Answer:
brand risk, demand risk, price risk, product development
Explanation:
marketing risk is a potential for losses and failures in marketing.
brand risk : this is the risk that the product would lose it value due to competition and failures in declining brand awareness. it is likely to to affect a new product if prevailing measures are not taken to curb such risk.
demand risk: this is the risk that the demand for the product being advertised will fall or fail to materialized. this is likely to occur when there is a shift in customer needs or choice.
price risk: this is related to a risk that the price tag on the product campaign may vary higher than competitor price.
product development: this risk is related to launching and developing a new product. there is likely hood that new product has a higher percentage of not succeeding in the market.
Answer:
The correct answer is D
Explanation:
Third Degree Price Discrimination is the kind of the discrimination, which occurs when the company charges a different price to the different groups of consumers.
For example, the movie cinema or theater might divide or categorize the moviegoers into children, seniors and adults, while each of them will pay a different price when watching the same movie.
So, in this case, that the residential customers are charged higher prices to industrial customers, which is an example of third degree price discrimination.
Answer: 8.45%
Explanation:
From the question, we are informed that Holmes Company's currently has an outstanding bonds and has a 8% coupon and a 13% yield to maturity.
We are further told that Holmes believes it could issue new bonds at par that would provide a similar yield to maturity and that its marginal tax rate is 35%.
Holmes's after-tax cost of debt will therefore be calculated as:
= Yield to maturity × (1 - Marginal tax rate)
= 13% × (1 - 35%)
= 13% × (65%)
= 0.13 × 0.65
= 0.0845
= 8.45%
Answer:
a. $ 408.16
b. $408.16
c. Higher rate of return
Explanation:
a. Present value of $500 three years from today would be calculate by using the formula P
V = 500 / (1+0.07)^3 = 408.16
b. Jim should pay not more than $408.16 to purchase this payment now.
c. If Jim can purchase this investment for less than the amount calculated in part (a), it means that the rate of return that he will earn is higher than the opportunity cost.
