Answer:
"Underwriting
" is the correct answer.
Explanation:
- Underwriting seems to be the mechanism whereby an entity or organization assumes an investment burden at a cost, is indeed the mechanism for a mortgage company to determine the danger of extending credit to customers.
- The above word stemmed from the custom of making increasing uncertainty-taker put their names below the total degree of responsibility individuals were inclined to acknowledge for something like a defined bonus.
So that the above is the appropriate answer.
The first Continental Congress all meet
Answer:
The answer is 11.44%
Explanation:
Solution
Given that:
Glass maker has a pre-merger of =$5 debt
Equity =$10
The rate on debt =11%
The risk free rate =6%
Tax rate =40%
The levered beta is =1.36
Equity risk premium is= 4%.
Now,
the next step is to find discount to use for Glass maker free cash flows and interest tax savings
Cost of equity (Ke) = Risk free return + Beta ( Market return - Risk free return )
= 6% +1.36( 10%-6%)
=11.44%
Therefore, the rate to be used to discount free cash flows and interest tax savings is 11.44%
Answer:
The correct answer is letter "B": there being a market‑wide, systematic way of implementing an acceptable wage cut for all workers or price cut to market participants during a recession.
Explanation:
Price stickiness refers to the resistance of a price level to change in front of major changes in the overall economy that indicates the current price level is not optimal. The concept can be applied to wages moreover when there is a deficit in a company or a recession in a country that suggests wages should be lower but they maintain their same level.
Thus, <em>the coordination argument states that the broad market situation should match the price level of goods and services.</em>
