Answer:
b. cost-plus pricing
Explanation:
cost-plus pricing is a price base that involves a markup addition to the cost of services and goods to get to the final selling price. In this technique you compute all cost (material, labor, etc) and then add a percentage in order to obtain the product's price
Answer:
a.To implement the corporate valuation model, we discount projected free cash flows at the weighted average cost of capital.
Explanation:
Common sense requires that like should be compared like, the free cash flows are meant for all providers of finance, debt, and equity stockholders alike, hence, in discounting the free cash flows to firm, the discount rate is the one that captures the overall cost of finance to the firm which is the weighted average cost of capital, hence, option "a" is correct.
Net income and NOPAT cannot be discounted since they are not cash flows
In the same vein,the free cash flows which are meant for debtholders and stockholders cannot be discounted at the cost of equity which is only an equity required rate of return
Answer:
The statement is: False.
Explanation:
The United States Pendleton Civil Service Act, effective from 1883, is legislation that established fair practices while employing individuals. The Act was named after Senator George H. Pendleton (1825-1889) states that employers must provide applicants job positions based on their merit instead of their political party affiliation.
Thus, <em>the Civil Service Act was enacted in the 19th century, not the 20th</em>.
