nogrowth industries presently pays an annual dividend of $1.20 per share and it is expected that these dividend payments will continue indefinitely. if nogrowth's equity cost of capital is 10%, then the value of a share of nogrowth's stock is closest to . a) $9.60 b) $14.40 c) $13.20 d) $12.00

Answers

Answer 1

A share of Nogrowth's stock is worth about Share price equals $12. The yearly dividend paid by nogrowth industries is now $1.20 per share, and it is anticipated that these dividend payments will continue.

How Much Is Equity Worth?

Its cost of equity is the profit required by a company to assess whether an investment satisfies capital return requirements. Businesses usually use it as a ceiling for the required return on investment.

Where can you find equity cost?

Divide the annual dividends per share by the current stock price to obtain an estimate of the cost of equity, and then include the dividend growth rate. Comparatively, the capital asset pricing model takes into account the beta of the investment, the anticipated market return,

Briefing:

Value of share = Annual dividend / ( Required return - Growth rate)

Annual dividend = $1.20

Required return = 10%

Growth rate = 0

Now plus the values in the formula:

Value of share = Annual dividend / ( Required return - Growth rate)

Value of share = 1.20 / ( 10% - 0)

Value of share = 1.20 / 0.1

Value of share = 12

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Related Questions

what is process modeling? group of answer choices illustrates the movement of information between external entities and the processes and data stores within the system. software suites that automate systems analysis, design, and development. a formal, approved document that manages and controls the entire project. involves graphically representing the processes that capture, manipulate, store, and distribute information between a system and its environment.

Answers

Multiple Choice Illustrates the movement of information between external entities and the processes and data stores within the system.

What is process Modelling technique?In order for modelling to be successful, there are specific actions that must be taken. These processes entail motivation, attention, retention, and reproduction. In order to improve communication of a process, business process modelling fundamentally entails identifying, outlining, and visualising the entire process. Additional advantages include: enables the removal of superfluous jobs that you can detect. In order to model BPs, the process model includes four different categories of fundamental elements: flow objects (activities, gateways, and events), linking objects (sequence flows, message flows, and relationships), swimlanes, and artefacts. An organisational organization's internal business procedures can be managed and made more efficient by using a process model to visualise them. Typically, this workout requires agility.

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if one corporation owns all of the shares of another corporation, it is referred to as the target corporation. true false

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If one corporation owns all of the shares of another corporation, it is referred to as the target corporation - false.

What is meant by corporation?A corporation is a legal body whose owner(s) elect a board of directors to manage the organization's affairs. Shareholders are not held accountable for the company's operations or financial state; rather, the corporation is. An organization with the legal status of a corporation is one that was founded by shareholders, stockholders, or other private individuals with the intent to make a profit. Corporations have legal rights that include the ability to make agreements, bring legal actions and be sued, own property, pay federal and state taxes, and take out loans from financial institutions. A person or group of people engaged in commercial business operations with the goal of making a profit is referred to as a firm. The term "company" is an amorphous one without official definition, rules, or authorization. Despite the fact that not all businesses are corporations, a corporation is always a company.

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in which training format are differences in skill levels among trainees a common problem for trainers?

Answers

This instruction given in the work under the supervision of a manager, supervisor, or other experienced worker.

Skill guides trainees in practicing job skills at the workplace?Below we've compiled a list of the most important skills for a trainee. We ranked the top skills based on the percentage of trainee resumes they appeared on. For example, 22.2% of trainee resumes contained customer service as a skill. Let's find out what skills a trainee actually needs in order to be successful in the workplace.The most common hard skill for a trainee is customer service. 22.2% trainees have this skill on their resume.The second most common hard skill for a trainee is cdl appearing on 9.5% of resumes. The third most common is training programs on 8.6% of resumes.Learn teller responsibilities such as providing quality customer service, making effective referrals, banking terminology and social engineering.Assisted various program managers with developing performance metrics on ways to improve customer service and information delivery.Three common soft skills for a trainee are multitasking skills, communication skills and analytical skills.

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which closing best expresses a desire to satisfy the customer and signals confidence that the problem has been resolved?

Answers

By definition, buying signals are the actions potential customers take that indicate they're close to making a purchase.

What serves as signal for the buyer and sellers?Prices act as a signal to producers as well as consumers. Prices can help customers determine their willingness, ability, and ability to complete the purchase (demand), and they can help producers determine what to produce, how to produce, and for whom to produce. A "strong buy" indicates that the analyst thinks the underlying firm of the stock is currently enjoying or will shortly be experiencing positive financial performance and/or favourable market circumstances. The behaviours potential purchasers take that might suggest they're about to make a purchase choice are known as buying signals. Because they can help you focus on the most promising prospects, purchasing signals are particularly crucial for B2B sales and marketing teams because they can help you save time and close more deals.

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assume that there were multiple offers the iuros were considering before accepting the redemanns' offer. what may the agent disclose to potential offerors if the iuros have not specifically instructed the agent otherwise? a) the loan terms of any competing offer b) the names of other offerors c) that the iuros are considering more than one offer d) the sales price of any competing offer

Answers

The Correct Option is C.

That the iuros are considering more than one offer.

Offer

The investigation of the functioning of the offer and acceptance is a conventional technique in contract law since they are usually acknowledged as necessary conditions for the formation of a contract.

The offer and acceptance formula, which was created in the 19th century, pinpoints the point at which the parties come to an agreement. Developments in the law of estoppel, deceptive trade practices, false statements, unjust enrichment, and the power of acceptance have altered the traditional method of contract creation.

An offer, according to Treitel, is " an statement of readiness to contract on specified terms, made with the idea that it shall become enforceable upon acceptance by the party to whom it is directed, the "offeree," as soon as it is accepted."  

An offer is a declaration of the conditions under which the maker is willing to be held accountable. The offeree and the present contractual agreement want to be bound by a written agreement that contains specific and precise terms.

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what is porter's five forces model? group of answer choices evaluates an organization's strengths, weaknesses, opportunities, and threats to identify significant influences that work for or against business strategies. analyzes the competitive forces within the environment in which a company operates to assess the potential for profitability in an industry. views a firm as a series of business processes, each of which adds value to the product or service. generic business strategies that are neither organization nor industry specific and can be applied to any business, product, or service.

Answers

The Porter's Five Forces approach helps identify an industry's shortcomings by identifying and analysing competitive forces that affect every business.

What Function Do Porter's Five Forces Serve?

Managers and analysts can better understand the competitive environment a company operates in and how it is positioned within it by using Porter's Five Forces Model.

What Are a Few Porter's Five Forces Drawbacks?

The Five-Force model has had some limitations, including being backward-looking, which limits the relevance of its conclusions to the short term and is exacerbated by the effects of Globalisation. Another major flaw is the propensity to utilise the five forces on evaluate a specific firm rather than the entire industry, for which the framework was designed for.

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in a world ever sensitive to social and environmental issues, more and more firms are embracing csr and sustainability. such firms are more likely than not to . a. develop closer relations with foreign stakeholders to better understand their needs and work jointly toward solutions b. minimize their contribution to the local community in order to maximize profits c. be reluctant to hire managers from around the world d. favor region-specific csr standards to global csr standards for foreign operations

Answers

Firms embracing csr and sustainability are more likely than not to:

A) Develop closer relations with foreign stakeholders to better understand their needs.

Define CSR and sustainability in a firm.

CSR refers to a company's responsibility for its social effect. This encompasses social, environmental, and economic factors. CSR takes several forms depending on the firm. A manufacturer's CSR actions will differ from those of a store, and publicly traded firms face different problems than a family-run SME with deep roots in its region.

The capacity to maintain multiple systems and processes – ecologically, socially, and economically — across time is referred to as sustainability. Sustainability has its roots in natural resource economics, but it has subsequently gained broader currency in terms of sustainable development and social equity.

Hence, Firms embracing csr and sustainability are more likely than not to:

A) Develop closer relations with foreign stakeholders to better understand their needs.

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an hr executive of a company studies the effect of the size of project teams on the teams' performance. he finds that the team size is not associated with any particular change in performance. in the context of relationships between variables, what type of relationship exists between the size of project teams and their performance?

Answers

no relationship exists between the size of project teams and their performance

In which section of a research article would the author talk about the limitations of their study?

discussion section

Whether these limitations are anticipated or not, and whether they are due to research design or to methodology, they should be clearly identified and discussed in the discussion section—the final section of your paper.

In which section of a research article would a reader find a summary of the entire project?

Abstract. One-paragraph summary of the entire study – typically no more than 250 words in length (and in many cases it is well shorter than that), the Abstract provides an overview of the study.

Which section of a research article presents a brief summary of the major features of the study?

An abstract summarizes, usually in one paragraph of 300 words or less, the major aspects of the entire paper in a prescribed sequence that includes: 1) the overall purpose of the study and the research problem(s) you investigated; 2) the basic design of the study; 3) major findings or trends found as a result

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failing to appropriately will result in too many employees doing the same work and prevent the new firm from realizing the cost synergies it anticipated. a. downsize b. buy out c. downscope d. spin off

Answers

The correct option is A. If downsize is not done properly, there will be too many employees working the same job, which would hinder the future company from reaching the projected cost synergies.

What are the two different forms of work?

You can hire someone on a fixed-term or fee basis for a predetermined period of time or to carry out a specified duty, such as to work on a given project or fill in for an employee on leave.

Which professions are the most common?

The three categories below may be used to identify the kinds of labor that have been done. The three sorts are positive employment, dismal work, and zero work. The ratio of force and displacement defines the kind of work that is done. Good number of occupations when an applied force moves an object inside that direction.

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marilyn is an african american woman who is working for a large accounting firm. she is in line to become the next president of the firm. in order to prepare for the potential promotion, what is marilyn most likely going to search for in terms of career support?

Answers

In a case whereby marilyn who  is an african american woman who is working for a large accounting firm . in order to prepare for the potential promotion, what marilyn is most likely going to search for in terms of career support is An African American woman mentor.

Why does she needs  American woman mentor?

A mentor is someone who can help, counsel, and direct you. They usually take the time to get to know you and the difficulties you're having before using that knowledge and their own firsthand experience to assist you.

This relationship is distinct from one with a manager or boss and gains from a more intimate and private framework.

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which two factors determine whether a firm should use personal selling, e-commerce, or a combination of the two? (check all that apply.)

Answers

Two factors determine whether a firm should use personal selling, e-commerce, or a combination of the two A and C.

Ecommerce or electronic commerce is the buying and selling of products and offerings at the internet. it is your bustling town center or brick-and-mortar shop translated into zeroes and ones on the internet superhighway.

the usual definition of E-commerce is a industrial transaction that's occurred over the internet. on-line stores are examples of E-commerce web sites. by 2020, worldwide retail e-commerce can reach as much as $27 Trillion. There are 3 fundamental forms of e-trade: commercial enterprise-to-enterprise (websites such as Shopify), commercial enterprise-to-customer (web sites which includes Amazon), and purchaser-to-client (web sites including eBay).

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Disclaimer: The question is incomplete. Please read below to find the missing content.

Which of the following factors determine whether a firm should use personal selling, e-commerce, or a combination of the two?

a. The level of relationship building required.

b. The number and types of competitors in a market.

c. The extent to which the information exchanged is standardized.

d. The average cost of goods sold.

silver futures contracts are based on 5,000 troy ounces and are priced in dollars per troy ounce. a closing report displays these prices for a december contract: open 19.435, high 19.450, low 19.025, and settle19.119. what is the closing value for one december futures contract on silver?

Answers

The closing value for one December futures contract on silver is $96,500.

Calculation:

We see that the closing value for one futures contract on silver=Settle*contract size = 19.119*5000

= 95595.00

The closing price is the raw price or present value of the last trading price of a security before the market is officially closed for normal trading. The closing price is calculated by dividing the product total by the total number of shares traded in the 30-minute period.

Closing price generally refers to the last price at which a stock was traded during a normal trading session. The closing price is a useful marker that investors can use to measure changes in stock prices over time. Even in the age of 24-hour trading, all stocks and other securities have a closing price which is the closing price traded during normal market hours on a given day.

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For important non-routine purchases, the person with formal authority to approve the supplier is the ________, often someone in a specific functional area.

Answers

For important non-routine purchases, the person with formal authority to approve the supplier is the decider, often someone in a specific functional area.

What is a service that isn't routine?

Non-Routine Administrations implies Administrations and upkeep that can't be performed by the staffing doled out to do Routine Administrations and different obligations of the administrator. Expertise or other resources that the Operator does not need to carry out its day-to-day responsibilities are needed for Non-Routine Services.

What's the purpose of functional areas?

The ability of each functional area to operate within its area of expertise is one of the reasons that business operations are divided into functional areas. This helps the company as a whole become more efficient and effective. A company's functional areas vary depending on its size and the nature of the market.

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the proper level of government intervention is unclear when dealing with a monopoly. group of answer choices true false

Answers

When dealing with a monopoly, it's uncertain how much government should be involved. It is accurate to state what it is.

What exactly does Monopoly mean?

A monopoly is a market structure where one manufacturer or seller holds the majority of the market share in a particular industry or area. As they impede competition and restrict consumer alternatives, monopolies are opposed in free-market economies.

Please provide a monopoly example:

A corporation is said to have a monopoly if it offers a product solely and there are no close substitutes. A monopoly that is unregulated can control prices and dominate the market. Take Microsoft and Windows, DeBeers and diamonds, or your local natural gas company, as examples.

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the questions of information ownership and the prices for the exchange of this information are related to which ethical issue?

Answers

The stockholder theory, the stakeholder theory, and the social contract theory are the three most prominent normative theories of business ethics.

Currently, a lot of people in the field of business ethics don't like the stockholder theory.

Which hypothesis of standardizing business morals tries to make esteem?

Managers are obligated under the Stakeholder theory to carry out projects in a manner that is compatible with the well-being of society. The objective of this theory of normative business ethics is to create value for individuals in a fair and nondiscriminatory manner.

What are the four theories of normative ethics?

Character-based ethics, deontology, teleology, consequentialism, and other types of ethical theory are not ethical theories in and of themselves. The majority of people consider natural moral law to be one type of deontological theory; Another is Kant's Categorical Imperative theory.

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the principal of a mortgage loan is the

a. down payment minus the closing costs minus the purchase price
b. purchase price plus the closing costs minus the down payment
c. down payment plus the closing costs plus the down payment
d. purchase price minus the closing costs minus the down payment

Answers

The down payment less the closing charges less the purchase price is the mortgage loan's principle.

What does a mortgage look like in its simplest form?

When you enter into a mortgage with a lender, you give the lender the right to seize the property if they are unable to make the loan amount back plus the interest. You might be able to get a mortgage loan that will enable you buy a new house using the worth of the an existing home as security.

Why do individuals use mortgages?

Mortgage loans assist people in financing the purchase of real estate by taking a small portion of the property's overall worth as payment. How Do Mortgages Work A mortgage is a loan used to pay for the upkeep of a home, piece of land, or other kinds of rental properties.

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Alonso de la Mota y Escobar, Bishop of Guadalajara, Mexico,geographical treatise, 1605
The economic activities described in the passage contributed most directly to which of the following?

Answers

Alonso de la Mota y Escobar, Bishop Guadalajara,Mexico,geographical treatise, 1605. The economic activities described in the passage contributed The beginning of the process of industrialization.

Option D is correct.

Process of industrializations:

The process by which an economy of a country or region shifts from being based on agriculture to being based on manufacturing is known as industrialization. This transition relies heavily on mechanized methods of mass production.

The period of social and economic change during which a human race moves from an agrarian society to an industrial society is known as industrialisation. This requires a significant reorganization of an economy in order to produce goods.

What are the three stages of industrialization?

The first three industrial revolutions that shaped our modern society are outlined below. The world around us was fundamentally altered by each of these three developments: the steam engine, the age of science and mass production, and the rise of digital technology.

Question is incomplete. Missing options are :

Alonso de la Mota y Escobar

"The Mexican city of Catechizes is renowned for the enormous quantity of silver that has been extracted from it and continues to be extracted today. At the time of the discovery of the silver, there were many forests and woodlands in this rocky land, all of which have since vanished so that now except for some little wild palms, no other trees remain. Firewood is very expensive in the city because it is brought in carts from a distance of eighteen hours away.

The silver was discovered in the year 1540, in the following way: after the fall of the Aztec Empire, Spanish soldiers remained, spread over the entire country. Since no more towns remained to conquer and since they had so many Indian slaves, they devoted themselves to seeking riches from silver mines. One of these soldiers was Juan de Tolosa, who happened to have an Aztec among his Indian slaves. The Aztec, it is said, seeing his master so anxious to discover mines and to claim silver, told him: 'If you so desire this substance, I will take you where you can fill your hands and satisfy your greed with it.'

The city houses at least 600 White residents, and most of them are Spaniards. There are about 800 Black slaves and mulattoes*. There are about 1,500 Indians in the work gangs who labor in all types of occupations in the mines."

Alonso de la Mota y Escobar, Bishop of Guadalajara, Mexico, geographical treatise, 1605

*a person of mixed European and African ancestry

The economic activities described in the passage contributed most directly to which of the following?

-A. The establishment of the first chartered and limited-liability commercial companies

B-The emergence of the first truly global exchange networks

C -The rapid growth of China's population under the Song and Ming dynasties

D -The beginning of the process of industrialization

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the corporate charter of whispering winds corporation allows the issuance of a maximum of 100,000 shares of common stock. during its first two years of operations, whispering winds sold 61,300 shares to shareholders and reacquired 4,800 of these shares. after these transactions, how many shares are authorized, issued, and outstanding? whispering winds corporation is authorized to sell shares. whispering winds has shares issued. whispering winds has shares outstanding.

Answers

Luney Corporation has been granted permission to sell 100,000 shares. Luney has issued 70000 shares. Luney has 63000 shareholdings in circulation.

What exactly do users mean by "shares"?

Shares are equity ownership units in a corporation. Shares arise as a capital product for some companies, providing for an equitable split of any residue left profits, if any are proclaimed, in the dividend form. Stockholders of a shares that doesn't pay dividends are not entitled to a profit distribution.

What are the various kinds of shares inside a limited partnership?

Ordinary stock.Non-voting stock.Preferences are distributed.Shares that are redeemable.

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ryan is in the process of making critical decisions regarding production operations. he has been tasked with deciding to purchase a machine which will replace 7 employees or keep the 7 employees and train them to increase productivity. he needs an answer for the human resources team in two days. what concept is ryan facing?

Answers

Answer:

Explanation:

analytics

2. what is it about lumbergh that makes employees loathe him as a manager? provide 3 specific examples. what should he have done instead?

Answers

Employees sense Lumbergh's brand of emotional disconnect and similarly become disconnected from their work.

Explanation-

First, Lumbergh micromanages way too much, which in turn, makes employees loathe him. For example, Lumberg doesn’t quit referring to TPS reports throughout the movie. When addressing the smallest details (like the missing cover sheet on Peter’s TPS), Lumbergh demonstrates the overuse of micromanagement. Second, Lumbergh’s passive-aggressiveness is demonstrated when he consistently uses indirect, unclear, and unreasonable language. Instead of responding to employees directly and confrontationally, he uses phrases like “Yeah…I’m goanna need you to…” and “if you could go ahead and…” In addition to this, what also makes Lumbergh’s employees loathe him, is him insincerity. Employees can detect his emotional disconnection and, in return, are disconnected to their work. Another example of Lumbergh’s insincerity is shown when he moves Milton downstairs in the dark. All of these factors contribute to employees loathing their boss. Lumbergh should have addressed things clearly and directly and should have focused on being a good communicator. Instead of focusing on meniscal issues like a cover sheet, he should have emphasized larger problems. Last, Lumbergh should have shown care, appreciation, and respect for his employees.

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hyundai tends to follow an ethnocentric staffing model. from which group will it most likely hire for upper-level management positions?

Answers

As Hyundai tends to follow an ethnocentric staffing model, it will most likely hire for upper-level management positions by considering the parent country nationals. The Option D is correct.

What is an ethnocentric staffing?

An ethnocentric staffing is when a company hire management that is the same nationality as the parent company while the polycentric companies hire management employees from the host country. Either one is appropriate, but you must evaluate when to choose ethnocentric staffing.

When parent company's procedures and operations require control and management for the company to profit, it can be appropriate to choose an ethnocentric staffing for foreign offices.

Missing options "primary country nationals, third country nationals, host country nationals, parent country nationals"

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aaron wants to work in the real estate industry but does not have a license. which career choice is available to him, with compensation, before he obtains a real estate sales agent license?

Answers

Among other persons not required to have a real estate license are

(1) An onsite manager of an apartment complex.

(2) An owner or the owner's employee who leases the owner's improved or unimproved real estate.

(3) A transaction involving

(a) The sale, lease, or transfer of a mineral or mining interest.(b) The sale, lease, or transfer of a cemetery lot. (c) The lease or management of a hotel or motel.(d) The sale of real property by a trustee under a power-of-sale clause in a deed of trust.

it's far common practice for an intermediary to offer actual estate owners devoted sales and advertising assistance in exchange for a fee. In North the USA, this middleman is called a real estate agent, actual property broker, or realtor, even in the united kingdom, the intermediary could be referred to as an estate agent. In Australia, the intermediary is known as an actual estate agent or actual property consultant or agent.

An actual estate transaction is a system wherein rights in a unit of property (or specified actual property) are transferred among two or extra events, e.g. in the case of conveyance one birthday celebration being the vendor(s) and the opposite being the client(s). it may frequently be pretty complex because of the complexity of the property rights being transferred, the amount of money being exchanged, and the authorities rules. Conventions and requirements additionally vary extensively among one-of-a-kind international locations of the sector and among smaller felony entities (jurisdictions).

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when determining the location decision for industrial products like adhesives, what should a company keep in mind?

Answers

When choosing where to produce industrial goods like adhesives, the corporation must bear in mind that these items fulfill universal demands.

What does the term "company" mean?

A firm is a legal body created by a group or people to conduct and manage a business venture, whether it be industrial or industrial. Based on the corporate legislation of its country, a corporation may be set up in a variety of ways on tax and financial responsibility reasons.

What three sorts of businesses are there?

The Three Fundamental Business Entities

The limited company (LLC), the corporation, and the sole proprietorship are the three most typical business entity kinds. Each offers unique benefits and drawbacks based on what both you and your company require.

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look at the data. if the bank of springfield is holding on to no excess reserves, and all other banks have the same reserve ratio, then what is the value of the money multiplier?

Answers

the value of the Multiplier is 12.5

What is reserve ratio?

According to the instructions of the central bank, the reserve ratio is the portion of deposits that commercial banks must retain in cash.

Reserve Ratio = Reserves / Deposits = 19,200 / 240,000

= 0.08

= 8%

Multiplier = 1 / Reserve Ratio

= 1 / 0.08

= 12.5

Therefore the value of the Multiplier is 12.5

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ex 8. on january 1, 2016, jason company issued $5 million of 10-year bonds at a 10% coupon interest rate to be paid annually. what was the issuance price of the bonds if the market rate of interest was 8%? a. $5,000,000. b. $5,670,000. c. $5,387,500. d. $5,712,500. hint: bond issue price

Answers

The issuance price of the bonds of $5 million of 10-year bonds at a 10% coupon interest rate to be paid annually if the market rate of interest was 8% was b. $5,670,000.

What is the issuance price of bonds?

The issuance price of a bond is determined by its present value.

To determine the present value, we input the following parameters onto an online finance calculator.

N (# of periods) = 10 years

I/Y (Interest per year) = 8%

PMT (Periodic Payment) = $500,000

FV (Future Value) = $5 million

Results:

Present Value (PV) = $5,671,008.14

Sum of all periodic payments = $5,000,000 ($500,000 x 10)

Total Interest = $4,328,991.86

Thus, Jason Company's 10-year bonds' issuance price was Option B.

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is also called procurement. a.purchasing management b.automation c.inventory management d.materials control e.quality control

Answers

Purchasing management is also called procurement. The procurement is the term which means to buy or purchase products and services for the selling purpose.

The purchasing management is the management in which the business buys the products in the bundle or stock quantity for the re-selling purpose or to make their business products as taking the raw material or intermediate  goods or stocks.

The purchasing management is the management in which the small seller or shopkeeper become unite with the big organization or business to sell their products and give some profit at the end of the year.

The purchasing management is good for those seller who is not able to sell their products.

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what strategy for reducing federal employment roles allows the government to pay employees lump sums in exchange for resigning from their positions?

Answers

Buyouts are a strategy used for reducing federal employment roles that allow the government to pay employees lump sums in exchange for resigning from their positions.

What is a lumpsum?

A lump sum payment is when a big sum of money is handed to an employee all at once rather than over the course of several installments. Because the entire quantity of money is being paid in one go rather than over time, lump sum payments have less value when used to purchase goods or services. A single sum of money used to purchase a collection of things is frequently referred to as a lump sum payment. As an illustration, a business may spend $50,000 buying the inventory and equipment of a small manufacturer that is closing its doors. There was no other information provided in the transaction. The $50,000 is being paid all at once.

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suppose at her current level of consumption, a person enjoys eating fruit three times as much as eating yogurt. the price of a serving of fruit is $2 and the price of a yogurt is $1. assume she is spending all of her income on these two goods. is the person spending her income (for these two goods) in a manner that maximizes her utrity?

Answers

No, the person should increase fruit consumption but  decrease yogurt's consumption.

What does income effect mean?

The income effect is a change in an individual's or economy's income and how that change affects quantity demanded. For example, John Doe needs more product after a pay raise because he has more disposable income.

How do you know if the income effect is positive or negative?

Common goods and services usually have a positive income effect. As income increases, so does demand. And when income falls, demand falls. If demand decreases as income increases, the good or service is likely to be inferior and is said to have a negative income effect.

What are the sources of income?

Salary income, Interest income, Dividend income, Profit income, Income from capital gains, rental income, Income from royalties.

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e.what if the central bank abandons inflation targeting and creates inflation of 10 percent by printing money. if agents (consumers) even after several periods expect that inflation will continue to be 8 percent, what will be the unemployment rate? are agents being rational? why or why not? if agents have adaptive expectations, what will be the expected inflation rate and the unemployment rate in the next period?

Answers

Unemployment Rate in the United States is expected to be 3.80 percent by the end of this quarter, according to Trading Economics global macro models and analysts’ expectations.

Are agents being rational?

A rational agent or rational being is a person or entity that always aims to perform optimal actions based on given premises and information. A rational agent or rational being is a person or entity that always aims to perform optimal actions based on given premises and information. A rational agent can be anything that makes decisions, typically a person, firm, machine, or software.  One widely used gauge of market-based inflation expectations is known as the 10-year breakeven inflation rate. The breakeven rate is calculated by comparing 10-year nominal Treasury yields with yields on 10-year Treasury Inflation Protection Securities (TIPS), whose yield is tied to changes in the CPI. A rational agent or rational being is a person or entity that always aims to perform optimal actions based on given premises and information.

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of the value-neutral incentives to diversify, all of the following are internal firm incentives except: a. overall firm risk reduction. b. low performance. c. stricter interpretation of antitrust laws. d. uncertain future cash flows.

Answers

The following value-neutral incentives for diversification are all internal business incentives. WITHOUT: a stronger application of antitrust regulations.

What is antitrust law, in a nutshell?

Although mergers and unethical business tactics are generally prohibited by the trade rules, the courts must decide this based on the particular details of each case. Justices have applied antitrust laws to changing markets throughout past, from the time of horse-drawn carriage to the contemporary digital era.

Why do we have antitrust laws?

The FTC's responsibility is to enforce the antitrust laws, which are the basic rules of a free market. These regulations improve health competition and protect consumers from corporate mergers and anticompetitive business practices.

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