<u>Answer:</u>
<u>Creating an Insurance fund</u>
<u>Explanation:</u>
An Insurance fund could a very good financial strategy to mitigate risk exposure.
For example, XYZ company is an bank that has over 500, 000 customer base throughout the country. XYZ company has forseen possible financial loses resulting from theft and economic downturn in the future. A safe practice would be to allocate a portion of it's profit– either quarterly or annual profit to an Insurance fund which would mitigate the company from possible financial risks resulting from theft or economic vices.
This financial strategy has proven to be successful in real life in mitigating a company from exposure to risk.
Share holders since they have a share of the company
Answer:
net income = $24000
Explanation:
given data
investments = $60,000
withdrawals = $25,000
revenues = $93,000
expenses = $69,000
solution
we get here net income that is express as
net income = revenue - Expenses ................1
put here value we get
net income = $93,000 - $69,000
net income = $24000
Answer:
1. more
2. less
3. borrowing
4. past savings
Explanation:
It is generally recognized that the spending habits of individuals changes over their lives. In general, young adults tend to spend <u>more</u> than they earn, while older adults tend to spend <u>less</u>. To accommodate their spending habits, young adults tend to rely on funds raised from <u>borrowing
</u>. Retired adults, in contrast, tend to rely on <u>past savings</u> to cover the frequent shortage between their current expenditures and their current incomes.
Answer: The correct answer is "a. Less".
Explanation: According to the principle of diminishing returns to capital, an additional unit of capital will <u>less</u> in Alpha compared to Beta, holding other factors constan.
The law of diminishing returns is an economic concept that shows the decrease of a product or a service as productive factors are added to the creation of a good or service. It is a marginal decrease, that is, the increase is smaller every time.