Explanation:
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Answer:
Expected rate of return will be 13.6 %
Explanation:
We have given risk free return = 4 %
Risk premium is 4% and
relative to this risk premium is 0.6
And then risk premium is changes to 6 % and
relative to it is 1.2
We have to find the expected return on this stock '
So expected return = risk free rate + 
So expected return = 4+(0.6×4) +( 1.2×6) = 4+2.4+7.2 = 13.6 %
Answer:
Got this from the same website you used
Explanation:
Advances in technology like the creation of cheap, lightweight laptops have allowed workers to work from almost anywhere. TRUE.
Answer:
Need for trade offs in pricing objectives
Explanation:
I the given scenario the club is faced with two choices. Either they increase market share and become an industry leader while slashing membership prices, or leave membership price the way it is and meet its target on return on investment.
A trade off is required in this kind of situation.
In a trade off a business will need to lose in one aspect in order to gain in another.
So a choice will need to be made on what the business will be able to lose and come out benefiting more.
If the company values the proposition of increasing its market share and becoming the industry leader, it will slash it's membership price by 50%