Answer:
Celebrity Branding
Explanation:
It is an advertising Campaign used by Companies, Brands and other non- profit organizations. Well known persons and Celebrities are used to promote a product using their fame and social status. It works on the concept that positive images of celebrities endorsing a brand will also make their followers buy the product. It is especially used by beauty and fashion brands. Non-profit organizations also rely on celebrities to attract awareness toward a certain issue as celebrities have mass communication skills and can reach a wider audience.
Answer:
a. Value.
Explanation:
The opportunity cost of a choice is the value of the opportunities lost.
In Economics, Opportunity cost also known as the alternative forgone, can be defined as the value, profit or benefits given up by an individual or organization in order to choose or acquire something deemed significant at the time.
Simply stated, it is the cost of not enjoying the benefits, profits or value associated with the alternative forgone or best alternative choice available.
Hence, the opportunity cost of a choice is the benefits that could be derived in from another choice using the same amount of resources.
<em>For instance, if you decide to invest resources such as money in a food business (restaurant), your opportunity cost would be the profits you could have earned if you had invest the same amount of resources in a salon business or any other business as the case may be.</em>
Answer:
Porsche hedges its foreign exposure to prevent it from the volatile currency market.
Hedging makes sense from the shareholder's perspective.
Hedging makes sense from the management perspective
The potential difference in interest between management and shareholders on the hedging strategy exists.
Explanation:
- Porsche hedges their foreign exposure to prevent it from the volatile currency market. The foreign operations of Porsche from the overseas implies that it has to convert its currencies to various denominations to US Dollar. so it faces the translation, economic and transaction exposure due to the fluctuating currency markets and exchange rates. In such a case, the Porsche has to hedge foreign exposure by using currency swaps or future contracts to ensure the loss from currency exchange is minimized.
- Yes, it makes sense from the shareholder's perspective to hedge because it protects the earnings of the company since the shareholders want their earnings to be maximized.
- Yes, hedging makes sense from the management perspective. The management are the agents of the shareholders and thus try to pursue hedge strategy on behalf of the shareholders to ensure the earnings are protected and losses due to currency exposure are minimized.
- There exists differences in interest between management and shareholders on the hedging strategy. The potential difference in interest between the shareholders and the management is due to the risk level.
Answer:
The basic principle is known as the opportunity cost
Explanation:
The opportunity cost is defined as something that you are not earning because you don't do a revenue activity.
In this case, Sharon doesn't receive $9 per each hour that she prefers to go to the swimming pool. Also, she is expending $4 additional to the opportunity cost each time that she goes to swim.
<em>For example, if she goes to swim 2 hours a day instead of work them, we can conclude that she isn't earning $18 and lossing $4 additional for the fee entrance to the swimming pool. </em>
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Please, note that, are different the concepts of "let of earning" and "lossing". First one talks about money that you never have had and the second is about money that you had but now you don't.
Answer:
50 percent: your needs
20 percent: your savings and debt
30 percent: your wants
Explanation:
Budgeting your money using the "50/20/30" rule:
50 percent: Your needs. 50 percent of your paycheck should be set aside for the essentials, the core things you need to live. These include utilities, groceries, and rent, prescription medications, gas for your car, or the minimum payment on your credit card.
20 percent: Your savings and debt. The next 20 percent of your paycheck is for your savings and debt repayments. In other words, paying off the past and investing in the future
30 percent: Your wants. The remaining 30 percent should be spent on things that you want but could live without. This 30 percent allows for flexible spending and, perhaps, a happier life.
This could include money for vacations, shopping sprees, or a car you really covet. But remember, these "wants" include all things that aren't needed to stay afloat, so be sure to prioritize.
