Answer:
The correct answer is letter "A": sign the instrument.
Explanation:
When talking about negotiable instruments, there are two types of liabilities: <em>Signature Liability </em>and <em>Warranty Liability</em>. Signature Liability refers to those documents where who signs is potentially liable for the responsibilities of the document stated. Warranty Liability is where the liability relies on the person to whom the document was transferred in good faith.
In both cases, <em>the initial holder of the document must sing the instrument so it will be clear to whom belongs the liability.</em>
Answer:
D) hamburgers and hot dogs are substitutes.
Explanation:
Option A is incorrect. When the price of one good increases, the demand for other good decreases. It is called complementary goods. In this question, due to the increase in the price of hamburgers, the Ruiz family started taking hot dogs. Therefore, hot dogs price is not increasing. Therefore, it is a substitute good. Substitute goods state that the increase in the price of one good leads to the increase in demand for another good. Therefore, option D is correct.
Normal goods and inferior goods are related to income, so those are not answers.
Answer: $7
Explanation:
Due to scarcity of resources, economic agents have to make choices and the real cost of the forgone alternative when a choice is made is referred to as the opportunity cost.
Based on the information given, the opportunity cost of eating at Soup Plantation will be the $7 worth of value that will be gotten when one eats at Del Taco.
Answer:
Required return on stock = 13.44%
Explanation:
We know,
The required return on the company's stock = Risk-free rate of return + (Expected return on the market - Risk-free rate of return) x beta
=
+ (
) x b
Given,
Beta, β = 1.14;
Risk-free return,
= 3.33%
Return on the market,
= 12.20%
Putting the numbers on the formula, we can get,
The required return on the company's stock = 3.33% + (12.20% - 3.33%) x 1.14
required return on stock = 3.33% + 10.1118%
required return on stock = 13.44% (Rounded to two decimal places)
People of a low income/ lower class