People often make investments the health and wellness sector. This would be an example of foreign direct investment.
<h3>What is a foreign direct investment (FDI)?</h3>
This is known as a purchase of an interest that a firm is involved in. Here, the company by a company or an investor are found outside its borders.
The 3 types of FDI are;
- Horizontal FDI
- Vertical FDI
- Conglomerate FDI
It is simply a business decision to get or buy a good amount of stake in a foreign business as in the case with Reneta.
Learn more about foreign direct investment from
brainly.com/question/1125884
Answer: $2.78
Explanation:
Average variable cost is calculated by dividing the total variable cost of producing a certain number of units of a good by that same number of units.
Average variable cost = Variable cost of producing 18 sneakers / 18
= 50 / 18
= 2.7778
= $2.78
Answer:
The value of the stock today is $20
Explanation:
Using the CAPM equation, we first calculate the required rate of retunr on the stock.
The equation for CAPM is,
r = rRF + Beta * rpM
Where,
- rRF is the risk free rate
- rpM is the risk premium on market
- Beta * rpM is the risk premium on stock
r = 0.05 + 0.04
r = 0.09 or 9%
The value of the stock can be calculated using the zero growth model of DDM. The DDM values the stock based on the present value of the expected future dividends from the stock. As the dividend from the stock is expected to remain constant through out to an indefinite period, the value of the stock today is,
P0 = Dividend / r
P0 = 1.8 / 0.09
P0 = $20
The rationale for internal control principle, segregation of duties is that the work of one employee should, without duplication of effort, provide a reliable basis for evaluating the work of another employee. Segregation of Duties is a basic building block of sustainable risk management and internal controls for business. It is based on shared responsibilities of a key process that disperses the critical functions of that process to more than one person or department.
Product-service bundling is adding Value-added services to a firm's product offerings to create more value for the customer.
