The amount of goods and services each dollar buys at a given point in time is called: Purchasing power.
The term defines the number and quality or value of goods and services that can be purchased with <span>one unit of money.
</span>Purchasing power loss happen<span> when prices increase, while purchasing power gain happens when prices decrease.</span><span>
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Answer:
value of the firm = 21.20 million
value of the firm = 20.80 million
Explanation:
given data
current profits = $400,000
annual rate = 4 percent
opportunity cost = 6 percent
solution
we get here value of the firm before pays out current profits as dividend is express as
value of the firm = current profits ( 1+opportunity cost ) ÷ ( opportunity cost - annual rate ) ................1
put here value
value of the firm =
value of the firm = 21.20 million
and
value of the firm after pays is
value of the firm = current profits ( 1+annual rate ) ÷ ( opportunity cost - annual rate ) ................2
value of the firm =
value of the firm = 20.80 million
Answer:
Implement the selected alternatives
Explanation:
The decision making process is divided in 4 rational steps:
1. Identify the existing problem: know what is the difficulty that is being presented, it involves all what is being affected.
2. List possible solutions for the existing problem: here the person lookfl for all the possible ways to solve a problem and the different variables that are being affected.
3. evaluate and select the most beneficial alternative: in this step the person foresee the results of each alternative and choose the once that would work in the best way.
4. Implement the alternative that was selected: it implies the work of every person involved in the results, follow the plan and the improvement of the initial problem.
Sometimes it is added a 5th step, the feedback and evaluation of the implemented alternative to know if the problem was fully solved.
Henry Ford was an inventor during the Industrial Revolution, who had ideas that many workers followed. In addition to inventing the Model T and revolutionizing the way Americans transported themselves, he also contributed by creating the assembly line. To mass produce a certain item in the most efficient manner, each worker specialized in making one part, and then would pass it along to the next worker, who would be specialized in making the next part, and so on and so forth.