Answer:
The correct answer is letter "C": produces products that are considered elastic.
Explanation:
Elasticity refers to the sensitivity of a good or service to reflect change in its supply or demand after a change in price. A product's supply is said to be elastic if the changes in the quantity supplied increases and it immediately determines a price in the price.
Thus, if for technological reasons the output of a company increases, considering that the product is elastic, the prices will increases which will provide the organization more revenue. That firm will be more than glad about the technological advance.
Answer:
12.75 %
Explanation:
Cost of Capital is calculated on a Weighted Average basis. This is because there is a Pooling of Funds when it comes to financing projects. So Cost of Capital is the Return that is Required by providers of Long Term source of finance.
Cost of Capital = E/V × Ke + D/V × Kd
Where,
E/V = Market Weight of Equity
= 0.55
Ke = Cost of Equity
= 15%
D/E = Market Weight of Debt
= 0.45
Kd = Cost of Debt
= 10%
Therefore,
Cost of Capital = 0.55 × 15% + 0.45 × 10%
= 12.75 %
Answer:
$21,435.74
Explanation:
Marko will pay as much as the discounted present value of the cash flow:
Maturity $5,000.00
time 1.00
rate 0.14000
PV 4,385.9649
Maturity $9,000.00
time 2.00
rate 0.14000
PV 6,925.2078
Maturity $15,000.00
time 3.00
rate 0.14000
PV 10,124.5727
We add them together and get the total price for ABC Co
![\left[\begin{array}{ccc}#&Cashflow&Discounted\\&&\\1&5000&4385.96\\2&9000&6925.21\\3&15000&10124.57\\&total&21435.74\\\end{array}\right]](https://tex.z-dn.net/?f=%5Cleft%5B%5Cbegin%7Barray%7D%7Bccc%7D%23%26Cashflow%26Discounted%5C%5C%26%26%5C%5C1%265000%264385.96%5C%5C2%269000%266925.21%5C%5C3%2615000%2610124.57%5C%5C%26total%2621435.74%5C%5C%5Cend%7Barray%7D%5Cright%5D)
These illustrations highlight the influence of competitive elements as a component of the external environment.
<h3>Is competition a part of the external environment?</h3>
By definition, the external environment includes all external forces and influences that have an impact on how businesses operate. Competitive, political, technological, and economic issues are included in the business environment variables.
<h3>What does external competition entail?</h3>
A business competes and operates in a dynamic external system known as a competitive environment. The marketplace in which you compete will be more competitive the more vendors there are of a given good or service.
<h3>Which elements influence the competitive environment?</h3>
From a microeconomics perspective, there are five fundamental variables that might affect competition: the characteristics of the product, the number of sellers, entrance barriers, the accessibility of information, and location.
learn more about competitive factors as part of the external environment here<u> brainly.com/question/15071676</u>
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The demand and marginal revenue for a perfectly competitive firm are horizontal , whereas the demand and marginal revenue for monopolists are downward
<h3>What is meant by marginal revenue?</h3>
The increase in revenue that comes from selling one more unit of output is known as marginal revenue. Although marginal revenue can remain constant at a certain level of output, it will eventually start to decline as the output level rises due to the law of diminishing returns. The increased total revenue produced by increasing product sales by one unit is known as marginal revenue and is a key topic in microeconomics.
An individual, group, or business that dominates and controls the market for a particular commodity or service is referred to as a monopolist. Due to the absence of substitute products or services and competition, the monopolist has the ability to command high prices. According to Irving Fisher, a monopoly is a market where there is "no competition," which results in a situation where one person or business is the only supplier of a specific good or service.
Hence, The demand and marginal revenue for a perfectly competitive firm are horizontal , whereas the demand and marginal revenue for monopolists are downward.
To learn more about marginal revenue refer to:
brainly.com/question/13444663
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