Answer:
b). The average value of the 30 blue-chip stocks is down by 3.2%.
Explanation:
'Dow Jones Industrial Average' also known as 'DJIA' is characterized as the standard indicator to denote the stock-market prices of the shares of the major companies associated with blue-chip in the United States.
As per the question, a down or fall in DJIA by 3.2% would indicate that the stock prices of the companies trading with 'blue-chip' have faced a reduction in their share prices by 3.2% for that day. So, this allows the investors to keep a check on the stock prices and invest accordingly whenever they find it profitable. Thus, <u>option b</u> is the correct answer as the other options fail to convey this idea rather they either talk about the loss of value instead of decrease(in options a and c) or disassociates the entire concept with the stock market(in option d).
Answer:
O A. A factory in Vietnam can produce more shoes than other
countries.
Explanation:
Absolute advantage is the capability of a commercial entity to produce goods using fewer resources compared to rivals. Using the same inputs, an entity with an absolute advantage produces a larger output compared to competitors. It means the firm has a lower marginal cost of production. Therefore, its products will have the lowest prices in the market.
The factory in Vietnam has an absolute advantage in producing shoes. It is using fewer resources than rivals to manufacture shoes, that why it is producing a higher quantity.
Answer:
The IRR for this project is 28.88%
Explanation:
The Internal Rate of Return (IRR) is that rate of return in which the Net present value (NPV) of the project is zero.
Where, Net Present value is that value in which the initial investment and cash outflows after applying discount factor is equal.
The Internal rate of return is calculated by using the Excel formula:
= IRR (-initial investment, all cash outflows)
The computation is shown in the attachment sheet.
Thus, the IRR for this project is 28.88%
Answer:
<u>D. Happenstance.</u>
Explanation:
The fact that German firms were nationalized has often been regarded as mere happenstance; meaning it just occurred based on the circumstances they were in immediately after World War II.
It thus encompasses several factors such as the cost of operations, changes in government, etc, not just one factor.