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Answer:
The correct answer for option (a) is $1.6 per share and for option (b) is decrease in cash and retained earning.
Explanation:
According to the scenario, the computation for the given data are as follows:
(a) We can calculate the amount that firm can pay in cash dividend by using following formula:
Amount to pay in cash dividend = $40,000 ÷ 25,000
= $1.6 per share
(b). If the cash dividend is $0.80 per share than the cash and retained earning can be calculated as follows:
Cash and retained earning = $0.80 × 25,000 = $20,000
As $20,000 is less than previous, than it will decrease the cash and retained earning.
Investors for invest in cash due to its insufficient value
Answer:
D. The fundamental attribution error
Explanation:
The fundamental attrubution error is the likeliness for individuals to over emphasize personality based explanations for actions observed in others while under emphasizing situational explanations. It is a bias in which an individual action is said to depend on the type of person he is. What the individual committed in this case is fundamental attribution error also called correspondence bias or over attributional effect. With this bias, it is not believed that social and environmental factors influences individual actions.
Answer: a. Supply
b. Adjust back
Explanation:
Classical economics explains the importance off aggregate supply, and the ability of an economy to adjust back to achieve it full employment equilibrium without help or assistance but by itself.
By attaining equilibrium it means that Owing to the fair operation of opposing forces, a state of rest or equilibrium. Equal balance of any forces, or factors.