Answer:
cohesion
Explanation:
the action or fact of forming a united whole.
The answer is stuttering if not it is tongue tied
Answer:
$7.50
Explanation:
Earnings per share = Earning attributable to holders of Common Stock ÷ Weighted Average Number of Common Stocks Outstanding
therefore,
Earnings per share = ($160,000 - $10,000) ÷ 20,000
= $7.50
thus,
The company's earnings per share on common stock is: $7.50
Answer:
A) The amount of the premium in fair insurance policy that replaces Beths car, must be equal to the probability or expectation of claim of car theft.
Therefore, the Premium amount = 20000 x (1/200)
= 20000 (0.005)
= $100
B) If an Insurance company charges 0.6% for replacing a stolen car, then the policy will cost beth:
20000* 0.6%
= 12,000/100
= $ 120
C) To be risk-neutral means to be indifferent to the risk. This means that Beth would be indifferent. She most likely will be focused on maximizing value for money. In other words, she will NOT pay for the insurance policy in part b because part A provides her with the exact (or fair) premium for her insurance.
D) The moral hazard problem is this, people tend to become more careless with an insurance policy in place. This moral hazard arises form the knowledge that there is an insurance policy that caters to their risks.
As a matter of practice, therefore, insurance companies factor this increased risk into their premiums. Where the premium was supposed to be $100, they may charge $120.
In summary, it means that Beth most likely will move from becoming risk neutral to becoming (to a certain degree) more risk loving.
Cheers!
Answer: All the options given are correct.
Explanation:
Income inequality is the differences in income of people. It is the aim of every government to reduce income inequality in a country by taking appropriate measures such as the use of progressive tax, infrastructural provision etc.
There are different causes of income inequality in an economy. One of the causes is differences in people's ability. Some peolle are more talented than others e.g footballers and actors. As a result, they may earn higher income than others.
Also, one who works longer hours is likely to make more money than others who work for shorter hours. Some people might also get wealthy through luck.
