Answer:
Small individual investors will benefit the most.
Explanation:
From the case given, it can be established that small individual investors represent the bulk of shareholders or business owners.
Also, from Smith Jones stock, we see that Pension and Mutual Fund constitute a bulk in the share position, and the direct intervention of shareholders motivate the management.
From the foregoing analysis, the shareholders holders have thus seek to incorporate corporate governance in the organization as a tool to reduce the agency problem between business owners and management. By this, management objectives and the shareholders could be aligned. The business owners singular objective is the profit maximization of their wealth, while the management is interested in their job security, status, mutual funds, pension and all. Since this objective of management has been duly taken care of by the shareholders, it is believer that this will boost the management morale and ultimately improve their performance. The result is thus increase in organisational performance with resultant growth in profit, share price and returns from the business. These are benefits to the individual investors.
Answer:
Cash in-flow in the last year.
Explanation:
Salvage value, also known as residual value, is the amount that you receive from sale of Property, Plant, and Equipment at the end of useful life. When computing the NPV of any project, we consider all the relevant cash flows of that project. Since, $45,000 will be received when project ends from sale of Fixed asset, so this figure will be treated as Cash in-flow and discounted.
Answer:
The answer is c. price
Explanation:
Discount pricing is a type of pricing strategy where you offer customers a discount when they buy in bulk . The goal of a discount pricing strategy is to increase customer traffic, clear old inventory from your business, and increase sales.
Answer:
A equal balance of economic power among buyers and sellers.
Explanation:
For a market to operate smoothly the operational requirement required include:
1. Social Institutions of trust
2. Money as a medium of exchange
3. Individualist institutions related to private and decision making.
When a market is operating smoothly it means that the financial safety net and settlement system works efficiently. Traders can operate seamlessly without delays in payments.
The option that is not a requirement for smooth operation of the market is - equal balance of economic power among buyers and sellers.
