Answer:
diminishing returns
Explanation:
I'll provide you with a situation as an example.
Let's say that you are running a successful ice cream company. Typically, ice creams are made with dairy. This made a certain percentage of population couldn't consume it since they are lactose intolerant. (Basically eating dairy will give them diarrhea ).
There are not many people who have this condition. Let's say that you want to increase the value of your product and use the materials that makes your product become consumable to this specific population while maintaining the original taste.
This would resulted in a small amount increase in customers base , but the investment that you need to make in order to make it happen will be substantial. You basically have to invest in researches to find the perfect ingredients, invest in additional marketing expense to educate the customers on the new product, change your current production flow, etc.
<h2>According to Allport, this preference is an example of a <u>Secondary trait</u></h2>
Explanation:
There are 3 types of traits.
1. Cardinal traits:
- This is the dominating traits
- The person can be found by the qualities
2. Secondary traits:
- This is closely related to attitudes
- This is also related to preferences of a human
- This would differ from person to person
- This might change according to the situation.
3. Central traits:
- This forms the base for the personality development
- This would be meaningful
- Central traits can be polite, helping, anxiety, etc.
Answer:
current share price = $85.96
Explanation:
Find the PV of each dividend
PV= FV / (1+r)^t
r= required return
t= total duration
PV(D1) = 18 / (1.14)= 15.78947
PV(D2) = 14 / (1.14^2) = 10.77255
PV(D3) = 13 / (1.14^3) = 8.774630
PV(D4) = 7.50 / (1.14^4) = 4.44060
PV(D5 onwards) is a two-step process, first PV of growing perpetuity;
PV(D5 onwards) at yr4 =[7.50*(1+0.04) ] / (0.14-0.04) = 78
second, finding PV today ; PV(D5 onwards) at yr 0 = 78 / (1.14^4) = 46.18226
Add the PVs to get the current share price = $85.96
Answer:
Have priority in the purchase of any newly issued shares
Explanation:
Preemptive right is the right given to existing shareholders to maintain the proportion of their investment by buying a proportionate number of shares in any future sales of share.
The main essence of this is to ensure that their ownership interest is not diluted as more shares are issued and new investors come in.
In a preemptive share arrangement , consideration is given to existing shareholders ahead of any other person or entity .