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3 years ago

Managerial reputation is an _ incentive that helps to mitigate the ___ principal-agent problem. Multiple Choice

1 answer:

7 0

Managerial reputation is an External incentive that helps to mitigate the Owner-manager principal-agent problem.

Explanation:

The theory of incentive propose that the behavior of an individual is motivated by the “pull” of external goals, such as rewards, money, or recognition.

In many situations in which a particular goal, such as a promotion at work, can serve as an external incentive that helps activate particular behaviors in an employee

Monetary incentives means to reward the workers for their performance and productivity through money.

Monetary incentives also include employee stock options, profit sharing plans, paid time off, bonuses and cash awards.

So we can say that 

Managerial reputation is an External incentive that helps to mitigate the Owner-manager principal-agent problem.

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An amortized loan: Multiple Choice requires the principal amount to be repaid in even increments over the life of the loan. may

babymother [125]

Answer:

The correct answer is: may have equal or increasing amounts applied to the principal from each loan payment.

Explanation:

Amortization can be defined as the process of spreading out the loan in monthly payments. An amortized loan has scheduled periodic payments for both interests as well as principal. If the payments for each period are equal it is called a fully amortized loan.

In amortized loans the interest is paid off first then the amount excess of interest reduces the principal. A common example of amortized loans is auto loans, home loans.

The payments for amortized loans can be equal or unequal for each period.

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3 years ago

The __________ phase is probably the single most important determinant of shareholder value creation in mergers and acquisitions

BARSIC [14]

Answer: Post acquisition integration (B)

Explanation:

Post acquisition integration is a complex process of rearranging and combining businesses to materialize the potential efficiencies and synergies which usually motivate acquisitions and mergers.

The process, is usually lengthy and resource intensive. The importance of post acquisition integration cannot be understated, as it allows an acquiror to acquire the long-term value that he or she seeks from the transaction. It is a vital determinant on value creation for the shareholders in acquisitions and mergers.

6 0

3 years ago

Read 2 more answers

Desert Company issued $15,000,000 of 8% bonds on May 1, 2020, and received cash totaling $13,308,942. The bonds pay interest sem

balu736 [363]

Answer:

Desert Company

The TOTAL dollar amount of discount that was amortized during the entire first year (5/1/20 through 4/3/21) these bonds were outstanding is:

= $65,447.

Explanation:

a) Data and Calculations:

Face value of bonds = $15,000,000

Issue value (proceeds) 13,308,942

Discount on the bonds $1,691,058

Coupon rate = 8%

Effective interest rate = 10%

Period of bonds = 8 years

November 1, 2020:

Interest expense = $665,447 ($13,308,942 * 5%)

Cash payment = $600,000 ($15,000,000 * 4%)

Discount amortized $65,447

Bond outstanding value = $13,374,389 ($13,308,942 + $65,447)

May 1, 2021:

Interest expense = $668,719 ($13,374,389 * 5%)

Cash payment = $600,000 ($15,000,000 * 4%)

Discount amortized $68,719

Bond outstanding value = $13,443,108 ($13,374,389 + $68,719)

4 0

3 years ago

AnaCarolina and Jaco work at Duke Manufacturing, and they are tasked with determining appropriate performance metrics for the in

Crazy boy [7]

Answer:

b. operating throughput

Explanation:

Based on the information provided within the question it can be said that the best metric would be operating throughput. This is because the balance scorecard needs to keep track of the execution of activities done by the employees, therefore using the data of operating throughput would allow Duke to accurately measure how well the employees are performing based on how much product they have created.

5 0

3 years ago

1) Michael's, Inc., just paid $1.95 to its shareholders as the annual dividend. Simultaneously, the company announced that futur

Marizza181 [45]

Answer:

Price we are wiling to pay = $46.429

Explanation:

Hi, this can be calculated using the dividend discount model

Stock price we are willing to pay = D / (r - g) where,

D = Dividend

r = required rate of return of investor

g = growth

So working the formula gives us,

Price = 1.95 / (0.085 - 0.043)

Price = $46.429

This is the price we are willing to pay.

Hope that helps.

5 0

3 years ago

Managerial reputation is an _____ incentive that helps to mitigate the _______ principal-agent problem. Multiple Choice

Managerial reputation is an _ incentive that helps to mitigate the ___ principal-agent problem. Multiple Choice