Answer:
13.86%
Explanation:
Calculation to determine the flotation-adjusted (net) cost of its new common stock
Using this formula
Cost of new common stock(re) = [d1 / stock price (1-flotation cost)] +g
Let plug in the formula
Cost of new common stock(re)= [$1.36 / 33.35 (1 – 0.065)]+0.094
Cost of new common stock(re)= [$1.36 / 33.35 (0.935)]+0.094
Cost of new common stock(re)= [$1.36/31.182)+0.094
Cost of new common stock(re)=0.04361+0.094
Cost of new common stock(re)=0.1376*100
Cost of new common stock(re)=13.76%
Therefore the flotation-adjusted (net) cost of its new common stock will be 13.76%
Answer:
Even if individual doesn't even have an executive role, a person responsible of information technology for a corporation might wield tremendous authority. This is due to the fact that power is not necessarily linked to a position of authority.
Explanation:
A person with leadership qualities can advance to positions of power, allowing them to put their abilities and personality attributes to good use. A person in charge of information technology is also responsible for optimising the company's digital technologies owing to the nature of the role and responsibilities.
Answer:
elasticity of demand is 2.16. Consumers pay a smaller portion of the tax
Explanation:
Elasticity of demand measures the responsiveness of quantity demanded to changes in price.
Elasticity of demand = percentage change in quantity demanded / percentage change in price
(2/19)(2/41) = 2.16
When the coefficient of elasticity is greater than 1, demand is elastic.
Elastic demand means that a small change in price leads to a greater change in quantity demanded.
Because demand is elastic, more of the burden of the tax falls on producers and consumers pay a small portion of the tax.
I hope my answer helps you
Answer:
The correct answer is B
Explanation:
Due to the implementation lag, recognition lag and legislative lag linked with the enacting fiscal policy, the policies focus on the smoothing the business cycle, which sometimes have the opposite effect.
The risk of the policies being the pro- cyclical instead of being advantageous in a time of recession diminishes or decline when the recessions are severe and long.
It is more likely the fiscal policies which could de implemented or executed and developed in time if it will take a long time for the economy to self- correct.
Answer:
First question Option D. Reserves are so large that banks have little need to borrow reserves from other banks.
Second question. C. Using the tools the Fed had available would have disrupted the financial system.
3rd question. A. The Fed raised the rate it pays on excess reserves.
Explanation:
1st question. The financial crisis revealed the need of increases reserved by banks. Now, banks have abundant reserves with the Fed so that they do not need to borrow reserves from other banks.
2nd question. With the monetary policy tools the Fed had prior to the financial crisis, the Fed could not control the feferal funds rate because investor and consumer behavior was not confirming to the normal pattern because of the housing crisis and decline in the funds rate was not leading to increase in investor confidence or consumer confidence and thus aggregate demand was not increasing.
3rd question. (To increase the federal funds rate, Fed raised the rate paid on excess reserves and reserve purchase agreements.)
