Correct answer choices are :
A) They request a bank loan.
D) They agree to sell stocks.
E) They issue bonds.
Explanation:
Also, interest paid on bonds is a tax-deductible business investment for the organization. The problem is that interest payments generally are made on bonds even when no profits are earned. For this reason, a smaller corporation can sometimes raise much capital by issuing bonds.
Answer:
The correct answer is: Retaining a higher percentage of earnings will result in a lower growth rate.; Long-run earnings growth will decrease when firms retain earnings and reinvest them in the business.
Explanation:
In the first statement, a deliberate action is shown that consists of the capitalization of the entity, that is, the equity is accumulated in order to distribute it among the shareholders and leave a part to support the company. In the second statement, it means that the positive results of the company will not be seen in the long term due to management's dispositions to execute a policy to capitalize the entity and improve its cash flow by reinvesting the perceived resources.
Answer:
C. $12 billion.
Explanation:
GDP refers to the Gross domestic product. It means that the market value of all final goods and services produced within the country.
Since in the question the GDP reported in quarter 3 was $12 billion and the same is to be considered as a GDP because it reflected the market value of all final goods and services
Therefore, the correct option is c.
Answer:
D. Switching cost strategy
Explanation:
The software manufacturer has incorporated the use of switching cost strategy by making it difficult for customers to substitute their software product for another.
Switching costs: it is also known as switching barrier. This is a the cost incurred by the customer as a result of changing brands, product, services or suppliers.
The higher the cost of switching; the lesser a customer would be willing to switch between brands, the lower the switching cost; the higher the customer would be willing to switch between brands.
Switching cost includes:
• Psychological cost: This is the cost of a customer deciding whether the new product or services would be better than the old product
• Effort-based cost: This refers to the effort a customer will put in while switching brands such as the paperwork involved.
• Time cost: The amount of time used while a customer is switching product
Strategies used by firms to discourage its customers from switching
1. Charging a high cancellation fee for service cancellations.
2. Adopting a lengthy cancellation process for service cancellations.
3. Requiring significant paperwork for service cancellations.
Answer: You shouldn't dwell on any negatives and weakness because you want to be truthful but also not show that you cant compose yourself and then it shows that your unable to service the job correctly.
Explanation: