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kotegsom [21]
3 years ago
7

The increased risk of foreign investments is most often incorporated in capital budgeting models​ by: ​(Select the best choice​

below.) A. calculating certainty equivalents. B. adjusting the discount rate. C. international diversification. D. hedging with financial derivatives. E. reducing market risk.
Business
1 answer:
Anettt [7]3 years ago
6 0

Answer:

b. adjusting the discount rate.

Explanation:

The increased risk of foreign investments is most often incorporated in capital budgeting models​ by <u>adjusting the discount rate.</u> This reason is whenever the foreign exchange risk is perceived to be high then the discount rate is increased by to incorporate higher risk.

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A company has preferred stock with a current market price of $18 per share. The preferred stock pays an annual dividend of 4% ba
scZoUnD [109]

Answer:

Answer:

Dividend (D) = 4% x $100 = $4

Current market price (Po) = $18

Flotation cost (FC) = $1.50

Tax rate (T) = 40% = 0.40

Kp =   <u> D </u>

       Po-FC

Kp =   <u>  $4 </u>

        $18-$1.50

Kp = <u>$4 </u>

      $16.5

Kp = 0.24 = 24%

Explanation:

Cost of preferred stock equals dividend divided by the difference between current market price and flotation cost. Cost of preferred stock is not tax deductible.

3 0
3 years ago
What are the four invoices used in foreign trade?​
amid [387]

Answer:

<h3>BILLS OF LADING / AIRWAY BILL. MARINE INSURANCE POLICY AND CERTIFICATE. BILLS OF EXCHANGE.</h3>
6 0
3 years ago
Rabbit population can double every 30 days, if there are 26 rabbits on a farm, how many rabbits will be on the farm after 240 da
hichkok12 [17]
<span>With a period of 30 days, across 240 days there will be 240/30=8 separate periods where the population doubles. Therefore the population at the end of the time period will be the original, 26, times 2 raised to the 8th power, or 26*2^8 = 26*256=6656.</span>
3 0
3 years ago
History of management thought (Connect, Perform)
fgiga [73]

Answer: 1. 1. By studying patterns that recur in different eras, he can see what management tools will work best in his company's environment.

2. Social

Explanation:

1. It is often said that without knowing where we've been, we cannot know where we are going. This is why History in a general sense is important, it enables us know how things were done in the past so that we may know how to do things now. Specifically to Management, when the CEO studies the history of Management, he can see where Management has been, he can see what strategies have worked and which happens and in what conditions those strategies worked. After studying these patterns and strategies, he can then figure out how best to manage his current Environment based on those.

2. Social change refers to how the Environment of a Variable has changed in terms of what is expected of the people in it. What new norms or Cultural practices are now held in high regard as opposed to previous times.

Millennials have different values from those of the previous generations which means that there has been a Social Change that managers have to adapt to in order to be able to best achieve Organizational goals.

3 0
3 years ago
Jorge has $300 for work he performed. He expects to spend the money in the next few weeks to buy a new bike. Which type of accou
pshichka [43]

Answer:

C

Explanation:

Eliminate anything that is long range.

A. is meant to build up capital

B. is sort of an investment account. You'll likely leave money in there.

C. I'd use this. Fast in, fast out.

D. I'm not sure of this. We don't have them in Canada. But it sounds long term to me so I wouldn't use it.

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