Under the condition that country X can manufacture cars more cheaply. An absolute advantage devours in a country if it makes good over alternative country and uses a smaller amount of wealth to yield that good. The result of a country’s natural legacy is the absolute advantage. Another example is extracting oil in Saudi Arabia is pretty much just a matter of drilling a hole. Generating oil in other countries can is essential substantial exploration and costly technologies for drilling and extraction if certainly they have any oil at all. The United States devours about the richest farmland in the world which manufacture it at ease to grow corn and wheat than in many other countries. Guatemala and Colombia partake environment particularly suitable for growing coffee. Chile and Zambia have about of the world’s richest copper mines. As some have claimed that geography is destiny. Chile will bargain copper and Guatemala will harvest coffee and they will trade. When each country has a product others necessity and it can be manufactured with fewer resources in one country over another then it is easy to visualize all parties do good from trade. Thinking about trade just in relations of geography and absolute advantage is incomplete. Trade actually happens because of comparative advantage.
Good habits:
Be organized- Have all materials needed in study area
Bad Habits:
Do not leave harder or more challenging question for the last- knock out easier assignments early when you are fresh
Answer:
0.82
Explanation:
Calculation to determine the firm's asset beta
Using this formula
Firm's asset beta=Equity beta/(1+/D/E)
Let plug in the formula
Firm's asset beta=1.2/(1+0.47)
Firm's asset beta=1.2/1.47
Firm's asset beta=0.816
Firm's asset beta=0.82 (Approximately)
Therefore the firm's asset beta is 0.82
Answer:
journal entry based on straight line method are given below
Explanation:
given data
issues = $570,000
rate = 8.5 %
time = 4 year
issued = $508,050
market rate = 12%
to find out
prepare journal entry
solution
journal entry based on straight line method
date general journal Debit Credit
June 30 bond interest expenses $31969
Discount on Bonds payable $7744
= (570000-508050 ) ÷ 8
Cash = 570000 × 8.5% ÷ 2 $24225
December 31 Bond interest expense $31969
Discount on Bonds payable $7744
= (570000-508050 ) ÷ 8
Cash = 570000 × 8.5% ÷ 2 $24225
