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2 years ago

What is the effect on market when suppliers under invest in their businesses

Business

1 answer:

yanalaym [24]2 years ago

8 0

Answer:

Low supply
Scarcity
Low economic growth

Explanation:

When suppliers under invest in their business, they will end up having the capacity to only produce less than the market requires. Should this happen, supply will be reduced in the market which would lead to relative scarcity all else being equal.

For economic growth to happen, there must be increasing production in an economy so if suppliers are under investing and production is low, there might be low or no economic growth.

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2 years ago

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3. 5412541.2

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3 years ago

Calculate free cash flow for 2017 for Monarch Textiles, Inc., based on the financial information that follows. Assume that all c

ozzi

Answer:

See below

Explanation:

Computation of free cash flow for Monach textiles, 2017

EBIT = EBT + Interest expense EBIT

EBIT = $408 + $50

EBIT = $458

Tax rate = Tax / EBT

Tax rate = $163.20 / $408

Tax rate = 0.4 = 40%

Operating cash flow = EBIT × (1 - Tax rate) + Depreciation - Change in net working capital - Capital expenditure

= $458 × (1 - 0.4) + $82 - ($640 - $360) - ($460 - $280)

= $274.8 + $82 - $280 - $180

= $274.8 + $92 - $100

= $256.8

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2 years ago

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Target market and target demographics. You can think of this as an avatar of the ideal customers.

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2 years ago

The Boat Company has a capital structure of 30 percent riskless debt and 70 percent equity. The assumed tax rate is 23 percent.

mash [69]

Answer: 0.68

Explanation:

Using the measures given, the equity beta can be calculated as:

Equity beta = Asset beta * (1 + (1 - Tax rate) * (Debt/Equity)

= 0.9 * ( 1 + ( 1 - 23%) * (30% / 70%)

= 1.593 * 0.3/0.7

= 0.68

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2 years ago

What is the effect on market when suppliers under invest in their businesses​

What is the effect on market when suppliers under invest in their businesses