When workers intentionally reduce their productivity, it is called a slowdown. This occurrence might be cause by a number of reason. One would be that they are not happy on how they are managed by the administration of the company. They would tend to do this to catch the attention of the admins.
Answer:
3.5%
Explanation:
We will apply asset pricing model to calculate cost of equity (required rate of return). The capital asset pricing model is stated as below:
Cost of equity = Risk-free rate + Beta x Market risk premium
Putting all the number together, we have:
Cost of equity (Beale) = 5.5% + 1.8 x (9% - 5.5%) = 11.8%
Cost of equity (Foley) = 5.5% + 0.8 x (9% - 5.5%) = 8.3%
Cost of equity (Beale) - Cost of equity (Foley) = 11.8% - 8.3% = 3.5%
<em />
<em>Note: You can also do quick calculation as below:</em>
<em>Cost of equity (Beale) - Cost of equity (Foley) = (Beta of Beale - Bete of Foley) x Market risk premium = (1.8 - 0.8) x (9% - 5.5%) = 3.5%</em>
Answer:
B. are transfers within the same company.
C. have a direct impact on division profits.
Explanation:
Transfer prices can be defined as the amount of money (prices) that is being charged by a division in a business firm for the goods and services provided to another division within the same business firm. Thus, the output of the selling division automatically becomes the input of the buying or receiving division.
The characteristics of transfer prices includes;
I. Are transfers within the same company.
II. Have a direct impact on division profits.
It was make up of mostly services, but also contained goods that had alot of labor put into them.
The answer is...
Liabilities
