Answer:
The correct answer is letter "A": Account A.
Explanation:
Compound interest is the interest an investor earns on the original investment plus all the interest earned on the interest that has accumulated over time. It is also called <em>interested on interested</em>. The frequency of compounding could be scheduled from daily to annually. The more frequent the compound interest is set, the most beneficial it is for the investor.
In that sense, account A will provide Julian with the highest annual return since it gives him a compound interest on a monthly basis v. annually with account B.
Answer:
Price $17
PE ratio 8.5 times
Explanation:
As per given data
ROE = 20%,
Plowback ratio = b= 0.03,
EPS = $2,
k= 12%
As plowback referr to the retentrion value, deducting its effect from EPS
Dividend= EPS × ( 1 − b ) = $2 × ( 1 −0.03 )= $1.94
Growth = ROE x b = 20% x 0.03 = 0.006 = 0.6%
Using Dividendvaluation method we will calculate the price.
Price = Dividend / (Rate of return - Growth rate )
Price = $1.94 / ( 12% - 0.6% ) = $17
P / E Ratio = Price / EPS = $17 / $2 = 8.5
Answer:
Consider the following calculations
Explanation:
1. No price discrimination.The shop is not charging different price for different quantities.
2. Price discrimination as only last minute tickets can be purchased as a discounted price and are only for seats not to be sold at the performance day.
Answer:
The correct answer is option c.
Explanation:
Country A and country B are the same. But country A has more capital than country B. Both the countries increase their capital by 100 units while other factors are constant.
This increase in capital will cause the output of country B to increase more than output in country A. This happens because of the law of diminishing marginal returns.
Law of diminishing marginal returns states that as the number of inputs employed the return from each input goes on declining. As country A possesses more capital, the return from the capital will be fewer. So the increase in output will also be relatively less.
Answer: The answer is JOINT TENANCY
Explanation: What is joint tenancy?
This is a legal arrangement whereby two or more people jointly own a property, in this arrangement, all owners have equal rights and obligations to the property. When one of the owners die, that owner's stake in the property goes to the surviving owners without having to pass through the court, because of the right of survivorship.
So the type ownership between Sam and Bridget above is a Joint Tenancy.
