My answer is contemplation
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A corporation needs sustainable income in order to cover all of its expenses in the long run.
What is Sustainable income?
Sustainable income represents the after-tax gain or loss on the impact of operations on a discontinued segment of business for a period.
Therefore, in the case of a discontinued operation, there is no sustainable income arising in the future as the segment of business is already discontinued and income, if any, is going to come only for the period of the discontinued operation. Income or expense from discontinued operations is a line of item in the income statement of a company below income from continuing operations and before the net income.
To know more about Sustainable income, click here- brainly.com/question/18687603
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Answer:
a. is the increase in total cost resulting from production of one additional unit of output.
Answer:
False because if the financial leverage is growing then the Financial risk will start growing and this increase in the financial risk will increase the beta. Furthermore this increase in financial leverage is also responsible for the increase in the Bankruptcy Risk.
Remember the beta factor is directly proportional to market risk (Systematic Risk) this means if the market risk is increasing then the beta will also increase and if the market risk is decreasing then the beta is decreasing. This is evident from the fact that people require more returns from their investments in Asia than USA. The reason is that the Market risk in Asian countries is more than United states of America.
