Answer: tend to self correct and the decline would be cushioned.
Explanation:
The permanent income hypothesis is simply refered to as a theory that relates to consumer spending which states that individuals will spend money based on the disposable income that they expect in their lifetime.
According to Classical economists, the permanent income hypothesis was an argument supporting their view that, during a recession, the economy would tend to self correct and the decline would be cushioned.
All else held constant, the book value of owners' equity will decrease when DIVIDENDS EXCEED NET INCOME FOR A PERIOD.
In sole proprietorship, owner's equity refers to the value obtained when owner's withdrawal from a business and his net income is subtracted from owner's investment in a business. Owner's equity represent the book value of a company.
Answer:
Political events like a candidate rally are particularly tricky for companies, and sponsoring them could result in a lot of consumer backlash, specially from the people who are not affiliated to the sponsored politician or political party.
This is why many companies avoid political sponsorships or political statements, because politics is a very divisive issue, and while such an action could earn the company the loyal following of a few, it could also discourage a lot more people from ever buying their products.
All of the above. Taxes are used for each of these.
<u>Answer</u>:
Incomplete question. However, I inferred you want to know more about the Five forces Model created by Michael E. Porter and about the conducting entrepreneurial feasibility study.
<u>Explanation</u>:
Note that the main focus of Poter's model is to help someone analysing a market know how much competition will exist in and the chances of realizing a profit. The five forces to be analyzed are:
- The threat of substitutes,
- the threat of new entrants,
- competitive rivalry
- bargaining power of buyers and
- bargaining power of customers.
Thus, conducting an entrepreneurial feasibility study would involve a careful cross-examination of the factors mentioned above.