Answer:
a) cost of equity capital
Explanation:
A investor demand the rate of return based on the risk involved in a particular investment. The shareholders invest in the equity of the firm, the required rate of return of shareholders is the cost of equity capital. As the firm is more risky the cost of equity capital will be higher and less risky have lower cost of equity capital.
Answer:
Option B. Maintain barriers between departments
Explanation:
The reason is that Deming's 14 principles talk about the transformation and achieving better results by eliminating the barriers involved in transforming. Deming said that all those elements that are barrier to improvement, cost reduction and quality must be eliminated and a system of transformation must be designed that promotes constant improvement, change adoption, elimination of quotas and numerical goals, elimination of barriers between department so that better results like quality improvement and cost reduction can be achieved.
Hence saying Daming said that the barrier between departments must be maintained is wrong as it is barrier to transformation.
Answer:
The correct answer is (D)
Explanation:
Amount of bond = $500
Rate of coupon = 6%
To find the yearly interest payment
=500* 6/100
=$30
Interest will receive by Ryan in a year is given by
Semi-annually interest payment is
=30* 6/100
=$15
So the correct answer is (D)
Answer:
The marginal propensity to consume is <u>92 percent</u>.
Explanation:
Marginal propensity to consume (MPC) refers to the additional expenditure on consumption by consumer as a result of an in national income.
That is, MPC is a measure of the proportion or percentage of the additional income that goes consumption expenditure.
MPC can be calculated using the following formula
MPC = ΔC / ΔY ......................................... (1)
Where;
ΔC = Change in consumption = New consumption - Old consumption = $1,168 - $800 = $368
ΔY = Change in income = New income - Old income = $1,400 - $1,000 = $400
Substituting the values into equation (1), we have:
MPC = $368 / $400 = 0.92, or 92%
Therefore, the marginal propensity to consume is <u>92 percent</u>.
