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Firlakuza [10]
3 years ago
5

The crowding-out effect refers to the possibility that:

Business
1 answer:
Natalka [10]3 years ago
6 0

Answer:

a. a deficit, financed by borrowing in the capital markets, will increase the interest rate and reduce investment in the private sector.

Explanation:

Crowding out effect is when government borrowing from the capital markets leads to an increase in interest rate. this makes it more expensive for private sector to borrow and this reduces investment by private sector

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A. : Anything that serves as a medium of exchange.
adelina 88 [10]
It’s money I’m pretty sure
8 0
3 years ago
A large corporation that has its headquarters in Boston, manufacturing plants in Indonesia, and regional offices and retail stor
Alla [95]
Multinational company
6 0
3 years ago
Rudy's, Inc. and Blackstone, Inc. are all-equity firms. Rudy's has 1,500 shares outstanding at a market price of $22 a share. Bl
aleksandr82 [10.1K]

Answer:

Merger premium per share is equal to $2

Explanation:

Step 1. Given information.

  • 1500 shares outstanding
  • market price of 22
  • Blackstone has 2.500 shares
  • Outstanding price 38
  • Blackstone acquire Rudy's for $36.000

Step 2. Formulas needed to solve the exercise.

Merger premium per share = (Blackstone acquire Rudy's /shares outstanding) - market price

Step 3. Calculation.

Merger premium per share = ($36,000/1,500) - $22 = $2

Step 4. Solution.

Merger premium per share is equal to $2

8 0
3 years ago
Which statement is true of all transactions?
AnnZ [28]
I’m pretty sure it’s D
5 0
3 years ago
Read 2 more answers
Sunny Co has a debt-to-equity ratio of 1.00, compared to the industry average of 0.80. Its competitor Carter Co., however, has a
ankoles [38]

Answer:

The answer is C.

Explanation:

Debt-to-equity ratio is an economical term that is used to express the balance between a companies total debt and its assets. It shows at what ratio the company's assets are funded by investors, stakeholders etc.

Since the industry average debt-to-equity ratio is 0.80 and the two companies have debt-to-equity ratios of 1.00 and 1.50 respectively, they are both over the average.

But with the higher ratio, Carter Co. has a higher financial risk compared to Sunny Co. and the industry average debt-to-equity ratio. So the correct answer is C.

I hope this answer helps.

8 0
3 years ago
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