"The West has a higher potential for a negative externality to its free resources" reflects the content in the map.
Option D
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Explanation:
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A negative externality is a cost that is endured by an outsider as an outcome of a monetary exchange. In an exchange, the maker and customer are the first and second gatherings, and outsiders incorporate any individual, association, property proprietor, or asset that is in a roundabout way influenced.
Externalities are additionally alluded to as overflow impacts, and a negative externality is likewise alluded to as an 'outside cost'.
Externalities ordinarily emerge in circumstances where property rights over resources or assets have not been apportioned, or are unsure. For instance, nobody claims the seas and they are not the private property of anybody, so ships may dirty the ocean unafraid of being indicted.
The significance of building up property rights is fundamental to the thoughts of compelling Peruvian financial expert, Hernando De Soto, De Soto has broadly contended that effective market economies need a far reaching distribution of property rights to empower them to completely create.
<span>Gross domestic product </span>occurs when the amount of of capital per worker increases. The answer is letter A
<span>The most beneficial advantages for producers is open market economy because it is lead to more innovation and research & development through the absence of red tape. Producers don’t have to wait for the government to tell them what to make. They study demand, research trends and meet the customer’s needs through innovation. So, also encourages competition amongst firms to improve their product and service.</span>
<span>Inbound marketing represents a fundamental shift in the way that organizations operate because it is marketer-centric. This is an unconventional approach of systems since the usual ones is allowing the customers to be put first or customer-centric kind of approach. This kind builds the best relationship you can offer with the customer.</span>
Answer:
the annual pre-tax cost of debt is 10.56%
Explanation:
the beore-tax component cost of debt will be the actual market rate of the bonds, as they offer an interest rate of 11% but are selling at 104 points not at par thus, there is a difference between the rates.
We solve for the rate which makes the coupon and maturity 104
with excel or a financial calculator
PV of the coupon payment
C 5.500 (100 x 11%/2)
time 60 (30 years x 2 payment per year)
rate <em>0.052787474</em>
PV $99.4338
PV of the maturity
Maturity 100.00
time 60.00
rate <em>0.052787474</em>
PV 4.57
<em><u>Adding both we should get 104 which is the amount the bonds is selling:</u></em>
PV coupon $99.4338 + PV maturity $4.5662 = $104.0000
The rate is generated using goal seek or wiht a financial calculator.
This rate is a semiannual rate, so we multiply by 2 to get the annual cost of debt:
0.052787474 x 2 = 0.105574947
The cost of debt for the firm is 10.56%
