Option C
If expectations of the future inflation rate are formed solely on the basis of a weighted average of past inflation rates, then economics would say that expectation formation is: adaptive.
<u>Explanation:</u>
Adaptive expectations hypothesis implies that investors will modify their expectations of future behavior based on current prior behavior. In finance, this impact can effect people to produce investment decisions based on the way of contemporary historical data, such as stock price activity or inflation rates, and modify the data to prophesy future exercise or rates.
If the market has been trending downward, people will possible expect it to proceed to trend that way because that is what it has been acting in the recent past.
Answer:
Creative Sound Systems
Net cash flows from investing activities:
Cash inflow from sale of investments $31 million
Cash inflow from sale of land $15.1 million
Cash outflow from purchase of equipment ($25.1 million)
<u>Cash outflow from purchase of patent ($12.1 million)</u>
Net cash flows provided by investing activities $8.9 million
Creative Sound Systems
Net cash flows from financing activities:
Cash inflow from issuing common stocks $40.2 million
<u>Cash outflow from purchase treasury stock ($21.1 million)</u>
Net cash flows provided by financing activities $19.1 million
Answer:
the rate of return required by investors to incentivize them to invest in a company
Explanation:
In finance, the cost of equity is the Cost of Equity is the rate of return which an organization pays those that invested in equity. The organization uses cost of equity to check how attractive investments are.
It can be calculated by using the CAPM which is Capital Asset Pricing Model
Answer:
<em>Options Include:</em>
A. demand will become more price elastic.
B. price elasticity of demand will not change as price is lowered.
<em>C. demand will become less price elastic. is Correct</em>
D. the elasticity of supply will increase.
Explanation:
<em>Typically as a broadly accurate guide, the product is called elastic if the quantity of a good demanded or purchased increases more than the change in price. </em>
(Price increases by + 5%, but demand decreases by -10%). When the shift in the purchased quantity is the same as the price change (say, 10 per cent/10 per cent= 1), the product is said to have price elasticity unit (or unitary).
Eventually, when the purchased quantity changes less than the price (say,-5 per cent demanded for a price change of+ 10 per cent), then the product is called inelastic.
Answer:
it's depends on your current location.....
Explanation:
and I don't know about your location... sorry...
hope it's help you.....
