Answer:
their prices are usually lower due to low overhead.
Explanation:
Trade can be defined as a process which typically involves the buying and selling of goods and services between a producer and the customers (consumers) at a specific period of time.
Globalization can be defined as the strategic process which involves the integration of various markets across the world to form a large global marketplace and enhance international trade.
Basically, globalization makes it possible for various organizations to produce goods and services that is used by consumers across the world.
Small businesses have an advantage over large business in international trade in all of the aforementioned ways except that, their prices are usually lower due to low overhead cost such as office space, equipment, travel expenses, utilities, etc.,
An overhead cost is simply the cost associated with the smooth running the business.
In international trade, both small businesses and large businesses typically have the same price or amount of money set for the purchase of their goods regardless of the overhead cost.
Answer:
total revenue test: elastic. If demand is elastic, a decrease in price will increase total revenue, and an increase in price will reduce total revenue. total revenue: inelastic.
Explanation:
<span>D. total cost of insurance coverage</span>
Answer:
The excess amount paid should be recognized as Goodwill.
Explanation:
Goodwill is the excess amount over net assets of the investee company, paid by investor to the shareholders of the investee company.
Goodwill is calculated as value paid to acquirer less fair value of net assets (fair value of assets minus fair value of liabilities).
Answer:
(a) $ 46.43
(b) $ 50.00
Explanation:
In 1 year the dividend is:
D1 = $2
In 2 years, the dividend is:
D2 = $4
(a)
Now,
⇒ 
($)
In 2 years, the price will be:
⇒ 
($)
Today's price will be:
⇒ 
($)
(b)
In 1 year, the price will be:
⇒ 
($)
