Answer and Explanation:
The computation is shown below:
a. The expected value of payout arise from emergency is
= 0.01 × $67,500
= $675
b. The expected value of payout arise from capped coverage insuance is
= (0.9 × $500) + (0.09 × $2,500)
= $675
c. The risk averse shows the minimum exposure with respect to the swings of the income or there would be the loss in the income. Since the payout amount is same in both the cases so here we considered option B
Hi there!
The answer is A) A lack of labor mobility as people choose to remain in their hometown.
Unemployment is a complex issue, here are the reasons why the other options increase unemployment:
-Reduction in Union bargaining activities would increase unemployment because employers wouldn't have as many restrictions to reduce their workforce.
-Reduction in economic activity due to a recession would increase unemployment as the demand for products, and for workers too, will decrease.
-The existence of efficiency wages causes unemployment because the demand for labor will decrease, as employees get more and more efficient.
<span>A lack of labor mobility as people choose to remain in their hometown will not contribute to a higher level of unemployment. Instead, labor mobility can increase unemployment because there would be an oversupply of labor in a specific region. </span>
Answer:
Explanation:
When a payment is made to somebody, you debit the receiver of that payment and credit Cash or Bank as money is paid from cash or by means of cheque. When money or cheques are received, you credit the person who is paying you and you debit the cash or bank.
Answer:
D. Increase investment in the personal health monitoring unit to encourage future growth.
Explanation:
Using the Boston Consulting Group growth-share matrix, the managers of Xylicon International determined that their business unit devoted to personal health monitoring devices was a star. Based on this finding, they should Increase investment in the personal health monitoring unit to encourage future growth. Stars are termed, defined and categorized as the high-share and high-growth businesses which most of the times needs some kind of huge investments for their rapid and speedy growth. They can ultimately be turned down into cash cows which are the highly profitable products for any organizations, therefore, as personal health monitoring devices are star for Xylicon International, therefore, they are required to increase investment for these products in order to make them their cash cows. They can huge profits by spending on this segments which definitely has huge growth potential.
