Answer:
The discount rate for this project is 5%.
Explanation:
The discount rate for the new project will be the required rate of return or the cost of equity that will be used to discount the cash flows from the project to calculate its Net present value. Using the CAPM, we can calculate the required rate of return (r) as:
r = rRF + beta * rpM
Where,
- rRF is the risk free rate
- beta is the stock's beta or measure of risk
- rpM is the market risk premium
r = 2% + 0.5 * 6% = 0.05 or 5%
Answer:
Multinationals must subjectively determine the local living wage, which is usually more than the local legal wage in developing countries. Customers surveyed say they are willing to pay a few dollars more to improve working conditions in sweatshops.
Explanation:
A sweatshops may be defined as a factory or firm which violates some of the labor laws of the United States as stated by the US department of labor.
In these sweatshops, they provide unfair wages, the working conditions are very poor, proper labor laws are not followed extended working hours, exploitation of labor takes place.
This has been a real challenge the developing countries are facing. This can be improved as the multinational companies determines a higher local living wage than the legal wage in some of the developing countries. Even the customers of their products are coming forward and are willing to pay more for the products so that the working conditions of the sweatshops improves.
Answer: 10%
Explanation:
Amount deposited = 5000
Amount which can be Lent out = 2500
The reserve requirement may be explained as a certain percentage of a commercial bank's deposit that must be held in reserve, this is usually a directive placed on the commercial banks by the central bank of the nation.
The reserve requirement is calculated by finding the proportion of the difference between the amount deposited and the maximum amount that can be Lent out to the total deposited amount.
Mathematically,
Reserve requirement =[ (deposit amount - amount that can be Lent out) / deposit amount] × 100
Reserve requirement : ([(5000- 4500) / 5000] × 100)%
= (500 / 5000) × 100
= 0.1 × 100 = 10%
Inventions usually start out with a small idea. Just like the story for honey bunches of oats, his daughter smiled because she knew he was up to something (and they never ever knew they would become very famous with their cereal).
Since many people are dying from diseases, you could make an invention that rates how close you are to get that disease. It could warn you on when you might get it (for example, it tells you that a person behind you has a flu, so make sure to stay away from that person.).
It would be called 'The-World-Is-Healthy' because it would decrease the spread of disease.
That would change the world.
Option "b" is correct. It is because that any industry without competition always move towards its fatal destruction. The quality of items being produced in such industry degraded with passage of time. So in this case, the the company that belongs to such an industry has to utilize its economic power for its own survival and in the favor of the remaining industry.