Answer:
Explanation:Part 1). Answer :- Sales of Ford Mustangs will decrease by 15 % (1.5 * 10 %).
Explanation :- Camaro and Ford Mustangs are substitute goods because the cross-price elasticity between Ford Mustangs and Camaro is in positive. Accordingly, with the decrease in price of camaro, the quantity sold of Ford Mustangs will also decrease.
Part 2). Answer :- Quantity of Ford Mustangs will decrease by 16 % (0.80 * 20 %).
Explanation :- Gasoline and Ford Mustangs are complementary goods because the cross-price elasticity between Ford Mustangs and Camaro is in negative. Accordingly, with the increase in price of gasoline, the quantity sold of Ford Mustangs will decrease.
Part 3). Answer :- Quantity of Ford Mustangs will increase by 15 % (3 * 5 %).
Explanation :- With the increase in income of consumer, the demand for normal good also increase. Accordingly, with the increase in consumer's income, quantity demanded of Ford Mustangs will also increase.
Answer:
A) 30
Explanation:
to determine in how many years the economy will double with an 8% growth rate, we can use the rule of 72. The rule of 72 basically works by dividing 72 by the compounding growth rate to determine the number of years it will take an investment to double.
The rule of 72 works well when growth rate is between 6-10%, at 8% it is quite exact. For lower growth rates you should use the rule of 70 which is basically the same but instead of using 72, you use 70. For growth rates over 10% you should use 69.3.
the number of years for the economy to double = 72/8 = 9 years, so 9 plus 20 = 29 years. Since the question asks at what age the economy should have more than doubled, it would be a little over 29, and in this case it is 30.
You can always check which number is more exact calculating 1.08⁹ = 1.999
Answer:
Shi Import-Export’s WACC is 9.44%
Explanation:
WACC is the minimum return that a project MUST offer before it can be accepted. It shows the risk of the company
<em>Capital Source Weight Cost WACC</em>
Debt 30% 4.5% 1.35%
Preferred Stock 5% 5.8% 0.29%
Common Equity 65% 12%. 7.80%
Total 100% 9.44%
<em><u>Cost of Debt </u></em>
Cost of Debt = Interest × ( 1-tax rate)
= 6% × ( 1-0.25)
= 4.5%
<em><u>Cost of Preferred Stock</u></em>
Cost of Preferred Stock = 5.8%
<em><u>Cost of </u></em><u>Common Equity</u>
Cost of Common Equity = 12%.
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Based on the goals of the IS organization that Krysta manages, it can be perceived as a business partner or peer.
<h3>What is a business partner or peer?</h3>
This is a business established by a company to help it achieve its goals by engaging in alternative technological developments that will be beneficial to the parent company.
Krysta is managing an organization that helps her company to strive for more excellence which makes this a business partner.
Find out more on business partners at brainly.com/question/25641198.
