Answer:
(a) 3.7
(b) 3.7
Explanation:
The unemployment rate is calculated as the ration of unemployed workers over the labor force. The labor force is the total number of employed plus unemployed workers:
Then if there were 155 million people in the labor force and 7.4% where unemployed that means that 11.47 million people where unemployed
If unemployment rate would have been 5% we have
That means that 3.72 million fewer unemployed workers. Since Labor Force is the sum of unemployed and employed workers. The reduction in unemployment implies that they were now employed .
Answer: C. 13%
Explanation:
Return on Investment is the percentage received from the investment over the amount spent.
= Operating income / Average invested capital
= 270,000/2,062,500
= 13.09%
= 13%
Answer:
$94 per share
Explanation:
Stockholders Equity Includes the Add-in-capital par value, Add-in-capital excess value of Common and Preferred, Net income accumulated value and dividends.
Equity of the firm = Assets - Liabilities
Equity of the firm = $125 million - $25 million = $100 million
Net Addition in the equity = Net earning for the period - Dividend paid
Net Addition in the equity = $10 million - $4 million - $6 million
Book Value of the equity = Equity of the firm - Additions in the year
Book Value of the equity = $100 - $6 = $94 million
Book value per share = Book Value of the equity / Numbers of Share
Book value per share = $94 million / 1 million
Book value per share = $94 per share
Explanation:
Monotonic transformation refers to changing the quantity of both the variables in a way that their ranking or order is preserved. Monotonic transformation of a utility function does not change the marginal rate of substitution as the order of preferences remains intact with the monotonic transformation. It's just the level of utility that either increases or decreases with such a transformation. The indifference curve shape remains the same. With monotonic transformation, consumer moves from a lower to higher or higher to lower indifference curve.
Answer:
Both have tender options.
Explanation:
Variable rate demand obligation and Auction rate securities both are long term bonds which have interest rate that reset weekly or monthly. This advantages the issuer with lower short term rates despite of long term security. Both of these securities are subject to credit risk of the issuer and they are marketed by broker dealers.
