1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
murzikaleks [220]
2 years ago
6

According to the bond-yield-plus-risk-premium approach, a firm's cost of retained earnings, r s , can be estimated by adding a r

isk premium of 3 to 5 percentage points to its _____.
Business
1 answer:
Masja [62]2 years ago
7 0

The approach suggest that a firm's cost of retained earnings can be estimated by adding a risk premium of 3% to 5% points to the before-tax interest rate on the firm's own long-term debt.

The bond-yield-plus-risk-premium approach does assumes that cost of equity is closely related to the firm's cost of debt.

  • The premium approach does help to determine the value of an assetof a company's such as its traded equity.

However, the approach suggest that a firm's cost of retained earnings can be estimated by adding a risk premium of 3% to 5% points to the before-tax interest rate on the firm's own long-term debt.

Read more about the premium approach:

<em>brainly.com/question/20354983</em>

You might be interested in
When output increases, the PPC of the economy __________ , indicating ________in the economy.
AysviL [449]
The answers to the question are "shift outward" and "growth" based on the blank sentence above. The Production Planning Curve is a graph which shows the effectivity of a production process of a country. An output increase indicates an increasing of the effectivity of a production process of a country and this effectivity is a result of a growth.
6 0
3 years ago
Read 2 more answers
2. In what ways are the following three initial assessment methods similar and in what ways are they different: application blan
konstantin123 [22]

Answer:

Selection stands for the initial assessment of a candidate in an organization before he is offered a job. In includes several steps like the organization details the KSAOs (Knowledge, Skills, Abilities, and other criteria) required for the job; evaluation of a candidate over those criteria; and making an offer to the selected candidate.

Initial assessment methods stand for the starting ways through a candidate or an applicant is screened and shortlisted by the organization which includes ways like- application blanks, biographical information, and reference and background check. These three initial assessment methods are similar to each other in a way that when an organization starts its selection procedure, it reviews the applications of the candidates who all have applied for the particular position in the organization; after the screening and verification of the application form, the organization checks the biographical information of the candidate which becomes a part of application form; and finally the organization conducts a reference and background check to ensure that the candidate has given complete and true information and has not been involve din criminal or unethical actions in his past.

On the other hand, the differences in the three initial assessment methods- application blanks, biographical information, and reference and background check could be that in application blank, the candidate has to furnish his background and work experience details; while in biographical information, the organization checks and verifies it with the details furnished by the candidate in the application form; and when it comes to reference and background check, the organization performs thorough background check of the candidate before offering job to him. This way the three initial assessment methods are similar and different from each other.

Explanation:

6 0
3 years ago
This past year inflation in Snowdonia has increased to 150%. As an economic analyst, you are charged with identifying those sect
masya89 [10]

Answer:

disabled veterans living on fixed (non-adjustable) government transfer payments

Explanation:

Here the group income should remains the fixed or same for the time period so at the time when the price of the goods rised up or the value of the money reduced so it would become hard for the inflation event

Therefore the group of people who deals in veterans i.e. disabled and lived on fixed government transfer payment should be worst impacted by the inflation

4 0
3 years ago
Minimizing the use of energy and reducing emissions and waste are issues of importance to which stakeholder
Hoochie [10]
The answer is "environmental groups".


An environmental organization refers to an association which is leaving the preservation or ecological developments that looks to ensure, break down or screen the earth against abuse or debasement from human powers. In this sense the environment may allude to the biophysical condition, the common habitat or the constructed condition. The association might be a charity, a trust, a non-legislative association or an administration association. Environmental associations can be worldwide, national, provincial or nearby. 
7 0
3 years ago
A company has $4,500 in its Revenue account at the end of a period. The expenses are as follows: Rent, $750; Utilities, $150; Sa
Alik [6]
C $975 as you minus rent etc from the revenue
3 0
3 years ago
Read 2 more answers
Other questions:
  • Which of the following is the best example
    10·1 answer
  • Market researchers often compute the “mean” or average of data collected. Wha is the mean income of the following three people s
    10·1 answer
  • O.K. Company uses a job order cost accounting system and allocates its overhead on the basis of direct labor costs. O.K. expects
    7·1 answer
  • "In a management development program, Trudy spends 3 months visiting customers, 3 months in HR, and 3 months in IT. This process
    5·1 answer
  • Significant accounting policies may not be:
    11·1 answer
  • Of the​ following, which most closely describes the method by which companies engage and create benefits for their​ customers?
    9·1 answer
  • Since content theories suggest that motivation results from individual needs, managers should ____________.
    7·1 answer
  • Define artificial intelligence​
    13·1 answer
  • The manager of a clothing store in the mall has hired five new employees for the summer. All of them have just graduated from hi
    14·1 answer
  • A new pair of sneakers costs $70 now. what is the cost of the shoes 5 years from now if the price increases 8% per year?
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!