Answer:
option (c) 9%
Explanation:
Data provided in the question:
current price of outstanding shares = $38.89
Last Dividend paid = $3.50
Marginal tax rate = 34%
Now,
cost of preferred equity = Dividend ÷ Price per share
thus,
cost of preferred equity = $3.50 ÷ $38.89
or
cost of preferred equity = 0.0899
or
cost of preferred equity = 0.0899 × 100%
= 8.99% ≈ 9%
Hence,
The correct answer is option (c) 9%
Answer:
In the range of diseconomies of scale
Explanation:
Economies of scale refers to a concept whereby a firm accrues cost advantage owing to it's increased scale of production.
Economies of scale points towards efficient production.
Conversely, Diseconomies of scale refers to the phase wherein a firm experiences cost disadvantages owing to increase in organizational operations and output level.
Reasons for operation of this phase being, lack of motivation and proper coordination between employees since there are too many employees and management gets difficult.
In the given case, as the corporation decreased it's inputs, the output fell less proportionately which means the firm was earlier operating in the phase of diseconomies of scale.
Answer:
The correct answer is b) tending to leave work early when possible.
Explanation:
Highly cohesive groups have more discussions and bring out more information, but it cannot be said that these groups convince dissent. Highly cohesive groups tend to have less absenteeism and rotation.
Some advantages and limitations of highly cohesive groups are as follows:
- Social position of the group: greater loyalty with the group of high social position.
- Size: the smaller the group, the closer the relationship between the group members.
- Communications: more easily to communicate, greater cohesion of the group.
- Isolation of other groups: physical isolation tends to improve cohesion.
- Management practices: the manager can encourage competition or comparison between employees to make intimate relationships between workers impossible.
- External pressures: the members of a group join more intimately when they are threatened by a common danger; They forget their differences and close ranks to oppose a new supervisor.
- Success: a group will be stronger and more cohesive if in the past their cooperative action has been successful.
Answer:
B) diversity pairing
Explanation:
When people of different cultural backgrounds, sexes, races, are paired for mentoring, it is known as diversity pairing.
Answer:
As the gross profit is the same for both products It is better to choose Product A because Product Z needs further processing a day , so time can also be the constraint.
Explanation:
Process Cost of Product A = $ 8000
Sale of Product A= $ 22,500
Gross Profit For A= $ 14,500
Process Cost of Product Z= $ 8000 + $4200= $ 12,200
Sale of Product Z= $ 26,700
Gross Profit For Z= $ 14,500
The gross profit for both products is same but product Z requires additional day for further processing so it is better to choose Product A.
