Answer:
c) the marginal cost of capital
Explanation:
The cost which a company bears to add one dollar / unit of capital is called marginal cost. We know that the company raise funds through different sources which can be debt from banks and stocks (common and preferred). This process of raising capital involves a cost which is termed as marginal cost of capital or the cost required to raise an additional unit of capital.
Answer: Decrease
Explanation:
What makes return on investment fantastic is when production and sales is on a steady increase, as production increases and sales follow there after, there would be an increase in return on investment because the increase in sales would make room for expansion giving the business more profit, but in the scenario where raw materials are not promising, there would be a decrease in production overtime and which would also lead to a decrease in return on investment.
Answer: false
Explanation: The rationing function of price describes the way in which the use of price is done for rationing of several scarce resource. This is done automatically by the market forces of demand and supply as when the demand for a commodity exceeds its supply the price of the commodity rises leading to decrease in demand.
Thus, rationing function states to ration the goods and distribute them carefully and not to distribute the surplus amount.
Answer:
$ 2,500 as far as i know.
Explanation:
Accumulated Balance is given by :
![A=P\dfrac{(1+i)^n-1}{i}\times (1+i)](https://tex.z-dn.net/?f=A%3DP%5Cdfrac%7B%281%2Bi%29%5En-1%7D%7Bi%7D%5Ctimes%20%281%2Bi%29)
Here,
n = time period = 30×12 = 360.
![i=\dfrac{13.45}{100}\times \dfrac{1}{12}=0.0112](https://tex.z-dn.net/?f=i%3D%5Cdfrac%7B13.45%7D%7B100%7D%5Ctimes%20%5Cdfrac%7B1%7D%7B12%7D%3D0.0112)
P = principal price = $250.
Putting all given values in above equation, we get :
![A=250\times \dfrac{(1+0.0112)^{360}-1}{0.0112}\times (1+0.0112)\\\\A=\$1221659.48](https://tex.z-dn.net/?f=A%3D250%5Ctimes%20%5Cdfrac%7B%281%2B0.0112%29%5E%7B360%7D-1%7D%7B0.0112%7D%5Ctimes%20%281%2B0.0112%29%5C%5C%5C%5CA%3D%5C%241221659.48)
Hence, this is the required solution.