Answer:
best combination of resources to use to produce a product.
Explanation:
Capitalism also referred to as free-enterprise system or free market can be defined as a type of economy in which prices, products and services are being determined by the market rather than the government. Thus, capitalism is devoid (free) of government regulations, interference or control because the market (enterprises) are the ones who are saddled with the responsibility of determining the market forces.
Simply stated, a pure capitalism is a type of economy that is completely driven by demand and supply of goods and services.
In a society, the role of an entrepreneur is mainly focused on bringing the four (4) factors of production together and take the risks of producing output, so as to generate revenue through sales and make economic profits in the long-run.
Hence, the profit and loss system of capitalism helps entrepreneurs determine best combination of resources to use to produce a product.
Answer:
Chesterly used to provide special deals to company customers and used to receive bribery from these customer in return.
Explanation:
The company products and services were sold by Chesterly to its customers at a discounted price because both the Chesterly and its customer had agreed that Chesterly will receive a share of return from its customers. This was against the fiduciary duty of Directors and resulted in loss of profits to company which was not in the best interests of shareholders or in other words the director Chesterly committed fraud.
Answer:b) the employer pays his employees year end bonus according to how the business does and his observation of the employees efforts
Explanation: The best payment system to overcome moral- hazard problem by employers is to pay by piece rates.
Piece rates or payment by result system is a payment system where employees are paid in proportion to the efforts and the overall business performance. With this system both employees and employers will be satisfied with the outcomes and will in turn prevent any suspicions from the employees since the system is clearly understood by both parties and a mutual relationship we be created.
Answer:
$37.92 is the answer
Explanation:
Stock price, P0 = D1÷(r+g)
D1 is next expected dividend
r is required return
g is growth rate
= $10×(1-9%)÷(15%+9%)
= $37.92
Answer: The Evolution of Finance. ... At the core financial institutions all do the same two things: first, they gather assets, and second, they invest those assets. Commercial banks take deposits and make loans. Investment banks identify pools of capital and issue securities. Asset managers take savings and invest those savings.
Explanation:
