Answer:
The correct answer is letter "D": multiple systematic risk factors.
Explanation:
The Arbitrage Pricing Theory or APT weights the influence of different macroeconomic factors on an asset return. If the asset's price is different than the model's projection an opportunistic investor can buy and sell the asset for a profit. Those macroeconomic factors can include economic output, unemployment, inflation, savings or investments-specific considerations and they capture systematic risk.
Answer:
an engraving service for pen owners who may wish to will their pens to loved one.
Bic is a large publicly traded company with significant financial resources.
Explanation:
Mont Blanc uses differentiation strategy to address to consumer social and emotional needs. The best strategy will be to provide pen with name or a special message engraved in the pen according to the consumer needs. This will focus on consumer social needs and pen owners will love to will their pens to their loved ones.
Bic is large publicly traded company which has significant financial resources available to it. Bic will not wish to compete with Mont Blanc as it will require financial resources to capture its target market. Bic pens are cheaper and consumers are attracted to it because of its low price and ease in availability.
Answer:
Those who sell their goods and services abroad benefit from devaluation.
Explanation:
The firms and people who sell their goods and service abroad benefit from a US Dollar devaluation. Since their products are sold abroad, a devaluation increases the competitiveness of their offer compared with other countries, making more attractive their offer because they sell the same quality and value at a lower price
Answer:
Average total cost = $39
Marginal revenue = $32 per unit
Explanation:
The computation of average total cost and marginal revenue is shown below:-
Average total cost = Selling price - (Economic profit ÷ Weekly output)
= $42 - ($1,500 ÷ 500)
= $42 - 3
= $39
Marginal revenue = Marginal cost
So,
Marginal revenue = $32 per unit
Therefore for computing the average total cost and marginal revenue we simply applied the above formula.
The future value of a current investment is calculated through the equation,
F = P x (1 + i)^n
where F is the present value, F is the future value, i is the nominal interest rate, and n is the number of years.
Substituting the known values,
F = ($375)(1 + 0.03)^1 = $386.25
Hence, the answer to this item is letter C.
