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aniked [119]
3 years ago
14

Robert started his company in his parents' garage because he could not afford to rent an office space. Most of his finances were

spent on procuring the essential items to set up his company. As a result, he was able to save funds for the future. The opportunity of _____ is highlighted in the given scenario.
Business
1 answer:
Levart [38]3 years ago
4 0

Answer:

having lower overhead costs.

Explanation:

Robert started his company in his mother's garage so he did not have to pay rent or lease at the initial stage of his business. This gave him the opportunity to put his finances in essential aspects of his business.

Therefore he had an opportunity to reduce his overhead cost.

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Jacob went to the grocery store to buy breakfast cereal. He picked up a few cereal boxes to look up their ingredients. However,
andriy [413]

Answer: The correct answer is "c. bounded rationality".

Explanation: Jacob's decision is an example of bounded rationality, because according to the theory of limited rationality, people make decisions only partially in a rational way because of our cognitive, information and time constraints.

4 0
3 years ago
Can a server be too attentive to their patrons? Explain.
Vedmedyk [2.9K]
Yes, hovering over customers can make them feel uncomfortable in, for example, having a conversation because of another set of ears listening and constantly being interrupted
3 0
3 years ago
If you were charged $1152 in taxes on a $2560 purchase. What percent tax were you charged
katen-ka-za [31]

Answer:

Percent tax = 45%

Explanation:

Given:

Amount of tax charged = $1,152

Amount of purchase = $2,560

Find:

Percent tax

Computation:

Percent tax = [Amount of tax charged / Amount of purchase]100

Percent tax = [1152 / 2560]100

Percent tax = 45%

6 0
3 years ago
Operating Costs
posledela

Operating Costs

3.Cost of actually running a business

This is a clear indication of the company's resource usage productivity.

Accounts Payable

6.Amounts of money the company owes to other companies for products

as this affect the overall short term debt, if this is lower, the better for the company.

Cash Flow

4.The movement of money in or out of a business

having a positive cash flow is good for investment and capital expenditures.

Startup Costs

2.Cost of starting up a business until it can pay for itself

these costs are most of the time unavoidable.

Gross Profit

5.Total Revenue - Cost of Goods Sold

Angel Investor

1.An investor who provides money to a business in exchange for debt or equity

however, the risk is that you might end up giving a significant controlling stake of the company to the investor.

3 0
3 years ago
The market price of a security is $26. Its expected rate of return is 13%. The risk-free rate is 5%, and the market risk premium
DedPeter [7]

The increase in stock risk has lowered its value by 16.09%.

<h3>What does market price mean?</h3>
  • The price at which a good or service can currently be bought or sold is known as the market price.
  • The forces of supply and demand determine the market price of a good or service; the price at which the quantity supplied and demanded are equal is the market price.

<h3>What is current price and market price?</h3>
  • Market value is another name for the current price. It is the last traded price for a share of stock or any other security.

According to the question:

  • If the security's correlation coefficient with the market portfolio doubles (with all other variables such as variances unchanged), then beta, and therefore the risk premium, will also double. The current risk premium is:  13% - 5% = 8%

The new risk premium would be 16%, and the new discount rate for the security would be: 16% + 5% = 21%

If the stock pays a constant perpetual dividend, then we know from the original data that the dividend (D) must satisfy the equation for the present value of a perpetuity:

Price = Dividend/Discount rate.

26 = D/0.13.

D =26 x 0.13.

D = $3.38.

At the new discount rate of 21%, the stock would be worth:

$3.38/0.21.

= $16.09.

The increase in stock risk has lowered its value by 16.09%.

Learn more about market price here:

brainly.com/question/25309906

#SPJ4

5 0
2 years ago
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