Answer:
does not achieve a mutually beneficial equilibrium because there is a lack of coordination of the actions of people and businesses
Explanation:
From the question, we are informed about Craig and Kris who were walking directly toward each other in a congested store aisle. Craig moved to his left to avoid Kris, and at the same time Kris moved to his right to avoid Craig. They bumped into each other. This example illustrates the concept of coordination failure and in this case, This idea relates to macroeconomic instability because the economy does not achieve a mutually beneficial equilibrium because there is a lack of coordination of the actions of people and businesses. Coordination failure can be regarded as failure that takes place as a result of group of firms want to achieve a more desirable equilibrium, but resulted to failure as a result of their decision making not been coordinated
The technology associated with the manufacturing computers has advanced tremendously. This change has led to the price of a computer <u>falling</u> and the quantity <u>increasing</u>.
Lower prices most likely results in a higher demand for the product in question, which will increase the production rate of that product.
Answer: 6.67%
Explanation:
Return on Investment is calculated by dividing Income from operations by average total assets.
Average Total Assets = (Beginning Value + Closing Value) / 2
= (2,700,000 + 3,300,000 )/2
= 6,000,000/2
= $3,000,000
Return on Investment = Income from operations/ Average Total Assets
Return on Investment = 200,000/3,000,000
Return on Investment = 0.06667
= 6.67%
Firms with a very limited advertising budget would be very unlikely to use television advertising. Advertising is a type of commercial communication that uses an openly sponsored, non-personal message to promote or sell a product, service, or concept. Advertising sponsors are often firms that want to market their products or services.
Advertising differs from public relations in that the advertiser pays for and controls the message. It varies from personal selling in that the message is not focused at a specific individual. Advertising is communication through numerous mass media, such as newspapers, magazines, television, radio, outdoor advertising, or direct mail, as well as developing media such as search results.
To learn more about Advertising, click here.
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Answer:
a.- r= 6% Value: 23.40
b.- r = 8% Value: 11.70
c.- r = 11% Value: 6.69
d.- r = 12% Value: 5.85
e.- r= 19% Value: 3.12
Explanation:
We will calcualte the gordon model for the different rates of return:
Dividend_1 is next year dividends.
If dividends raise by 4% then:
0.45 x 1.04% = 0.468
<u>now we calculate for the different returns:</u>
