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pochemuha
3 years ago
5

You are considering purchasing stock S. This stock has an expected return of 12 percent if the economy booms, 8 percent if the e

conomy is normal, and 3 percent if the economy goes into a recessionary period. The overall expected rate of return on this stock will: a. be equal to one-half of 8 percent if there is a 50 percent chance of an economic boom.b. vary inversely with the growth of the economy.c. increase as the probability of a recession increases.d. be independent of the probability of each economic state occurring.e. increase as the probability of a boom economy increases.
Business
1 answer:
Ymorist [56]3 years ago
7 0

Answer:

e. increase as the probability of a boom economy increases.

Explanation:

The most economic growth occurs when the economy is in boom state. This results in the highest rate of return on investments compared to all other states such as normal, recession. In this case, if the probability of boom economy increases, stock S will have an overall increase in expected return; it means that there is higher chance of earning 12% return which is the highest among those in other economy states. This makes choice E correct.

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8 0
3 years ago
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A home improvement firm has quoted a price of? $9,800 to fix up? eric's backyard. five years? ago, eric put? $7,500 into a home
lana [24]

The amount of money that Eric will have after 5 years given the initial amount and the interest per year (which we will assume to be compounded)

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4 0
3 years ago
Is there a company in a specific industry that can get by without having any customer service? If so, why and how does that make
Artyom0805 [142]

Answer:

No

Explanation:

Customer service has a great impact on every business, every company must train it's staff on how to listen to customers and attend to their needs in a polite and professional manner.

A great customer service will keep customers happy and satisfied, this will in turn make them want to come back to do more business. A satisfied customer will go extra length to recommend others to the company but unsatisfied customer that feels that his needs weren't addressed properly or his request wasn't attended to, such customer will not likely but from the company and also bad mouth the company to others and this will leave a great impact on the company growth.

In summary, no company in a specific industry would survive or get by without having customer service as this is part of what makes a company grow.

4 0
3 years ago
If an organization sets the marketing objective of maintaining uniformity and strong centralized control over its marketing acti
irinina [24]

Answer:

standardization

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4 0
3 years ago
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lina2011 [118]

Answer:

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Explanation:

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An infant industry can be defined as an industry that is still in its early stages of development and as such are not capable of competing with foreign companies.

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6 0
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