Cost advantages that accrue for firms with larger output because they can spread fixed costs over more units and can employ technology more efficiently are called:
<h3>What are Economies of scale?</h3>
Economies of scale is a term that is used to describe the cost advantages that a company gets because they have increased the level of production. There are different types of economies of scale.
Some of these are the financial, technical, and purchasing economies of scale. So, when the purchasing strength of the organization increases, then there is an economy of scale.
Learn more about the economies of scale here:
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Answer:
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Explanation:
Answer:
Future value = $5912.87
Explanation:
Below is the calculation:
Interest rate = 4.7%
Present value of deposit = $4750
Time period, n = 5 years
Future value = Present value ( 1 + interest rate)^n
Future value = 4750 ( 1 + (4.7%/365)^5*365
Future value = 4750 (1 + 0.00012)^1825
Future value = $5912.87
Complete question:
A. The portion of the funding that should be allocated to tax-free investments
B. The portion of the funding that should be maintained in readily accessible funds such as money market instruments
C. The customer's preference for investing via passively managed index mutual funds or via actively managed mutual funds
D. The investment philosophy and strategies employed by the fund manager of the chosen mutual fund
Answer:
The best answer is D
" The investment philosophy and strategies employed by the fund manager of the chosen mutual fund "
Explanation:
Since this person is rich and potentially in a high taxation role, the allocation of part of the assets in tax free municipal investments should be taken into consideration.
An emergency fund should always be maintained, so consideration should be given to the amount of funding allocated to money market fund investments. It should also be considered whether the customer believes in the management of passive assets or active assets.
Passive asset managers believe in the use of low-cost index funds -with the idea that nobody can do better than the market over time. Active asset managers believe that the correct "picking" of stocks enables a manager to surpass the market. The actual trading strategies employed by an active manager to achieve his results are not relevant to the portfolio construction.
Answer:
A
Explanation:
Agile means able to move around quickly