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Brilliant_brown [7]
3 years ago
6

1.4. Explain the role of financial markets in the economy.​

Business
1 answer:
irina1246 [14]3 years ago
8 0

Explanation:

Financial markets help to efficiently direct the flow of savings and investment in the economy in ways that facilitate the accumulation of capital and the production of goods and services. The combination of well-developed financial markets and institutions, as well as a diverse array of financial products and instruments, suits the needs of borrowers and lenders and therefore the overall economy.

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Free cash flow describes the net cash provided by operating activities after adjusting for A : current liabilities. B : both cap
Nikolay [14]

Answer:

The answer is B, both capital expenditure and dividends paid.

Explanation:

In the Statement os Cash Flow, cash provided by operating activities fails to take into account that a company must invest in a new property, plant, and equipment and must maintain dividends at current levels to satisfy investors.

Free cash flow describer the net cash provided by operating activities after adjusting for capital expenditures and dividens paid.

7 0
3 years ago
Global Technology’s capital structure is as follows: Debt 50 % Preferred stock 35 Common equity 15 The aftertax cost of debt is
solmaris [256]

Answer:

The computation is shown below:

Explanation:

The computation is shown below:

For weighted cost of each source of capital is

Debt:

= Cost of debt × Weight of debt

= 9% × 50%

= 4.5%

Equity

= Cost of equity × weight of equity

= 16% × 0.15

= 2.4%

Preferred stock

= Cost of preferred stock × weight of preferred stock

= 12.50% × 35%

= 4.375%

Now the weighted average cost of capital is

= 4.5% + 2.4% + 4.375%

= 11.275%

Therefore in the first part we multiplied the cost with the weight of each source of capital

And, then we add the all answers

8 0
4 years ago
A report that shows the financial picture of a company at a given time and itemizes assets, liabilities, and stockholders' equit
Allisa [31]

Answer:

Balance sheet is the correct answer because it tells about the worth of company, its assets, shareholders funds (Equity) and amount borrowed by the company (Liability). Balance sheet is also known as Statement of Financial Position (SOFP)

All the other options tells about the earnings and costs of the company not about the assets and liabilities of the company.

6 0
3 years ago
True or false: When units produced are less than units sold, net income under absorption costing will be less than net income co
Oliga [24]

Answer:

True

Explanation:

Generally, net income will be the same under absorption costing and variable costing. However, producing fewer units than units sold will decrease the net income under absorption costing. As whatever the variable cost is under the absorption method, fixed manufacturing overhead remains the same that decreases the gross profit and net income. Under the variable costing, the fixed overhead will be calculated as per the units produced. Therefore, the net income will decrease proportionately.

6 0
3 years ago
Almost all tasks in a project will be connected using either _____ or _____ dependencies.Select an answer:a)start-to-finish; fin
anyanavicka [17]

Answer:

c) finish-to-start; start-to-start

Explanation:

Project dependencies are the time relationships between a predecessor and a successor in project management. In other words, these dependencies describe which activity among the two needs to start earlier or later and when it needs to start or finish compared to the other one.

The most common type of dependency in all projects (no matter the nature or industry) is the finish-to-start one, where the activity A needs to be completed before activity B starts, e.g. base nail polish has to be put before the top coat gets put on the nails.

The second most common type of dependency is the<em> start-to-star</em>t one, where two activities need to start at the same time. This is common for activities where synchronization is paramount.

3 0
3 years ago
Read 2 more answers
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