Answer: The firm should produce more output when marginal cost equals marginal revenue.
Explanation: A business can maximize it's profit by producing at a level where marginal cost equals marginal revenue. As long as the Marginal revenue is not lower than marginal cost the firm can produce more to maximize their profit.
Answer:
The correct answer is letter "C": the company has more than enough earnings to make its interest payments.
Explanation:
Times Interest Earned or TIE measures the ability of an organization to pay its debt. TIE is calculated by dividing a company's earnings before interest and taxes by the interest that is payable on its debts. A low ratio means the company fails to pay debts, and if it fails to fulfill its responsibilities, it may default in bankruptcy. A high ratio means a business can cover its debt expenses.
Thus, <em>if a company's TIE is 12.1 it means its pre-taxed earnings are 12.1 greater than its annual interest expense implying the firm has the funds necessary to cover its interest payment.</em>
The nominal annual rate of return is 20%
Given,
Annual dividend = $2.50(4) = $10. rps
= Dps/Vps = $10/$50 = 0.20 = 20%
The nominal rate of go back is the quantity of cash generated by way of an investment before factoring in charges such as taxes, funding charges, and inflation. If an funding generated a ten% go back, the nominal rate would equal 10%.
Nominal interest price refers back to the hobby price earlier than taking inflation into consideration. Nominal also can seek advice from the advertised or said interest rate on a loan, without contemplating any fees or compounding of interest.
Learn more about interest here: brainly.com/question/2294792
#SPJ4
I'd say E. ensure the redpient has understood. what is being conveyed