Answer:
P0 = $9.04279 rounded off to $9.04
Option c is the correct answer
Explanation:
Using the the dividend discount model, we calculate the price of the stock today. It values the stock based on the present value of the expected future dividends from the stock. To calculate the price of the stock today, we will use the following formula,
P0 = D1 / (1+r) + D2 / (1+r)^2 + D3 / (1+r)^3
Where,
- r is the required rate of return
P0 = 4 / (1+0.156) + 4 / (1+0.156)^2 + 4 / (1+0.156)^3
P0 = $9.04279 rounded off to $9.04
Answer:
C. Variable inflation is associated with high transaction costs
Explanation:
Because of uncertainty about future inflation, it may not uncertain relative to its price change. Therefore, option A is not correct.
In order to maximize financial position, inflation harms borrowers and helps lenders, so option B is also incorrect.
Option C is correct because variable inflation is associated with high transaction costs in order to maximize the financial position. For example, if the inflation rate is 5% during first quarter, the price level is not much to disrupt the financial position. Again, in the next quarter, if the inflation rate changes to 4%, the position will be effective more. However, if it increases, it will not affect too much.
Answer:
d. a monopoly firm reducing its price in an attempt to maintain its monopoly.
Explanation:
In a competitive system, a firm practices predatory pricing when it charges prices below its costs in order to eliminate competitors. When the prevailing system is a monopoly, the firm is the only company providing the good and it can practice predatory pricing in the short term to prevent a competitor from entering the market. Thus the firm remains monopolistic.
Answer:
True
Explanation:
The pressure that are competitive are considered to be intensified via the competitors efforts in order to diversify the product lines and the other things at the wider area that wore the performance based yoga and the apparel related to the fitness
So as per the given statement, the statement is true
hence, the option a is correct
Answer:
economy
Explanation:
The way goods and services are produced, distributed, and consumed in a society can be referred to as Economy.
I hope this helps...
