Answer:
True
Explanation:
The principal purpose of building a business is to make profits. A business must provide solutions to particular needs and wants in the community to attract customers. Different entrepreneurs will offer alternative or similar solutions to a specific situation.
Anyone starting a business will target a particular set of customers. He or she must be ready to complete for those customers with other like-minded entrepreneurs. Competition is good in business as it makes entrepreneurs innovate on the best ways to serve their customers. It also gives customers alternatives.
Answer:
D. Preferred stockholders are allocated their dividends before dividends are allocated to common shareholders.
Explanation:
Before declaring dividend on common shares, it is always necessary for the company to pay dividends on preferred shares and dividends are declared when there are sufficient profits.
Answer: D. 2.2%
Explanation: Equity Dividend Rate is calculated by dividing the Before Tax Cash Flow by the Acquisition price. If you need the answer in percentage form, you then multiply by 100.
Here, before-tax cash flow = $11,440
Acquisition price = $520,000
So Equity Dividend Rate = 
X 100
Equity Dividend Rate = 2.2%
In this question, you do not need the Net Operating Income (NOI). You only need the NOI if the Before Tax Cash Flow is not given and the debt service payment is. If this is the case, you subtract the debt service payment from the NOI to get the Before Tax Cash Flow.
I think that the stament given above is true, as this principle <span>lets business survive or fail without much interaction from the government.</span>
Answer:
1. This is true.
The Germans will pay a higher price for tuna because the tariff will increase the price of imported tuna and the reduction in completion with the local producers will lead to higher prices as the local producers take up their price.
2. This is true.
German producers no longer have to compete as much with imported tuna which was cheaper. They will therefore be able to raise their prices.
3. This statement is false.
The world price of Tuna DOES NOT increase because the tariff is only applicable in Germany. Other parts of the world will trade tuna as before. This is what is assumed.
4. This statement is true.
If Vietnam was exporting tuna to Germany, they will become worse off because they will see a decline in demand for their tuna on account of the tariffs making the tuna more expensive.
5. This is false.
Vietnamese tuna consumers will still pay the same price to get tuna because Vietnam produces the tuna. It is Vietnam's producers that will suffer not the consumers.
