Dabney Electronics currently has no debt. Its operating income is $20 million and its tax rate is 40%. It pays out all of its ne
t income as dividends and has a zero growth rate. The current stock price is $40 per share, and it has 2.5 million shares of stock outstanding. If it moves to a capital structure that has 40% debt and 60% equity (based on market values), its investment bankers believe its weighted average cost of capital would be 10%. What would its stock price be if it changes to the new capital structure
A BPMN event takes place when a business process progresses.
What is BPMN event?
The Business Process Model and Notation is the graphical depiction of a business process model used to describe business processes (BPMN).
Since the Object Management Group (OMG) and the Business Process Management Initiative (BPMI) amalgamated in 2005, BPMN has been managed by the OMG. BPMN 2.0 was introduced in January 2011; the name was changed to Business Process Model and Notation to emphasize the inclusion of execution semantics in addition to the already existing notational and diagramming features.
To learn more about BPMN event click the given link
The correct answer is letter "A": Screening mechanism.
Explanation:
The screening mechanism is the activity in which people identify good qualities in others by evaluating their actions and matching them with their own behavior so they can eventually qualify those other people as suitable for them or not.
In the example, <em>Sally must consider a good practice to give generous tips to waiters since only if Andy, her date, does such a thing, she will consider dating him again. What Sally conducted is an example of a screening mechanism.</em>
It helps to determine the profit return of the company or organisation on the per unit expenditure on the employees , is referred to as the Human capital return on investment .
It is basically the interconnection between the profit of the company and the cost on the workforce .
hence , from the given scenario of the question,
The correct option is a. Human capital return on investment .
If banks kept 100 percent of deposits on hand as reserves, then this will indicate that all the deposited amount would be saved as reserves. Therefore, the reserve requirement ratio is 100% here which means that:
Reserve ratio = 100%
= 100 ÷ 100
= 1
and the money multiplier = 1 ÷ reserve requirement ratio
= 1 ÷ 1
= 1
Banks would not be able create new money by giving loans because the reserve requirement ratio is 100%.
