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3 years ago

Similar to bond investments, preferred shares can be ________, meaning the firm may buy them back.

Business

1 answer:

Sphinxa [80]3 years ago

6 0

Answer:

B. callable

Explanation:

Preferred shares and bonds can be callable. This means that the issuing company has a right to buy back the bond before it maturity or the preferred share at a predetermined price.Usually, it is a requirement that the the issuer offers a higher price than the par value of the stock or bond. The holders receive dividends or coupons regularly. Municipal bonds are commonly known to have callable features.

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Explanation:

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3 years ago

Define organisational structure

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Explanation:

of or relating to an organization

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3 years ago

Two mutually exclusive alternatives are being considered.

BaLLatris [955]

Answer:

The correct answer is option B PW = - $50 + 8 (P/A, 0.08, 10)

Explanation:

Recall that

The initial cost for Alternative A is $100 and a uniform annual benefit of $19.93

The initial cost for Alternative B is $50 and a uniform annual benefit of $11.93

The two alternatives has a useful life of 10 years

Now, we will show the rate return analysis given below

Alternative -A Alternative -B A-B

The First cost $100 $50 $50

The annual benefit $19.93 $11.93 $8.93

The Expected life 10 years 10 years 10 years

Thus the increment rate will be computed as,

PW = -P + A (P/A, i, n) ...This is the equation (1)

now,

P = is the first cost

n= The rime period

A= Annual benefit

I = the interest rate

Thus,

We substitute this values into the equation 1 stated

Which is,

PW = - $50 + 8 (P/A, 0.08, 10)

Therefore PW = - $50 + 8 (P/A, 0.08, 10) this will solve for the IRR correction based on Rate of Return Analysis.

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3 years ago

Two brands of water, natural water and mountain water, are close substitutes. if the price of mountain water decreases, the f

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Substitute goods are those goods which as a result of change in market conditions such as changes in price can replace one another for example mountain water and natural water. They are goods with positive cross elasticity demand unlike the complementary goods (goods that are used together). In this case, if the price of mountain water decreases, the fall in price shifts the demand curve for natural water leftward. This means there will be an increased demand for mountain water and a decreased demand of natural water.

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3 years ago

Refer to the diagrams, which pertain to a purely competitive firm producing output q and the industry in which it operates. In t

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Based on the fact that the purely competitive firm is producing at point q, in the long run we should expect firms to leave the industry and market supply to fall so that product price rises.

<h3>What will happen in the long run?</h3><h3 />

At point Q, the firm is making losses as total costs are more then price. Firms will therefore leave the market to avoid making losses.

This decrease in production will lead to reduced supply which will push the prices back up to a $0 profit level.

Find out more on pure competitions in the long term at brainly.com/question/3291231

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2 years ago