Answer:
True.
Explanation:
If investors prefer firms that retain most of their earnings, then a firm that wants to maximize its stock price should set a low payout ratio.
And her in a case of a retired individual who lives on his or her investment income, then it would make sense for this person to prefer stocks with high payouts so he or she could receive cash without going to the trouble and expense of selling stocks. On the other hand, it would make sense for an individual who would just reinvest any dividends received to prefer a low-payout company because that would save him or her taxes and brokerage costs.
Answer:
b. 3 McBurgers and 2 cans of Alpo
Explanation:
If the goal is to maximize utility, Ms. Tightwad should look into purchasing the combination that yields the highest utility.
a. 4 McBurgers, 0 Alpo cans:
b. 3 McBurgers, 2 Alpo cans:
c. 2 McBurgers, 4 Alpo cans:
d. 1 McBurger, 6 Alpo cans (assume marginal utility stays constant after the 4th can):
Since option b. yields the highest utility, she should buy 3 McBurgers and 2 cans of Alpo
Answer:
his investment will be worth $39,944 at the end of 12 years.
Explanation:
FV = PV(1 + i)^n
= $4,700 + $4,700*PVAF(7%,11 years)
= $4,700 + $4,700*7.49867
= $4,700 + $35,244
= $39,944
Therefore, his investment will be worth $39,944 at the end of 12 years.
Answer:
None of the choices describe offshore outsourcing.
Explanation:
Offshore outsourcing is when a company hires a third party in another country to do some tasks for the company.