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3 years ago

When an analyst is looking at a company for the first time, which of the following four activities does he do first?

Business

1 answer:

TEA [102]3 years ago

5 0

Answer:

a) defines the industries in which the company operates

Explanation:

In the case when the analyst begins to analyze the company so the first thing he see the industry how it operates whether it is understanble or not after that the growth should be potential or not

So here the option a is correct as it describe the industries in which the company would operates

So the same is to be considered for the first time

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Bass new product forecasting model is used for estimating long term sales potential of a product True False

kobusy [5.1K]

Answer:

True

Explanation:

The Bass New forecasting model is a forecasting model that is commonly used to estimate the sales of a product at a certain in future and it is used for highly durable goods.

The bass new forecasting model wad developed by Frank Bass and it has a formula

<u> f ( t ) </u> = p + qF ( t )

1 - f ( t )

where:

f ( t ) is the change of the installed base fraction

F(t) is the installed base fraction

p is the coefficient of innovation

q is the coefficient of imitation

Cheers.

7 0

3 years ago

Dragon express inc. just paid a $1.57 dividend and investors expect that dividend to grow by 5% each year forever. if the requir

Elena-2011 [213]

To solve this problem, we will use a valuation method named income valuation includes discounting of the profits the stock will carry to the stockholder in the probable future, and a final value on disposal.

Solution:

1.57 (1.05) / (.14 - .05)

= 18.32. the answer is letter d.

6 0

3 years ago

According to the textbook, the only way to know if your product or service is what people want is by ________. talking to them l

vlabodo [156]

The answer is by having to survey the people or the consumers. For this could serve as a basis and to be able to determine the wants of the people and the popular trends in which they will like and what they want, in helping to produce better products and service.

8 0

3 years ago

Read 2 more answers

A small Canadian firm that has developed some valuable new medical products using its unique biotechnology know-how is trying to

den301095 [7]

Answer:

Part a. Manufacturing the goods at home and let overseas sales managers handle the marketing.

Advantages

Can have a full authority in production activities.
It is easy to set up a strategy and multiply the manufacturing.
Having better regulator over human resources.
The foreign sales agents will enhanced the understanding of European marketplaces.
It lower the exit costs if product fails.

Disadvantages

Having lack of information in European pharmaceutical procedures.
The foreign agents may damage the brand name if not prudently handled.
Additional costs in delivery of the products.

Part b. Manufacture the products at home and set up a wholly owned subsidiary in Europe to handle marketing.

Advantages

Having full control in manufacturing activities.
It is easy to set up a strategy and multiply the manufacturing.
Having better regulator over human resources.
The brand name will not be damaged since the marketing is controlled by the same company

Disadvantages

Utilization of extra resources to be consumed on marketing
Having lack of information in European pharmaceutical procedures.
Additional costs in delivery of the products
Having lack of information in European pharmaceutical procedures

Part c. Enter into a strategic alliance with a large European pharmaceutical firm. The product would be manufactured in Europe by the 50/50 joint venture and marketed by the European firm

Advantages

The risk is distributed among the firms.
No additional delivery cost included.
Knowledge of European organization will be valuable in
understanding guidelines and advertising in European markets.

Disadvantages

Having less control in manufacturing activities
Shared of the profit among the partners.
Moderate level of exit cost is included.
Additional firm may harm the brand image.

7 0

3 years ago

Dr. Faulk's Outdoor Market wants to raise $2 million by selling 20-year coupon bonds at par. Comparable bonds in the market have

Greeley [361]

Answer:

The coupon rate should be: 6.62%.

Explanation:

* Yield to maturity calculation:

With the comparable bond in the market, we have:

+ Semiannual coupon payment = 2 million x 6.3% / 2 = $63,000

+ Price of the bond = 2,000,000 x 96.5% = $1,930,000

=> 1,930,000 = [ (63,000/YTM) x ( 1 - (1+ YTM)^(-40) ] + [2,000,000/(1+YTM)^40] <=> YTM = 3.31%.

* Coupon rate calculation:

To raise $2 million with the duration for 20-year, the present value of the coupon streams from the Bond the company offers plus the present value of the face value repayment in 20 years time; discounting at YTM, should equal to $2 million:

we have:

2,000,000 = [ (Coupon payment/3.31%) x ( 1 - 1.0331^(-40) ] + [2,000,000/1.0331^40] <=> Coupon payment = $66,200.

=> Coupon rate = Semiannual coupon payment / Face value x 2 = 66,200/2,000,000 x 2 = 6.62%

8 0

3 years ago