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Answer:
d.All of the above.
Explanation:
Free cash flow is the amount of cash that is available for management to use in
any way they want (at their discretion), after all essential payments have been made.
Essential payment may include taxation payment and other operational expenditure.
Keeping in view the above discussion, it can be assumed that the free cash flow can be used to pay additional dividends, acquire more property, plant and equipment and pay off debts.
Therefore the answer is d.All of the above.
Answer:
A farmer is the one that owns the cattle and is ready to sell it on the market demand, while the meatpacker is the one who buys the product and sells it in different parts to the end consumers.
Since they both are using the commodity market to reduce the risk, the farmer will be the one who agrees to sell the cattle in the future at a fixed rate, while the meatpacker will be the one who agrees to buy the cattle in the future at a specified price fixed by him.
Hope this helps. ThankYou.
Answer:
The demand for Jim’s product is elastic
Explanation:
In this question, we are to calculate the price elasticity of demand for the product.
We proceed as follows;
The formula for calculating elasticity of demand is
e = [(Q2 - Q1) / {(Q1 + Q2) / 2}] / [(P2 - P1) / {(P1 + P2) / 2}]
Here, Q2 = 6000
Q1 = 8000
P2 = $250
P1 = $200
e = [(6000 - 8000) / {(8000 + 6000) / 2}] / [($250 - $200) / {($200 + $250) / 2}]
e = [(- 2000) / 7000] / [(50 / 225]
e = - 1.3
That means absolute value of e is 1.3.
So, as the absolute value of e is more than 1 (i.e., 1.3), that means the demand for the product is elastic.
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