Answer:
The primary difference between product markets and factor markets is that:
Product markets are markets related to products, goods, tangible finished items. This is where you'll get your product for sale and where people will buy it.
while
Factor markets are for the factors of production, mostly intangible, like labor, capital and entrepreneurial skills. This is what you'll use (including raw materials) to make your product.
Answer:
10.25%
Explanation:
Data provided in the question:
Long-term debt = 45%, after-tax cost = 7%
Preferred stock = 15%, after-tax cost = 10%
Common stock equity = 40%, after-tax cost = 14%
Now,
The weighted average cost of capital for this firm will be calculated as:
= Long term debt × after-tax cost + Preferred stock × after-tax cost + Common stock equity × after-tax cost
or
= 0.45 × 0.07 + 0.15 × 0.10 + 0.40 × 0.14
or
= 0.0315 + 0.015 + 0.056
= 0.1025
or
= 0.1025 × 100%
= 10.25%
Answer:
Pocket books
Explanation:
Pocketbooks were founded in 1939 and revolutionised the whole publishing industry. The idea was to produce easy to carry books with inexpensive paperback reissues. The idea became an instant success and per book cost was almost 25cent. Following the success of US publisher Robert de Graff many other publishing companies across England started to manufacture pocketbooks.
Answer:
FREE TRADE AREA
Explanation:
It is a form of Economic Union in which : Economies agree to increase their economic integration - by reducing or eliminating trade (goods & services) barriers & investment (capital flow) barriers among them.
This free trade within the area benefits economy : by increased competitive efficiency, economies of scale, more choice at lower prices for consumers etc.
Example : North America Free Trade Area NAFTA is an FTA agreement between USA, Mexico, Canada.
Answer:
debit to Accounts Receivable for $3,500 credit to Sales for $3,430
Explanation:
Merchandise with a sales price of $3,500 is sold on account with terms 2/10, n/60. The journal entry to record the sale would include a debit to Accounts Receivable for $3,500 credit to Sales for $3,430.
Since the goods were sold on account, it means that it was sold on credit and an entry to cash will be a wrong entry. The right Journal entry will be a debit to accounts receivable for the total amount and a credit to sales for the total amount less the proposed discount amount of 2%