Answer:
True
Explanation:
Shareholders are owners of any business, but they are huge in number they cannot control the business. For this they appoint board of directors.
Board of directors are said to be the highest authority in any business.
They take all the decisions of the business, and take even the decision of choosing the chairman of board of directors.
They hold every crucial power to run the business.
All the reporting whether by CEO or Manager or by any person are done to Directors.
Therefore, the statement is true.
Answer and Explanation:
An increase in the number of firms increases the demand elasticity. As the demand elasticity increases from 2 to 3 it means you could encounter less demand if product prices are increased. At a demand elasticity of -3, it is regarded as inelastic demand and a change in price will not affect the demand for the product as customers are still likely to patronize the product example gasoline. Due to its high demand, an increase in price will not readily affect the demand for it. Therefore if you are to change the price from $10 at 2 to 3 demand elasticity increase, the percentage of increase from 2 to 3 is given as.
3-2/2 X 100 = 50%
The new charge (x) at -3 demand elasticity = 50%/3 = 0.66666666
The increase in the new charge is therefore $10 + $10x = $10 + $10(0.166666) = $11.67
Answer:
The correct answer is b) The first tranche has the highest prepayment risk.
Explanation:
A collateralized mortgage obligation (CMO) is a type of security backed by mortgage. It is comprised of a pool of mortgages that are bundled together and sold as an investment. Prepayment risk is the risk of loss of interest income due to early repayment of the principal by the borrower.
In the given situation, there are three tranches. The first tranche has the highest prepayment risk because it is receiving principal at the earliest. Hence, there is more of a chance of this principal being returned early and the CMO holder losing out on potential interest. Therefore, the prepayment risk of the first tranche is the highest among all three tranches.
The best practice that Karan should adopt is:
D.
disclose to the employees that their emails will be monitored
Explanation:
To monitor the social network activities of the workers of a company is walking the line of ethics so there is a way to determine what must be the best practice keeping in line with the working culture of the company.
The people working there must be informed that their activity will be monitored so they have an understanding that it will be done.
After this one must perform checks either arbitrarily or on the basis of who seems more trustworthy and who less.
Answer:
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