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luda_lava [24]
2 years ago
9

Marketing links producers to

Business
1 answer:
Nastasia [14]2 years ago
7 0
Marketing links producers to customers.
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Give an example of financial leverage, define it and explain how financial leverage works
Gemiola [76]
Example: A company spends $5 million to buy prime real estate on which to build a new manufacturing factory. The land is worth $5 million. This is not financial leverage because the corporation is not using borrowed funds to purchase the land.
If the same corporation spent $2.5 million of its own money and $2.5 million in borrowed funds to purchase the same piece of real estate, the company is utilizing financial leverage.

Define: the utilization of fixed expenditures to increase the expected risk and potential return

Explanation: When purchasing assets, the corporation has three alternatives for financing: stock, debt, and leases. Apart from equity, the remaining choices have fixed costs that are lower than the expected income from the asset.
7 0
2 years ago
In an economy, the total expenditures for a market basket of goods in year 1 (the base year) was $5,000 billion. In year 2, the
julia-pushkina [17]

Answer:

The correct answer is option (C).

Explanation:

According to the scenario, the given data are as follows:

Base year basket price = $5,000 billion

Year 2 basket price = $5,500 billion

So, we can calculate the consumer price index by using following formula:

Consumer price index = (Year 2 basket price ÷ Base year basket price ) × 100

By putting the value, we get

Consumer price index = ( $5,500 ÷ $5,000 ) × 100

= 1.1 × 100

= $110 billion

5 0
3 years ago
How should Kraft Canada make the brand messaging of Kraft singles compelling to Canadian Millennial moms?
lidiya [134]
 Kraft can help be the millennial moms Focus “bonding and togetherness” through a common cause of health and convenience For their families<span>. 
They need this approach because millenial moms are tend to be health conscious compared to the previous generation and they also tend to don't have much time at home since they're joining the workforce.</span>
7 0
3 years ago
Use your notes to explain how prices affect demand.
abruzzese [7]

Answer:

Amount of a product people purchase at various prices. ... There exists an inverse relationship between price and quantity demanded. As the price of a good or service goes up, the number sold (quantity demanded) goes down. As the price of a good or serve goes down, the number sold (quantity demanded) goes up.

7 0
2 years ago
Your grandfather wants to establish a scholarship in his father’s name at a local university and has stipulated that you will ad
Paul [167]

Answer:

the answer for the first question is $166667.

the answer for the second question is $210526

the answer for the third question is An inverse.

Explanation:

given information that i will invest in a $10000 scholarship that will pay forever.

the interest rate charged is 6.00% per annum therefore this is a perpetuity present value problem where there is streams of income forever therefore we use the formula :

Pv of perpetuity= Cf/r

where Cr is the cash flows payed by the single investment forever in this case $10000 then r is the interest rate of the investment amount which is 6% in this case.

Pv of Perpetuity= $10000/6%

                           =$166667 therefore i must invest this amount to get the scholarship running with streams of $10000 forever.

in the second problem if now the interest rate is changed from 6% to 4.75% then the amount to be invested would be :

Pv of perpetuity = $10000/4.75%

                              =$210526 therefore this is the amount to be invested for a forever $10000 stream of incomes for a scholarship.

the relationship is indirect cause as the interest rate decreases the present value of the perpetuity that must be invested increases.

3 0
3 years ago
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