Answer:
Language differences that make communication challenging among employees and managers.
Cultural diversity that affects the code of conduct of business.
Explanation:
Multinational firms are firms that operates and transact business activities outside their country of incorporation.
Despite the advantages of an extended reach and flexibility in operation , it also faces some challenges.
Language differences as different ethnics and culture are involved ,brings a challenge in communication between employees and manager. Citizen of a francophone nation will struggle to communicate with another from an anglophone country.
Another challenge as mentioned in the question is that the code of conduct could be also be affected due to cultural diversity.
Based on the inflation rate and the fact that it is rising, the right recommendation would be to A. raise the reserve ratio.
<h3 /><h3>How can you decrease inflation?</h3>
Inflation can be reduced when the reserve ratio is raised because it will reduce the amount of money that banks have to loan out.
This means that there will be less money in the economy which will reduce inflation because less money means less demand for goods and services.
Find out more on effects of inflation at brainly.com/question/27889691.
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Answer:
C. All else being equal, the growth rate of the dividends is greater than 2%
Explanation:
The formula to calculate the fair price of a stock with a constant growth in dividends is as follows,
- P = D1 / r-g
- Where D1 is the dividend next period
- r is the required rate of return
- g is the growth rate in dividends
- P = 1.5 / 0.1 - 0.02 = 18.75
- We are taking 1.5 as D1 as it is the dividend per share DeepMind will pay next year.
So, we will be willing to pay more than 18.75 if the fair price per share today is greater than 18.75. We check all the 3 options.
A. say the required rate is 10.1%
- P = 1.5 / (0.101 - 0.02) = 18.52
- So if the required rate of return increases from 10%, the fair price per share is falling and we will be willing to pay less than 18.75 per share.
B. P = 1.2 / (0.1 - 0.02) = 15
- If D1 = 1.2,the fair price per share will be 15 which is less so we will not be willing to pay more than 15 for such share.
C. Say the growth rate in dividends is 2.1%
- P = 1.5 / (0.1 - 0.021) = 18.99
- The fair price per share increased to 18.99 if the growth rate in dividend increases by 0.1 percentage point. Thus, C is the correct answer
Answer:
An investor has her money segregated into checking, savings, and investments. The allocation among the categories is subjective, yet the investor spends freely from the checking account and not the others. This behavior can be explained as _______________.
Mental accounting
Explanation:
Mental accounting is the concept with which the management sciences explain the mental processes in which people perform categorization, evaluation, and coding of economics. It was proposed by Richard Thaler and suggests that people can perform it with easiness when they manage the accounting of their finance in their minds.
Answer:
$7,000 was invested in Fund A
Explanation:
As per given Condition
A + B + C = $22,000 (1)
A5% + B8% = $750 (2)
As given
C = 2B
Placing C value in 1
A + B + 2B = $22,000
A +3B = $22,000 (3)
Multiplyin (2) by 20
A (0.05) x 20 + B (0.08) x 20 = $750 x 20
A + 1.6 B = $15,000 (4)
Subtracting (4) from (3)
A +3B - (A + 1.6 B ) = $22,000 - $15,000
A +3B - A - 1.6 B ) = $7,000
1.4 B = $7,000
B = $7,000 / 1.4
B = $5,000
As
C = 2B
C = 2 x $5000
C = $10,000
Placing value of B and C in (1)
A + $5000 + $10,000 = $22,000
A + $15,000 = $22,000
A = $22,000 - $15,000
A = $7,000
<u>CHECK</u>
A5% + B8% = $750
$7000 x 5% + $5,000 x 8% = $750
350 + $400 = $750
$750 = $750
