Compared to the equilibrium price and quantity sold in a competitive market, a monopolist will charge a ________higher______ price and sell a _________smaller_____ quantity.
Answer:
Under CAPM:
Re = Rf + Beta(Rm - Rf)
Rf = 5%
Rm - Rf = 6%
Beta = 1.25
Re = 5% + (1.25 x 6%) = 12.5%
Under dividend discount model:
Re = (Div₁ / P₀) + g
Div₁ = $1.20
P₀ = $35
g = 8%
Re = ($1.20 / $35) + 8% = 11.43%
Under bond yield plus risk premium approach:
Re = Pre-tax cost of debt + risk premium over its own debt
Pre-tax cost of debt = 7%
risk premium over its own debt = 4%
Re = 7% + 4% = 11%
The highest cost of equity results from the CAPM model and it is 12.5% while the lowest results from using the bond yield plus risk approach (11%), the difference is 1.5% between them.
With a 401(k) there is a higher likelihood of money appreciating over a 30 to 40-year period could be a negative for investing solely into an IRA.
Investment definition is an asset obtained or invested in to build wealth and keep money from the difficult-earned income or appreciation. Investment means on the whole to attain an additional supply of income or advantage benefit from the investment over a specific time period.
For the majority, the 401(k) is the better desire, even though the available investment options are less than the best. For excellent results, you may stick with an index price range that has low management prices.
Cryptocurrency can be an extraordinary investment with astronomically excessive returns overnight; but, there may be also a full-size drawback. traders have to analyze whether their time horizon, hazard tolerance, and liquidity requirements healthy their investor profile.
Learn more about investment here brainly.com/question/4681655
#SPJ4
<span>If you are demonstrating initiative, you are more likely to be C. working without needing supervision.
If you show initiative, it means that you think you can do most of the work on your own, and are willing to study and become better at what you do. This also means that you don't have to be supervised at all times, because you are very independent and capable of figuring out things on your own.</span>
