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I am Lyosha [343]
3 years ago
15

Kurt, who is a divisional manager, continually brags that his division’s required return for its projects is 1 percent lower tha

n the return required for any other division of the firm. Which one of the following most likely contributes the most to the lower rate requirement for Kurt’s division?
A.Kurt tends to overestimate the projected cash inflows on his projects.
B.Kurt tends to underestimate the variable costs of his projects.
C.Kurt has the most efficiently managed division.
D.Kurt’s division is less risky than the other divisions.
E.Kurt’s projects are generally financed with debt while the other divisions’ projects are financed with equity.
Business
1 answer:
Viefleur [7K]3 years ago
3 0

Answer:

D. Kurt’s division is less risky than the other divisions.

Explanation:

Based on the information provided within the question it can be said that the most likely reason is that Kurt’s division is less risky than the other divisions. Just as the saying goes "the greater the risk, the greater the reward", the same goes for the opposite, the lower the risk that a division has to undertake the lower the percent for the required return.

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Which of the following accurately describes a shortage?
Black_prince [1.1K]
A.) Consumer demand for a certain car is greater than the number of cars that can be produced.
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2 years ago
PLEASE ANSWER WITH 100% THE CORRECT ANSWER ASAP IF YOU DON'T KNOW THE ANSWER THEN DON'T ANSWER
valkas [14]

1. Unions have been in decline since the 1960s because of

Answer: <u>A. foreign competition.</u>

Explanation: Unions were often conducted in the past in order to protect workers from<em> "arbitrary decisions" </em>of employers. Such decisions resulted to the<em> laying off of workers </em>and<em> cutting of wages</em>. On the contrary, business owners have a different goal. They wanted to make more profit by cutting the wages, so they didn't like the unions. However, unions have been in decline in the 1960s, mainly because of international/foreign competitions. This is because the "bargaining power of the unions as they represent the employees were reduced."

2. When a bank evaluates a person for a loan, what does the word "capacity" refer to?

Answer: <u>C. The ability to make payments on time.</u>

Explanation: A bank evaluates a person for a loan according to his "capability to pay" the loaned amount. It is not according to his willingness to pay, but to his<em> "ability to return the money</em>." In order to know whether a person is capable of repaying the money on time, the bank analyzes the borrower's gross income and his debt.

6 0
3 years ago
Experience indicates that strategic alliances Multiple Choice have a high "divorce rate." are generally successful. work well in
bezimeni [28]

Answer:

have a high "divorce rate."

Explanation:

A strategic alliance can as well reffered to as strategic partnership and can be regarded as agreement that exist between two parties or more so that they can work in acheiving some objectives they agreed on even though they still remains as an independent organization to each other. It should be noted that Experience indicates that strategic alliances have a high "divorce rate."

7 0
3 years ago
Examine the scenarios to determine the protected status, unprotected status, existence, or non-existence of a trade secret.
DedPeter [7]

Answer:

Protected status

Explanation:

In simple words, the trade secret is said to be protected when it has an economic value to the founding company or the company handling it and anyone who is exposed to the information regarding that is legally bound to not to disclose it.

Thus, from the above we can conclude that the given scenario indicates protected status.

6 0
2 years ago
The most recent financial statements for Cardinal, Inc., are shown here: Income Statement Balance Sheet Sales $23,500 Assets $12
finlep [7]

Answer:

$20,370.5

Explanation:

Net Profit Margin = Net Profit / Sales= 5,168 / 23500 = 0.219915 = 21.99%

Dividend Payout Ratio = Dividends / Net profit = $1,560/$5,168 = 0.3018576 = 30.19%

Increase in Assets = Total Assets / Current Sales * Change in Sales

Increase in Assets = 121,000 /23,500 * (28,300-23,500)

Increase in Assets = 5.1489362 * 4800

Increase in Assets = $24714.89

Increase in Current Liabilities = Current Liabilities / Current Sales * Change in Sales = 0

Earnings Retained = Revised sales * Net profit margin * (1- dividend payout ratio)

Earnings Retained = $28,300 * 21.99% * (1 - 30.19%)

Earnings Retained = $28,300 * 0.2199 * 0.6981

Earnings Retained = $4344.39497

Earnings Retained = $4344.39

External Financing Needed = Increase in Assets - Increase in Current Liabilities - Earnings Retained

External Financing Needed = $24714.89 - $0 - $4344.39

External Financing Needed = $20,370.5

7 0
2 years ago
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