Answer:
Option (B) decreases by 5 percent
Explanation:
When the nominal wage rate is $10 and the CPI is 200
The real wage rate
= [Nominal wage rate ÷ CPI in 2017 ] × 100
= [ $10 ÷ 210 ] × 100
= $4.76
Now,
The change in the real wage rate between 2016 and 2017
= [ ( 4.76 - $5.00 ) ÷ $5.00 ] × 100
= - 0.048 ≈ -0.05 or - 5 percent
here, negative sign means decrease
Hence,
Option (B) decreases by 5 percent
Answer: The cost of capital for a firm with no debt in its capital structure.
Explanation:
Leverage in finance refers to the use of debt. Unlevered capital therefore would refer to capital that is without debt which means that an unlevered cost of capital is one with no debt in its capital structure.
Companies with such a capital structure derive their capital 100% from Equity and as such do not pay interest. This means however, that they will not benefit from the tax shields that interest payments offer.
Answer:
A. True
Explanation:
Motivation refers to providing such benefits and incentives which stimulates employees to better performance and directs them towards achievement of organizational goals and objectives.
Motivation can be provided both in monetary and non monetary forms. While monetary forms would include incentives, appraisal etc, non monetary forms would include better participation of employees in decision making, providing better infrastructure and workplace environment.
The given case points towards provision of non monetary forms of motivation. Providing employees with opportunity to vote on a decision builds trust and at the same time satiates the need for respect and recognition.
Answer:
The correct answer is 0.4
Explanation:
Marginal Propensity to consume
21 Billions- 16 Billions = 5 Billions
2 Billion ÷ 5 Billions = 0.4
The MPC will be equal to 0.4
Answer:
If Aquataste sticks to the agreement, Waterland has an incentive to renege on the agreement by producing 350 gallons because Waterland’s profits would then increase from $375 to $525.
Explanation:
If Waterland and Aquataste both produce 250 gallons each and charge $1.50 per gallon.
There would be 500 gallons in total, and the total revenue would be
$1.50 × 500 = $750
which when shared equally between Waterland and Aquataste would result in each of them getting $375 each.
But if Aquataste sticks to the agreement, Waterland has an incentive to renege on the agreement by producing 350 gallons, still charging $1.50 and Waterland’s profits would then be
$1.50 × 350 = $525
Hope this Helps!!!
