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Anit [1.1K]
3 years ago
14

Janet planned to purchase a McDonald's franchise. Meanwhile, Jason decided to open his own sandwich shop. Both decided to financ

e their new business ventures by applying for bank loans. Janet's loan application was approved, but Jason's was denied. Which of the following is the most likely explanation for these results?
Business
1 answer:
Fantom [35]3 years ago
4 0

Answer:

The correct answer is Banks view franchises as having fewer risks than other start-up businesses.

Explanation:

Franchising as an investment opportunity offers great advantages over other systems, this is an attractive alternative to develop a business; However, it will always be necessary to consider the pros and cons, before making a decision to franchise my business or not.

When I evaluate the possibility of franchising my business I have to be willing to assume a greater or lesser risk, that is, I am free to choose how much risk I am willing to accept in the development of my business model under the franchise scheme, and it is precisely this knowledge of the situation, which allows us to make the best decision about whether to expand my business (and under what conditions) or on the contrary wait for the business model to be at a more advanced stage of maturity before starting a project of franchise development.

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"Price gouging" is when a seller responds to high demand by charging as much as they possibly can, even if that price exceeds wh
Kamila [148]

Answer:

Price gouging is charging unnecessarily high prices for goods if they are in high demand in market. From a sellers perspective its profitable because he/she is able to get more profits on a good and because the goods have a high demand the goods will eventually be sold even on a high price.

From a consumers perspective if the good is a basic need and the consumer is paying high price for it, this can be frustrating but the consumer will have to buy it. If the commodity is not a basic need then the consumer can just stop buying that good and can substitute any other good.

Explanation:

Price gouging is charging unnecessarily high prices for goods if they are in high demand in market. From a sellers perspective its profitable because he/she is able to get more profits on a good and because the goods have a high demand the goods will eventually be sold even on a high price.

From a consumers perspective if the good is a basic need and the consumer is paying high price for it, this can be frustrating but the consumer will have to buy it. If the commodity is not a basic need then the consumer can just stop buying that good and can substitute any other good.

6 0
3 years ago
You are considering a project and are concerned about the reliability of the cash flow forecasts. To reduce any potentially harm
Nuetrik [128]

Answer: A. Lowering the degree of operating leverage.

Explanation:

The degree of operating leverage measure how much the earnings from a project will change as a result of sales.

If you are worried about the cash flow forecasts, it would be best to lower the operating leverage so as to reduce the forecasting error associated with the project. If the operating leverage is high then a small change in sales could impact income in a relatively huge way. By reducing the DOL, the cashflow from the project is easier to forecast and therefore more reliable.

8 0
3 years ago
illustrate the process needed in the three economic sectors to have the final product being a teddy bear
Zina [86]
Which make easier the measurement of economic activity in the three ..... the strategy used by firms that have as many different product
3 0
3 years ago
Permanent tax cuts shift the AD curveSelect one:a. farther to the left than do temporary tax cuts.b. not as far to the right as
Phoenix [80]

Answer:

farther to the right than temporary tax cuts

Explanation:

The permanent tax cuts have more impact on consumption spending than temporary one. A permanent tax cut raises the expected lifetime wealth and increases autonomous consumption, thus leading to an upward shift of the consumption function. Consequently the permanent tax cuts shift the AD curve farther to the right compared to the temporary tax cuts.

6 0
3 years ago
Chuck is concerned with what he considers to be an unfair situation at work. Although he put in 10 hours of overtime last week,
Levart [38]

Answer:

b. Decrease his inputs

Explanation:

The Equity Theory explains the influence that the perception of fair treatment has on the motivation of individuals. Or, from another point of view, in its demotivation.

People tend to compare ourselves to others. With other people's situations, inside and outside work. Thus, we form a perception about what is fair or unfair.

If the result of the comparison is understood as fair, people are more likely to feel motivated. On the contrary, when they perceive that they are treated unfairly, tension and demotivation appear.

In short, when compared to others, people want to be treated fairly for their contributions to the organization. And beliefs regarding what is fair and unfair can affect their motivation, attitudes and, therefore, their behaviors at work.

6 0
3 years ago
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