Answer:
Setting goals helps with knowing what to focus on and what to do at work
This helps the employee do better at work because they know exactly what they are going for
Explanation:
Just write a bunch of things about the things I said above like try to go into more detail about them I tried helping but I don’t think I can write 200 words worth of explanation on here
Expected return of the stock is greater than 12%.
Using formula, Risk free rate + beta (market risk rate - risk free rate)\
= 2% + 2.0 (7%-2%)
= 13.6 - 0.4* risk premium
Risk premium of a stock is greater than 12%.
A stock's total return takes into account both capital gains and losses as well as dividend income, as opposed to a stock's nominal return, which only displays its price movement. In addition to considering the actual rate of return, investors should consider their ability to withstand the risk involved with a given investment. An investment's return on investment (ROI) provides a general indication of its profitability. The return on investment (ROI) is calculated by subtracting the investment's initial cost from its final value, dividing the result by the cost of the investment, and finally multiplying the result by 100.
Note that the full question is:
If the market risk premium is 7%, the risk-free rate is 2% and the beta of a stock is 2.0, what is the expected return of the stock?
A. less than 12%.
B. 12%.
C. greater than 12%.
D. cannot be determined.
To learn more about returns: brainly.com/question/24301559
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Cognitive evaluation theory would question the use of money as a motivator because external motivational tools may lower intrinsic motivation because people will start working to get the reward, NOT because they are intrinsically motivated or challenged.
Answer:<em>True cost = 
</em>
<em>= 
</em>
<em>= $ 13,669,821.2</em>
Explanation:
Given :
Debt-Equity ratio = 0.55
Flotation cost for new equity = 6%
Flotation cost for debt = 3 %
∴ To compute the weighted flotation cost , we'll use the following formula:
Weighted Flotation cost =![\left [ \frac{1}{1+Debt-Equity ratio}\times Flotation cost of equity \right ] + \left [ \frac{Debt-Equity ratio}{1+Debt-Equity ratio}\times Flotation cost of debt \right ]](https://tex.z-dn.net/?f=%5Cleft%20%5B%20%5Cfrac%7B1%7D%7B1%2BDebt-Equity%20ratio%7D%5Ctimes%20Flotation%20cost%20of%20equity%20%5Cright%20%5D%20%2B%20%5Cleft%20%5B%20%5Cfrac%7BDebt-Equity%20ratio%7D%7B1%2BDebt-Equity%20ratio%7D%5Ctimes%20Flotation%20cost%20of%20debt%20%5Cright%20%5D)
= ![\left [ \frac{1}{1+0.55}\times 0.06 \right ] + \left [ \frac{0.55}{1+0.55}\times 0.03 \right ]](https://tex.z-dn.net/?f=%5Cleft%20%5B%20%5Cfrac%7B1%7D%7B1%2B0.55%7D%5Ctimes%200.06%20%5Cright%20%5D%20%2B%20%5Cleft%20%5B%20%5Cfrac%7B0.55%7D%7B1%2B0.55%7D%5Ctimes%200.03%20%5Cright%20%5D)
= 0.0387 + 0.0106
= 0.04934 or 4.93%
The true cost of building the new assembly line after taking flotation costs into account is evaluated using the following formula :
True cost =
=
= $ 13,669,821.2
Answer: Option C
Explanation: In simple words, cost of capital refers to the amount of return that the investor are expecting for tasking the risk of investing in the company. In other words, it is the amount the company has to offer in return to the investors for attaining the capital from the market.
Often the cost of capital is used to evaluate the profitability of the project, that is, if the return in project is higher than the cost of financing it should be taken by the company.
However there are other component while evaluating a project that is risks associated with it. Risk of every projects is different from the other and hence only those project should be evaluated on the basis of cost of capital that is similar to the company's average.
