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
Dmitrij [34]
3 years ago
5

The business risk of a company: Multiple Choice

Business
1 answer:
Yanka [14]3 years ago
7 0

Answer:

The correct answer to the following question is option B) it has a positive relationship with the company's cost of equity.

Explanation:

Business risk can be defined as a risk which is capable of threatening a company's ability to achieve its goals or lower the company profits. This risk can be associated with overall operations of a company. This type of risk can arise from with in the company or even from external factors. This risk has a positive relationship with the company's cost of equity.

You might be interested in
On september 1, abc company borrowed $50,000 on a 6%, 9 month note payable to xyz national bank. given no previous adjusting ent
Westkost [7]

To determine the answer to this, let us first determine the interest using the formula:

Interest = Principal amount * Interest rate * Number of months / 12

September to December would be 4 months, therefore:

Interest = $50,000 * 0.06 * 4/12

Interest = $1,000

Therefore the adjusting entry should be:

debit to Interest Expense of $1,000

8 0
3 years ago
Read 2 more answers
Which of these is a renewable resource? A. Coal B. Trees C. Iron D. Oil<br><br> 2b2t
harkovskaia [24]
Trees are a renewable resource
4 0
3 years ago
Read 2 more answers
The older term, social service, referred to advancing human welfare. The new term, meaning to provide for the needs of various p
Mazyrski [523]

Answer:

Social welfare

Explanation:

The term <u><em>“social welfare”</em></u> does not have a precise definition. Currently, social welfare refers to a wide range of activities and services by volunteers, non-profit organizations and governmental agencies providing help to needy persons unable to care for themselves; activities and resources designed to enhance or promote the well-being of individuals, families and the larger society; and efforts to eliminate or reduce the incidence of social problems

8 0
3 years ago
ABC Inc. just paid a dividend of $1.00 this year. The stock price is $15.43 currently. The market risk premium is 15% and the ri
mariarad [96]

Answer:

Price lowers and becomes negative or -5.37 dollars

Explanation:

Market risk premium's formula could be written as dividends/price + dividend's growth rate. Therefore, we dividend growth rate according to the current price and dividend level equal to market risk premium - dividends/price or 0.15 - 1/15.43 = 0.086 or 8.6%. If the dividend growth rate rises by 25% than new one is 33.6%. Price is equal to dividends/market risk premium - dividend growth rate or in this case 1/0.15-0.336 or 1/-0.186 or -5.37 dollars. If the price is negative that would mean that any future selling of the stock would mean that ABC would have to pay in order to sell it.

4 0
3 years ago
What is a deficit?
Marizza181 [45]

Explanation:

In any single year, federal government takes in money and spends money, any year in which the government spends more than it takes out it runs a deficit.

8 0
3 years ago
Read 2 more answers
Other questions:
  • Magical Productions is a large production company that controls a major portion of the television industry's market share along
    7·1 answer
  • 1. Which of the following can be used as the cooking liquid for a stew?
    15·2 answers
  • If the price of money (e.g., interest rates and equity capital costs) increases due to an increase in anticipated inflation, the
    12·1 answer
  • Mindy, a tenured college professor, tells her friend, "I really like this job. I get to set my own hours, work on books from sta
    11·1 answer
  • A mortgage requires you to pay $70,000 at the end of each of the next eight years. The interest rate is 8%. a. What is the prese
    12·1 answer
  • Cho has opened a new startup company in web design. within the first month of business, the startup agrees to maintain an accoun
    13·1 answer
  • Company AA had net income of $20,000 in 2017. Compared to previous year, Accounts Receivable decreased by $10,000, Prepaid Rent
    11·1 answer
  • 100 POINTS!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! PLEASE ANSWER APROPPRIATELY!!!!!! NO LINKS OR FALSE ANSWERS PLEASE OR YOU WILL BE R
    14·1 answer
  • When a company uses computer software to extract large amounts of data from social media platforms, it is using ______
    11·1 answer
  • Pool Corporation, Inc., is the world's largest wholesale distributor of swimming pool supplies and equipment.
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!