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Svet_ta [14]
2 years ago
13

Which of the following is NOT considered a convertible instrument and is indicative of a complex capital structure? a. convertib

le bonds b. stock options c. warrants d. stock dividend e. None of the answer choices are correct.
Business
1 answer:
AfilCa [17]2 years ago
6 0

Answer:

e. None of the answer choices are correct.

Explanation:

A capital structure that comprises of those securities which can dilute it's earnings per share to common stockholders, is termed as complex capital structure.

Convertible bonds grant the owners, the right to convert their bonds into stocks, which leads to a dilutive effect on earnings per share for common stock holders.

Similarly, stock options grants a right to employees to purchase company's stock at a rate lower than the market price. This again is dilutive in nature.

Warrants are just like call options but when those are exercised create a dilution effect on the earnings per share of the company. Here the holder gets an option to buy new shares at an exercise price at a future date.

Stock dividends refer to paying common stock holders in the form of additional stock issue rather than paying them cash dividend.  Those dilute the stock's price.

Thus, all four lead to a complex capital structure.

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3 0
2 years ago
Read 2 more answers
The improvement in the value of the objective function per unit increase in a right-hand side is the a. sensitivity value. b. du
SVETLANKA909090 [29]

Answer:

dual price

Explanation:

According to my research on economics, I can say that the improvement in the value of the objective function per unit increase in a right-hand side is referred to as the dual price. This strategy is used by most businesses as a way of taking market shares away from their competitors.

I hope this answered your question. If you have any more questions feel free to ask away at Brainly.

4 0
3 years ago
Pessimism Suppose the economy is in long-run equilibrium. Then because of corporate scandal, international tensions, and loss of
VladimirAG [237]

Answer:

The correct answer is option C.

Explanation:

Suppose there is pessimism in an economy because of corporate scandals, international tensions, loss of confidence, etc. This is going to adversely affect the economy. Because of corporate scandals, the investment will decline. Loss of confidence in consumers will cause a reduction in consumption spending. International tensions cause net exports to decline.  

All of this causes aggregate demand to decline. The aggregate demand curve moves to the left. This leftward shift causes both the quantity of output and price to fall. As output fall real GDP will decline as well.

3 0
3 years ago
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Andrews [41]

Answer:

C

Explanation:

An increase in underdeveloped countries cannot be the reason why businesses would expand abroad because there wont be as much potential buyers in underdeveloped economies as they have very low capita income and most of the residents live in very poor conditions. But however other options are valid because favorable trade agreements and developed transportation and IT makes the international trade easy and beneficial to both the buyer and the seller. Moreover, when domestic markets matures, the rate of growth slows down and falls to zero. this is when the businesses want to emerge and find new markets abroad in order to benefit from the trade as in matured market there is less chance for businesses to grow and it becomes risky

4 0
3 years ago
Sonic Corp. manufactures ski and snowboarding equipment. It has estimated that this year there will be substantial growth in its
Ne4ueva [31]

the answer is expansion. but im not sure A or B

5 0
3 years ago
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