C) because lenders can evaluate their risk more easily using existing data on how that business has already been performing.
Answer:
The present value of security is $2300
Explanation:
The value or price of the perpetuity today is calculated by dividing the constant cash flow it provides per period by the interest rate or the rate of return (r). Thus the price of this perpetuity according to the formula will be,
Value of perpetuity = Cash flow / r
Value of perpetuity = 115 / 0.05
Value of perpetuity = $2300
Answer:
PV=1,175
Explanation:
this question can be solved thinking as if we have a perpetuity, it is a future infinite payments, but in this particular case we have those payments (dividends) increasing over the time, so we can apply the next formula:
where PV is the present value of the future payments, i is the interest rate and k is the annual increasing, so applying to this data we have:
Answer:
This is an example of gap 2 in the GAP model.
Explanation:
The GAP model is a connection between the quality that a company is producing with the satisfaction that the customers are receiving from their products.
As per the model, there are five major gaps known as gap 1 all the way to gap 5. They are the extent to which the company meets the expectation of the customers through their products. The above situation falls in gap 3 of the GAP model where the customers lack satisfaction due to bad product quality.
The style that Lucinda is engaging to is a team leader. It is
because a team leader is someone who cares for the group as she or he also
provides guidance and leads to group towards to achieving the task that they
want to achieve because of their common goals.
