Answer:
14.81%
Explanation:
Data provided in the question:
Average return on stocks = 12.49% = 0.1249
Average risk-free rate = 2.56% = 0.0256
Small-company stocks averaged = 17.37%
Now,
The Risk premium on small company stocks is
= ( Return on small company stocks ) - ( Risk free rate )
or
Risk premium on small company stocks = 17.37% - 2.56%
or
Risk premium on small company stocks = 14.81%
Answer:
1. Determine the effects of this transaction on
a. Exports - There will be no effect on the export of the USA;
b. Imports - The initial amount spent on the importation of the toys and the videogame plus $10,000.00 spent on the importation of PlayNation Perfect Video game console to increase the inventory will put the Japanese economy on a favourable BalanceBalance of Payment (BOP) because money came into the economy and left the USA economy simultaneously.
c. Net exports in the U.S. economy will be<em> low.</em>
Explanation:
a. Exports - There will be no effect on the export of the USA because the store did not export anything rather it imported the PlayNation Perfect video game console from a Japanese company and spent an additional $10,000.00 to increase his inventory. Simply put, money left the US economy without a complementary import to strike a balance in Balance of Payment.
b. Imports -<em> </em>The initial money spent in the importation of the consignment and $10,000.00 spent to increase his inventory will put the Japanese economy on a favourable Balance of Payment (BOP) because money came into the economy and left the US economy;
c. Net exports in the U.S. economy will be<em> low because there were importations of goods into the economy without corresponding export to have a favourable Balance of Payment in the International Trade. It is when the Exports in USA is greater that that of the import that you have a favourable Balance of Paymet and it translates to improve GDP.</em>
Answer:
The correct answer is option b.
Explanation:
Oligopoly is the form of market where there are few firms which are interdependent on each other. The price and output decisions of a firm affect its competitor firms in the market who are likely to react accordingly.
That's why an oligopoly firm takes into account the reaction of its rival in making price-output decisions.
Answer:
B. product proliferation
Explanation:
Product proliferation -
It refers to the practice of making variation on the same product , in the market , is referred to as product proliferation .
various innovative and latest method of packaging , sizes and color are used , to attract the consumers .
The method is used to deal with the upcoming competition and attract the consumers .
Hence , from the given scenario of the question ,
The correct answer is B. product proliferation .