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3 years ago

Overspeculation and a decrease in consumer confidence are both leading factors of:?

Business

1 answer:

melomori [17]3 years ago

6 0

Answer:

a stock crash

Explanation:

Speculation refers to trading high risk securities in an attempt to earn higher than normal returns. Speculators use stock market fluctuations to purchase and sell risky securities, and when it is aired with buying on the margin the risk increases by the margin amount. Speculators profit from abrupt changes in security prices, and sometimes will artificially increase the price of securities (i.e. a stock market bubble).

Consumer confidence is vital for an economy's health and when it falls, the first place that takes notice of it is the stock market. A decrease in consumer confidence means less private consumption which inevitably results in an economic recession.

When both factors meet, over speculation and a decrease in consumer confidence, the result is the bursting of the stock market bubble and a sharp decrease in prices.

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2. Make a list of at least 5 business ideas that interest you. Then explain which one you

vlabodo [156]

Answer:

See explanation section

Explanation:

A list of 5 business ideas that interests me -

a) Restaurant;

b) Environment-friendly small tools;

c) Recyclable and reusable setting business;

d) Tours & Travels;

e) Effective education program to enhance moral value.

For me, tours and travels business is highly opportunistic. Reasons are -

i) The company needs straightforward startup costs.

ii) There are massive opportunities because people like to travel very often.

iii) I can do my work independently.

iv) I have the chance to roam around the world with free air tickets.

5 0

3 years ago

Westland College uses a 10% discount rate and the total cost approach to capital budgeting analysis. Both alternatives are expec

DiKsa [7]

Answer: hello your question is incomplete attached below is the complete question

answer : $(1,236,495). ( A )

Explanation:

Attached below is the Calculation of the net present value of the alternative of overhauling the present system

The value of Net present value = ∑ present value

= -300000 - 200000 - 906950 + 77055 + 93400

= - 1,236,495

4 0

3 years ago

An asset is impaired when the asset's carrying value is: Select one: A. Greater than the sum of discounted expected cash flows B

slamgirl [31]

Answer:

D) Greater than the sum of undiscounted expected cash flows

Explanation:

An impaired asset is the asset of the company whose value is listed more in the company's balance sheet than the value in the market price. Long term assets are such form of asset. When the impaired asset is adjusted, the loss is placed under the income statement of the company.

4 0

4 years ago

There are 88 members on a board of directors. if they must form a subcommittee of 55 ?members, how many different subcommittees

Nookie1986 [14]

33 would be the answer.

8 0

4 years ago

the cheap foreign ______ argument says that trade protection is required to ensure that cheap imports do not flood u.s. markets,

GalinKa [24]

The cheap foreign Labour argument says that trade protection is required to ensure that cheap imports do not flood u.s. markets, dragging down prices of goods and u.s. wages. This is further explained below.

<h3>What is foreign Labour?</h3>

Generally, Those who work in a nation other than their own but have no intention of permanently relocating there are considered foreign workers since they do not have citizenship in the country where they are employed.

In conclusion, The idea that trade protection is needed because of cheap imports flooding the market and driving down prices and U.S. wages is known as the "cheap foreign labor" argument. More detail about this is provided below.