Answer:
Opportunity cost
Explanation:
A country is said to have a comparative advantage in producing a good, if it has a lower opportunity cost of producing that good in comparison to the other country. For instance if the opportunity cost of producing Wheat in U.S is 2. While that in China is 1. It shows that China has a comparative advantage in producing wheat as compared to the U.S.
So a nation that has a comparative advantage in producing a good or service compared to the other nation can produce that good or service with a lower opportunity cost.
Efficiency, Profit and Resource cost are not directly related to comparative advantage. Although efficiency can contribute towards lower opportunity cost but it is not a scale used for international trade.
Thus, lower opportunity cost is the best alternative.
Answer:
B. 0.1446
Explanation:
Yield refers to the benefits or earnings realized from an investment over a particular period.
Calculation of yield considers the profits made and the amounts invested.
The amount invested in this case
The commission =$1,340.75
Costs of the shares = 258 x $73.96 =$19,081. 68
Total cost of investment
= $19,081. 68 + $1,340.75
= $20,422.43
The gain realized = $11.45 x 258
=$2,954.1
Annual yield= =$2,954.1/$20,422.43
=0.144649
=0.1446
Answer:
$25.5
Explanation:
Morgan Inc.’s total corporate value = $325 million
notes payable = $90 million
long-term debt = $30 million
preferred stock = $40 million
common equity = $100 million
shares of stock outstanding = $100 million
Market Value of company
= Market Value of debt + Market Value of preferred + Market Value of equity
$325 million = $30 million + $40 million + Market Value of equity
or
Market Value of equity = $325 million - $30 million - $40 million
= $255 million
Share price =
= 
= $25.5
Answer: $34.33
Explanation:
From the question, we are informed that bond has a par value of $1,000, a current yield of 6.84 percent, and semiannual coupon payments and that the bond is quoted at 100.39.
Thee amount of each coupon payment goes thus:
We have to calculate the bond price which will be:
= $1000 × 100.39%
= $1000 × 1.39
= $1003.9
It should be noted that the current yield is calculated as the annual coupon amount divided by the bond price. This will be:
6.84% = annual coupon amount ÷ $1003.9
Annual coupon amount = $1003.9 × 6.84%
= $1003.9 × 0.0684
= $68.67
Each coupon amount will now be:
= $68.67/2
= $34.33
Answer:1. Increase in supply; increase; decrease
2. Decrease in supply; decrease; increase
3. Increase in supply; increase; decrease
4. Decrease in quantity supplied; decrease; decrease
Explanation: