Answer:
The correct answer is: Yes, the firm could be digital and is due to the fact that there are no limitations that would affect the digitalization of the business and even more it would bring more comfort to the clients.
Explanation:
To begin with, if a person is looking forward to a start a business that focuses in the hand-delivery of packages within a small geographical area then there would be no problem at all to digitalize it in order to obtain better results or even make it easier to manage. Moreover, the reason why this firm could be digital due to the fact that it would be easier for the customer to receive notifications over the phone and to contact the delivery for a proper order, plus the fact that in that way the clients will have a digital way in where to complain when there are problems.
Answer:
$20,800,000
Explanation:
The formula and computation is shown below:
Value of the firm = {(Firm's current profits) × (1 + firm’s opportunity cost of funds)} ÷ (firm’s opportunity cost of funds - constant growth annual rate)
= {($400,000) × (1 + 0.06) ÷ (0.06 - 0.04)
= $424,000 ÷ 0.02
= $21,200,000
Hence, we recognized all the information which is mentioned in the question.
A savings account would be properly classified as cash which is an interest bearing bond account held at a bank or alternative monetary organization that offers an uncertain interest rate. The banks or monetary organizations may have assured the number of withdrawals can create from savings account each month and burden fees if uphold a certain average monthly balance in the account.
Answer:
TRUE
Explanation:
Competition between the brands of production and private distributors in several important categories becomes more and more acute.
- A private label is a commodity that is created specifically for a store.
- The supplier will commercialize the brand under its own brand name.
- product rates are usually set at a lower cost than conflicting brand names. Consumers frequently believe that private brands are of lower quality, but that perception changes.
When interest rates are high, then the consumers have a greater incentive to save more, but when interest rates are low, consumer have a greater incentive to borrow more.
<h3>What is Interest Rate? </h3>
This refers to the charge which is given for a particular loan which is replayed after a certain time.
With this in mind, high interest rates are not appealing to customers so they rather save and then borrow when the interest rates are low.
Read more about interest rates here: