Answer:
The correct answer is letter "C": moral hazard.
Explanation:
In the principal-agent problem, Moral Hazard represents actions taken by employees of an organization for their benefits instead of the company's. The term extends to many other fields such as financing with similar connotations. Moral hazard, in general, is described as the risk one party takes knowing that another party will have to suffer the consequences.
Since each member needs to review the document one more time, then, the best collaboration tools for this will be E-mail.
<h3>What is an
E-mail?</h3>
E-mail is basically a online-based application that facilitate an exchange of messages between one or more users
In conclusion, because all member needs to review the document one more time, then, the best collaboration tools for this will be E-mail.
Read more about E-mail
<em>brainly.com/question/2234629</em>
If demand is inelastic, this means that the amount demanded doesn't change with the increase of price. In this case, if John were to raise prices, we assume that quantity demanded would stay the same and John would make more revenue.
Answer:
the journal entries should be:
Dr Cash 1,250,000
Cr Common stock 1,000,000
Cr Additional paid in capital 250,000
Dr Treasury stock 238,500
Cr Cash 238,500
Dr Cash 161,500
Cr Common stock 85,000
Cr Additional paid in capital 76,500
Answer:
A) Company A is the one that is financially leveraged.
Where there is the presence of debt in the capital structure of a firm, that firm is said to be Financially leveraged.
B) A is true.
A company's return on equity or expected returns increases because the use of leverage increases stock volatility. Volatility increases its level of risk which in turn increases returns. This happens only if the company is operating an ideal level of financial leverage.
On the other hand, however, but excessive debt can increase the risk of default and can lead to low returns or even bankruptcy.
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