1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Arlecino [84]
4 years ago
14

The best description of business model risk is:

Business
1 answer:
prohojiy [21]4 years ago
5 0

The answer to the question is (C) how changing circumstances may affect the business and how the business model can be adjusted to cope with them.

Business model is defined as a model that a business uses to determine how it plans to generate revenue and in turn, profit. Another term for business model is profitability model. Thus business model risk implies risk management principles that are applied on business model contexts.

You might be interested in
What does a decrease in supply result in?
strojnjashka [21]

Answer:

The correct answer is option c.

Explanation:

A decrease in the supply will cause the supply curve to shift to the left. This leftward shift in the supply curve will further cause the demand and supply curve to intersect at a higher point.

As a result, there will be an increase in the equilibrium price and a decrease in the equilibrium quantity.

This also represented in the figure given below.

7 0
3 years ago
Schnusenberg Corporation just paid a dividend of D 0 = $0.75 per share, and that dividend is expected to grow at a constant rate
natta225 [31]

Answer:

Current stock price will be $14.50

So option (a) will be correct answer

Explanation:

We have given dividend paid D_0=$0.75\ per\ share

Growth rate g = 6.5 %

Required return on market = 10.50 %

Risk free return = 4.50 %

\beta =1.25

So next dividend D_1=0.75\times (1+0.065)=$0.798

We have to find thcompany current stock price P_0

Required rate of return is given by

Required rate of return =  Risk Free Return + \beta (market\ return-risk\ free\ return)

= 4.5+1.25×(10.5-4.5) = 12 %

Now current stock price P_0=\frac{D_1}{R_e-g}=\frac{0.798}{0.12-0.065}=$14.50

So option (a) will be correct option

3 0
4 years ago
Can anyone help show me how to solve these? Please!! This is due tomorrow.. :(
DIA [1.3K]
1) 40 x9=360 that’s how much he should have earned. £360 - $332.46 = $27.54 that’s ur answer
3 0
4 years ago
Big Valley has a times interest earned ratio that is _________, which indicates that Big Valley has _________ long-term insolven
irina1246 [14]

Answer:

C. 3.91; more

Explanation:

the first part of the question is missing. It involved several aspects of Big Valley including its current and quick ratios, ROE and how they compare to the industry's average (they are generally lower than the industry's average).

This particular question refers to times interest earned ratio = EBIT / interest expense = 3.91, and how it compares to the industry's average (it is higher than the industry's average).

Since Big Valley performs poorly against the industry's average when comparing the other 3 metrics, but performs very well in the times interest ratio, it means that Big Valley has a low debt ratio. A low debt ratio results in lower financial leverage and lower interest expense.

5 0
3 years ago
An advance payment of $1,000 for services was received on December 1 and was recorded as a liability. By the end of the year, $4
serious [3.7K]

Answer:

The answer is "$400"

Explanation:

Given:

advance payment = $ 1,000

by the end of year he earned= $ 400

So, the total eared value is $ 400 because it is the Debit unearned income.

3 0
3 years ago
Read 2 more answers
Other questions:
  • Which role did women most likely play in bringing dramatic change to hunter-gatherer societies?
    12·2 answers
  • Suppose that the yield curve shows that the one year bond yield is 3 percent, the two year bond is 4 percent, and the three year
    6·1 answer
  • Suppose an apartment complex converts to a condominium, so that the former renters are now owners of their housing units. Suppos
    7·1 answer
  • Look at the scenario Linear Production Possibility Frontier. What is the maximum number of pairs of socks Largetown can produce?
    5·1 answer
  • The text identifies three goals of strategic messages. During office meetings, Sara expresses her respect for her boss by listen
    14·1 answer
  • Andrew paid $30 to buy a potato cannon, a cylinder that shoots potatoes hundreds of feet. He was willing to pay $45. When Andrew
    15·1 answer
  • A man bought a horse for $60 and sold it for $70. Then he bought it back for $80 and sold it for $90. How much did he make or lo
    10·1 answer
  • A perfectly competitive market is initially in long-run competitive equilibrium. Then, market demand falls. By the time all adju
    14·1 answer
  • Real data vs nominal data what is the difference
    10·1 answer
  • Highlight the difference between progressive and regressive tax.
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!