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sergeinik [125]
2 years ago
7

A company faces two kinds of risk. An example of a firm-specific risk is the risk that a competitor might enter its market and t

ake some of its customers. An example of a market risk is the risk that the economy might enter a recession, reducing sales. True or False: The company's shareholders would more likely demand a higher return due to the stock's firm-specific risk because it affects only that particular stock.
Business
1 answer:
denis23 [38]2 years ago
8 0

Answer:

true

FALSE

Explanation:

Systemic risk are risk that are inherent in the economy. They cannot be diversified away. They are also known as market risk. examples of this risk include recession, inflation, and high interest rates. Investors should seek compensation for systemic risk. Systemic risk is measured by beta. The higher beta is, the higher the systemic risk and the higher the compensation demanded for by investors

Non systemic risk are risks that can be diversified away. they are also called company specific risk. Examples of this type of risk is a manager engaging in fraudulent activities.

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We often observe that addition of another unit of labor increases output but by an amount that is smaller than the addition of t
iren [92.7K]

Answer:

The producer is experiencing diminishing marginal product.

Explanation:

The law of diminishing return explains that every additional unit consumed will have less utility/return than the previous one. Same is the case with labor productivity. The first unit of labor will yield maximum return, every additional unit will result in lesser return/productivity than the previous unit. The will continue up to the point of maximum return. After that point adding additional resources will yield less total output.

8 0
3 years ago
an amount of 16000 is borrowed for 8 years at 3% interest, compounded annually. if the loan is paid in full at the end of that p
bezimeni [28]

He must pay back 20268.32 of amount after borrowing 16000 for 8 years at the interest rate of  3% for one year.

<h3>How to calculate loan amount ?</h3>
  • The term "Loan Amount" refers to the sum of money we currently owe you for this mortgage. The loan amount may also include other fees, interest , defaulted payments, interest on defaulted payments, principal, and interest on unpaid principal.
  • The amount of interest due each period expressed as a percentage of the amount lent, deposited, or borrowed is known as an interest rate. The total interest on a loaned or borrowed sum is determined by the principal amount.

Amount he borrowed = 16000

No. of years = 8 years

Rate of interest = 3%

Calculate full amount (A) :

Equation for A = P(1 + r/n)^(nt)

A =  16000(1 + .03)^8

A = 20268.32

He need to pay 20268.32 after 8 years.

To learn more about Loan amount refer :

brainly.com/question/26011426

#SPJ4

4 0
10 months ago
Which of the following statements is normative? Group of answer choices Congress gives certain business corporations tax breaks.
fredd [130]

Answer: Congress gives too many tax breaks to corporations.

Explanation:

Normative statements are said to be statement of opinion and not fact.

Option D is therefore a normative statement because it is the opinion of the speaker that congress gives too many tax breaks because from a neutral standpoint, it cannot be said with certainty the number of tax breaks that will be considered too much.

The other options are statements of fact.

8 0
2 years ago
A mortgage of $80,000 with 2 points means the borrower would have to pay at closing $800. Group startsTrue or FalseTrue, unselec
zavuch27 [327]

A mortgage of $80,000 with 2 points means the borrower would have to pay at closing $800 is false because the real pay at closing is $1,600.

<h3>What is mortgage?</h3>

A mortgage is a loan that is used to buy or to maintain a land, home, or other sort of real estate.

The borrower checks to refund the lender over a period of time, usually in an ordination of regular installments divided into principal and interest. The property is used as security for the loan.

According to the given information,

Mortgage Amount = $80,000

Points = 2

Let the 2 points is taken as a percentage:

Point 1 = 1%, and

Point 2 = 2%

Now, as we know that in the loan process, the amount of point is cyphered at the closing. Then, the closing cost is commuted as:

\text{Closing Cost Amount} =\text{Mortgage} \times \text{Points}\\\\\text{Closing Cost Amount} =$80,000 \times 2\%\\\\\text{Closing Cost Amount} =\$1,600

Therefore, the given problem is false, that the borrower have to pay $800, he would have to pay only $1,600.

Learn more about the mortgage, refer to:

brainly.com/question/15074748

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3 0
2 years ago
Functions of Material Management:​
satela [25.4K]

Answer:

the function responsible for the coordination of planning, sourcing, purchasing, moving, storing and controlling materials in an optimum manner so as to provide a pre-decided service to the customer at a minimum cost

8 0
2 years ago
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