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Alex777 [14]
3 years ago
15

Fervana Autos Inc., a large automobile company, made an initial small investment in a startup company that was developing a sola

r-powered car. This gave Fervana Autos controlling interests in the startup company. However, Fervana Autos had no obligations to make continued investments in the experiments of the startup company. It could invest in small amounts depending on the new product's success at each stage of its development. If the product proved to be successful, Fervana Autos would have the right to buyout the startup company. This approach to strategic alliance is referred to as _____.
Business
1 answer:
eimsori [14]3 years ago
5 0

Answer:

real options perspective

Explanation:

A real options perspective means that the investor has the right but not the obligation to invest in the other company, and/or has the right to buy it, but it is not required to do so. In this case, Fervana can invest if it considers it suitable or it can buy the start-up, buit it doesn't need to do anything if it doesn't want to.

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You own 400 shares of Stock A at a price of $50 per share, 290 shares of Stock B at $75 per share, and 700 shares of Stock C at
andreev551 [17]

Answer:

0.67

Explanation:

Beta measures the systemic risk of a portfolio

The portfolio's beta can be determined by adding together the weighted beta of each stock in the portfolio

weighed beta of a stock = percentage of the stock in the portfolio x beta of the stock  

total number of stocks in the portfolio 400 + 290 + 700 = 1390

(400 / 1390 x 0.6) + (290 / 1390 x 1.2) + (700 / 1390 x 0.5) =

0.17 + 0.25 + 0.25 = 0.67

7 0
3 years ago
Q: What determines the balance of production and consumption?
ANTONII [103]
Resources is referred to as the available asset that can be used for further purposes may it be for business or consumption. This is what determines the balance between the production and consumption for without these, production would not be possible and if nothing is produced, nothing would also be consumed. Resources come in different forms and each has its own availability. Answer for this would be C.
6 0
4 years ago
Wine and Roses, Inc. offers a 7% coupon bond with semiannual payments and a yield to maturity of 7.73%. The bonds mature in 9 ye
Art [367]

Answer:

current market price = $953.29

Explanation:

the market price of the bond = present value of the face value + present value of coupon payments

PV of face value = $1,000 / (1 + 3.865%)¹⁸ = $505.31

PV of coupon payments = $35 x 12.79935 (PV annuity factor, 3.865%, 18 periods) = $447.98

current market price = $505.31 + $447.98 = $953.29

5 0
3 years ago
You put up $50 at the beginning of the year for an investment. The value of the investment grows 4% and you earn a dividend of $
mars1129 [50]

Answer:

My HPR was 11%

Explanation:

Investment Value at Beginning of the yer = $50

Growth rate = 4%

Holding period Return = Dividend + return on investment value

Holding period Return = $3.50 + ( $50 x 4% )

Holding period Return = $3.50 + $2

Holding period Return = $5.50

Holding Period Return Rate = ( $5.5 / $50 ) x 100

Holding Period Return Rate = 11%

So, my HPR was 11%

8 0
3 years ago
The use of slang creates which type of communication barrier ?
Feliz [49]
Some sort of translation error? Most slang language is unable to be translated
3 0
3 years ago
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