Answer:
The option that says; "Open market operations involve the purchase and sale of government securities".
Explanation:
The term "open market operation" simply has to do with monetary policy. Open market operation is usually considered as a tool in economics and It is a commonly used by central banks of countries or federal reserves.
The main thing that happens in open market operation is that Government securities are being bought and sold that is the purchase and sale of government securities. The selling and buying of government securities is to make sure that there is reduction in the way money is been supplied.
Answer:
c. 15.8%
Explanation:
The cost of equity is the WACC (weighted average cost of equity)
WACC formula = wE*rE + wD*rD(1-tax) , whereby
wE = weight of equity = 65%
rE = cost of equity = 20%
wD = weight of debt=35%
rD(1-tax ) = after tax cost of debt =8%
WACC = (0.65 *0.20) + (0.35*0.08)
= 0.13 + 0.028
= 0.158 or 15.8%
Therefore, the overall cost of capital is 15.8%
Answer:
In a Chapter 11 bankruptcy, a class of creditors is considered to have accepted the bankruptcy plan when:
one-half of the class in number and two-thirds of the class in dollar amount agree.
Explanation:
In a Chapter 7 bankruptcy, the business assets are liquidated to pay the creditors. In a Chapter 11 bankruptcy, the business assets are not liquidated. Instead, the business is refinanced as the assets and debts are reorganized, making it possible for the continued existence of the business. This is the reason the agreement of the creditors are usually paramount in the decision to undergo a Chapter 11 bankruptcy, unlike a Chapter 7 bankruptcy.
Answer:
100
Explanation:
Goal programming is an optimization technique that allows for multiple, normally conflicting objectives and then attempts to solve each goal sequentially to a satisfactory level. In goal programming, differential variables are being used.
Since the goal programming problem had two goals. Goal number 1 was to achieve a profit of $2,400 and goal number 2 was to have no idle time for workers in the factory. The optimal solution to this problem resulted in a profit of $2,300 and no idle time
This means that goal number 2 was achieved since the optimal solution resulted in no idle time. But goal number 1 was not achieved because a profit of $2300 was achieved in the solution instead of $2400.
Therefore, the value for the objective function for this goal programming problem = 2400 - 2300 = 100