An externality is the benefit enjoyed by a third party that is not directly involved in the production or consumption of a good or service.
Externalities can either be positive or negative;
Positive externalities occur when there is a positive gain on both the private level and social level.
Negative externalities occur when the social costs outweigh the private costs. For example in cases of pollution where an industry may decide to cut costs and increase profits by implementing new operations that are more harmful to the environment.
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Answer: 12.5%
Explanation:
Amount that will be raised with Equity = 65% * 5,700,000 = $3,705,000
This is more than the retained earnings so new equity will have to be issued at cost of 16%
Amount raised by debt = 35% * 5,700,000 = $1,995,000
Less than $2 million so cost of debt is 10%
WACC = cost of equity * weight of equity + weight of debt * cost of debt * ( 1 - tax rate)
= (16% * 65% ) + (35% * 10% * (1 - 40% tax))
= 12.5%
The study shows that offering of low-cost offices with basic services to new businesses in the early stages of development brings about a 87% success rate of <u>incubator</u><u>.</u>
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<h3>Who does the Incubators entails?</h3>
The Incubators is a tool that offer a new businesses in the critical stage of early development low-cost offices with basic services such as accounting, legal advice, secretarial help etc
In conclusion, the study shows that offering of low-cost offices with basic services to new businesses in the early stages of development brings about a 87% success rate of <u>incubator</u><u>.</u>
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Read more about incubator
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Answer:
Identify the segmenting dimension most likely being used by Sanders Beverages.
Behavioral
Explanation:
Marketing involves the promotion of a company's product to potential customers. Customers as a whole have different characteristics and preferences, thus the need for market segmentation. Market segmentation is the division of target customers in groups of similar characteristics. These groups are known as segments where individuals that share similar traits in term of preferences, age and location are placed into one group. There are four major types of dimensions depending on segment characteristics; demographic, psychographic, behavioral and geographic segmentation.
1. Demographic segmentation
It involves the placing of people into groups based on their demographics like; age, gender and income. Demographics help understand consumer behavior better. An example is that, a company might realize that most young people who are college goers tend to drink more beer as compared to older people. This can be important to a beer manufacturing company to target specific audience.
2. Psychographic segmentation
This is the grouping of customers based on their personality traits, values, beliefs and interests.
3. Behavioral segmentation
This is the process of grouping customers based on their consumer behavior. In our case, the consumer behavior being targeted is non-juice drinkers to determine if they will accept the new line of healthy fruit juices.
4. Geographic segmentation
This is the process of grouping customers based on their location to determine specific areas where many consumers might be located.
Answer: sponsorship
Explanation:
Sponsorship simply refers to a situation whereby a company or an organization puts money into a particular event so that the products or brand of the said company can be promoted.
Based on the scenario in the question, this type of arrangement is very similar to what your text describes as sponsorship. Since the company pays for its brand to be displayed, it is sponsorship.
