$895.03/(1+r%) + $250//(1+r%)^2 +$10//(1+r%)^3 +$5//(1+r%)^4 =0

IRR =12.80%

NPV of Project L = -$1,000+ $5/(1+10.5%) +$260/(1+10.5%)^2 + $420/(1+10.5%)^3 + $802.50/(1+10.5%)^4

=$67.01

IRR of Project L=

-$1,000+ $5/(1+r%) +$260/(1+r%)^2 + $420/(1+r%)^3 + $802.50/(1+r%)^4 =0

IRR =12.700%

Project L is better than Project S since L has higher NPV

IRR of Project L is 12.7%.

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5 0
2 years ago
Which step in the product development process involves announcing a new
Scorpion4ik [409]

Answer:

D

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announcing the product takes place in the commercialization and launch of the product

5 0
3 years ago
Assuming no change in government spending, an decrease in taxes of $80 billion with an mpc of 0.50 will add a total of $________
Scilla [17]

Assuming no change in government spending, a decrease in taxes of $80 billion with an mpc of 0.50 will add a total of $<u> 400 </u>billion to the economy after the multiplier effect.

The economy is defined as the management of financial matters in communities, businesses, or families. An example of an economy is the US stock exchange system.

A standard definition of the economy might describe economics as a social science focused on meeting needs and desires through the allocation of scarce resources with alternative uses. Going further, we can say that economy is the study of scarcity and choice. The economy is defined as the management of financial matters in communities, businesses, or families. An example of an economy is the US stock exchange system.

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4 0
2 years ago
Areas that once had vast economic growth and large amounts of industry, but are now suffering from the effects of outsourcing ar
Irina-Kira [14]

Answer:

de-industrialization

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Deindustrialization refers to the  phase of social and economic event caused by the elimination or decrease of industrial base or operation in a region or country, in particular of manufacturing industries or mining. It's the reverse of being industrialised.

It is the opposite of  industrialization. Deindustrialization usually happens as it is no longer profitable for a specific industrial activity. It's a phase in which industrial development is eliminated or decreased in a country or area due to a major social or economic transition.

7 0
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