All categories

3 years ago

The law of increasing costs means that when an economy increases the production of one item

1 answer:

3 0

The law of increasing costs means that when an economy increases the production of one item the opportunity cost goes up. It is a principle that states that once all factors of production (land, labor, capital) are at maximum output and efficiency, producing more will cost more than average.

You might be interested in

The risk-free rate of return is 2% and the expected return on the market portfolio is 8%. Oklahoma Oilco has a beta of 2.0 and a

solmaris [256]

Answer:

The multiple choices are as follows:

18.6%

14.0%

22.8%

25.0%

The second option is the correct answer,14%

Explanation:

The capital asset pricing asset model formula for computing a firm's cost of equity according to Miller and Modgiliani is given below:

Ke=Rf+Beta*(Mr-Rf)

Rf is the risk free of 2% which is the return expected from zero risk investment such as government treasury bills.

Beta is how risky an investment in a company is compared to similar businesses operating in similar business sector of the company given as 2.0

Mr is the expected return on market portfolio which 8%

Ke=2%+2*(8%-2%)

Ke=2%+2*(6%)

Ke=2%+12%=14%

3 0

2 years ago

Horizon inc., a local electronics manufacturing company, produces a significant amount of electronic waste every day. the compan

hram777 [196]

This scenario illustrates that Horizon has failed to fulfill its "Legal responsibility".

There are legal responsibilities for most private companies. They will differ contingent upon the idea of the business.

To stay away from issues later on it is imperative to comprehend your commitments. It is critical to know your commitments and legal responsibilities for working a business. This can be perplexing in light of the fact that directions can apply to a wide range of regions of your business.You are in charge of guaranteeing you have the right business enlistments and that they are kept up and recharged.

6 0

2 years ago

The proteins that exert the greatest colloid osmotic pressure to maintain blood volume and blood pressure are called.

lesya [120]

The proteins that exert the greatest colloid osmotic pressure to maintain blood volume and pressure are called: Serum Albumin.

<h3>What is Serum Albumin?</h3>

Serum Albumin is a form of protein that is located in blood plasma. It makes up about 55% of the proteins in blood plasma.

Serum albumin also exerts the greatest colloid osmotic pressure that amounts to 22 mm Hg. This figure is followed by the globulins that account for pressure of just 6 mm Hg.

Learn more about Serum Albumin here:

brainly.com/question/2456851

8 0

1 year ago

A decrease in input costs to firms in a market will result in a(n) _________________

shtirl [24]

Answer:

a) decrease in equilibrium price and an increase in equilibrium quantity.

Explanation:

As the input cost decreases for the companies the the supply of the goods increases hence the supply curve shifts rightwards.In the curve at the new equilibrium point the equilibrium price decreases and the equilibrium quantity increases.

Think it like if cost of creating anything is decreased for a company then the company will create more products .So there will be more products in the market.So to clear the products in the market the price will be reduced and the quantity of the product is more than before.

6 0

2 years ago

Suppose Stark Ltd. just issued a dividend of $2.57 per share on its common stock. The company paid dividends of $2.20, $2.31, $2

crimeas [40]

Answer:

Growth rate (g) = n-1√(Latest dividend) - 1

Current dividend

= 4-1√($2.49/2.20) -1

= 3√(1.1318) -1

= 1.04 - 1

= 0.04 = 4%

Ke = Do(1 + g) + g

Ke = $2.57(1 + 0.04) + 0.04

Ke = 0.04 + 0.04

Ke = 0.08 = 8%

Explanation:

In this case, we need to calculate the growth rate using the above formula. Then, the cost of equity will be calculated. Cost of equity is a function of current dividend paid subject to growth rate divided by current market price.

Explanation:

5 0

3 years ago