The following statement "The MNC has operations in all member countries in the Eurozone, but has no operation out the Eurozone" does NOT explain the decision of multinational corporations (MNCs) to forecast exchange rates.
A multinational company (MNC), also known as a multinational enterprise (MNE), a transnational enterprise (TNE), a transnational corporation (TNC), an international corporation, or a stateless corporation with subtle but contrasting meanings, is a corporate organization that owns and controls the production of goods or services in at least one country aside from its home country.
Control is seen as a crucial component of an MNC, setting it apart from international portfolio investment companies like certain international mutual funds that invest in foreign firms only to spread out financial risk. According to Black's Law Dictionary, a business or organisation qualifies as a multinational corporation "if it gets 25% or more of its revenue from out-of-home-country operations."
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a bond pays semiannual interest payments of $27.55. what is the coupon rate if the par value is $1,000?
coupon rate is equal to (annual interest/par value) x 100, where the annual interest is $27.55 x 2 = $55.10, or (55.10/1000) x 100 = 5.51 percent.
How does a coupon work?
The amount of money an investor can anticipate earning annually while holding a particular bond is known as the coupon rate.It is determined by dividing the sum of the annual coupon payments by the par value, which is fixed at the time the bond is issued.
Which coupon rate is 5%?
If an investor buys a $1,000 ABC Company coupon bond with a coupon rate of 5%, the issuer pays the investor 5% annually.This indicates that the investor will receive $50 annually, which is the bond's face value calculated by multiplying $1,000 by 0.05.
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publicity is information about a company, a product, or an event transmitted by the general mass media to attract public attention. true or false
Publicity is information about a company, a product, or an event transmitted by the general mass media to attract public attention. true
A company is a legal entity formed via a group of individuals to interact in and operate a business—commercial or business—corporation. A corporation can be organized in diverse ways for tax and economic liability functions relying on the corporate regulation of its jurisdiction.
An enterprise is known as a company due to its people's will to provide value. The record of “to provide” is Latin, deriving from product: to lead forth, or deliver ahead. The records of “employer” are antique French, which means Compagnie, or companionship. And the history of “commercial enterprise” is old English, combining busy and -ness.
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Which one of the following statements about the process of identifying and incorporating best practices is false?
a. Because using best practice methodology to perform an activity produces superior outcomes, those outcomes serve as a benchmark or standard for determining how well a particular organization performs that activity.
b. A company can make giant strides toward good or even excellent strategy execution by adopting a best-practices mindset and successfully implementing the use of best practices across more and more of its value chain activities.
c. Benchmarking involves identifying which company or organization is the best performer of an activity and then trying to imitate its approach.
d. A best practice can evolve over time as improvements are discovered.
e. To the extent that a company is able to successfully adapt a best practice methodology pioneered elsewhere to fit its circumstances, it is likely to improve its performance of the activity, perhaps dramatically--an outcome that promotes better strategy execution.
Answer: c
The one out of the following statements about the process of identifying and incorporating best practices that is false is option C. Benchmarking involves identifying which company or organization is the best performer of an activity and then trying to imitate its approach.
What is benchmarking in business?Benchmarking is a process that concerns determining the performance of one's business against a competitor in the same market. This will afford one a better understanding of one's business performance and potential opportunities available.
Therefore, the correct answer is as given above. Benchmarking, consequently, is not a means or a process of identifying and incorporating best practices.
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owners of a corporation who want to raise more capital by issuing new securities but who also want to retain control of their company could issue
Bonds or preferred stock are two options available to corporate owners who desire to acquire additional funds through the issuance of new securities while still maintaining control over their business.
What distinguishes preferred stocks from bonds in the most fundamental ways?Bonds offer investors recurrent interest payments, but preferred stocks only pay fixed dividends. In response to changes in interest rates, the value of bonds and preferred stocks also varies. In the event that a business declares bankruptcy and is forced to close, bondholders are compensated before preferred shareholders.
What traits are common between bonds and preference shares?A bond is a financial instrument that simulates a loan from one party to another. Preference shares are equity shares of an organization that receive dividend payments. Preference shares don't have a maturity date, while bonds sometimes do.
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harry offered to sell jim his honda for $12,000. jim said he would like a few days to think about it. the next day, jim saw phil driving the car. when asked, phil said he had just bought it from harry for $12,000. what does this exemplify? a. direct revocation of the offer b. indirect revocation of the offer c. termination of the offer by operation of law d. termination of the offer by a counteroffer
Harry offered to sell jim his honda for $12,000. jim said he would like a few days to think about it. the next day, jim saw phil driving the car. when asked, phil said he had just bought it from harry for $12,000. This exemplify indirect revocation of the offer.
Honda is a publicly traded international business with its headquarters in Tokyo's Minato that manufactures cars, motorbikes, and power equipment. Since 1959, Honda has produced the most motorcycles in the world, with 400 million expected to be produced by the end of 2019.
It also produces the most internal combustion engines in the world, with more than 14 million produced year. In 2001, Honda overtook Toyota as the second-largest producer of automobiles in Japan. Honda was the first Japanese automaker to introduce Acura, a luxury-focused brand, in 1986.
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economists conclude that country a is overheated and the output is about to fall. which of the business cycle phases is referred here? (2 points)
economists conclude that country a is overheated and the output is about to fall. The expansion phase of the business cycle is referred to.
Business CycleBusiness cycles are a sort of variation observed in a country's aggregate economic activity – a cycle that consists of widespread expansions happening at roughly the same time in many economic activities, followed by equally general contractions (recessions).
In essence, business cycles are distinguished by the alternating of expansion and contraction phases in aggregate economic activity, as well as the comovement of economic variables in each phase of the cycle. Not only does real (inflation-adjusted) GDP indicate aggregate economic activity. A recession's severity is determined by the three Ds: depth, diffusion, and duration. The extent of the peak-to-trough decrease in broad indices of output, employment, income, and sales determines the severity of a recession.
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When using an outside expert, a complete _____ should indicate funding for the project and the process by which the organization will determine its level of satisfaction.
A. cohabitation agreement
B. letter of intent
C. certificate of occupancy
D. articles of incorporation
E. request for proposal
When using an outside expert, a complete _E. request for proposal_ should indicate funding for the project and the process by which the organization will determine its level of satisfaction.
What does "request for proposal" mean?
An RFP is a business document that outlines a project, requests proposals for its completion from qualified contractors, and announces the project. The majority of organizations, including many governments, favor using RFPs to start projects.
When using an RFP, the organization asking for bids is in charge of assessing the viability of the bids submitted, the financial standing of the companies submitting bids, and each bidder's capacity to carry out the project.
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Consider an asset with a beta of 1.2, a risk-free rate of 5%, and a market return of 13%.
What is the reward-to-risk ratio in equilibrium?
What is the expected return on the asset?
The (expected) needed market return is 12%, whereas the risk-free rate is 4%.
Given its risk, an asset's expected return can be calculated using the following formula:
Expected return on investment, or ER I is equal to R f plus I (ER m R f).
Risk-free rate is R f.
I = the investment's beta (ER m R f ) = the market risk premium
Expected rate of return equals (Beta * Market Risk Premium) times the risk free rate.
Return anticipated equals 2% + (1.2 x 3%)
Return rate anticipated is 4%.
Investors anticipate receiving compensation for the time value of money and risk. The time value of money is taken into consideration by the risk-free rate in the CAPM formula. The other elements of the CAPM formula take the investor's increased risk into account.
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sabrina, the engineering manager at robin tech, takes an eight-week unpaid leave to go on a tour to promote a book she wrote. she does so in accordance with robin tech’s policy for leaves without pay. in what sense could this unpaid leave be an employee benefit for sabrina? group of answer choices she uses her paid time off for the leave. her leave is based on length of service, so it accumulates over time. her time off is an example of personal days. she retains her seniority and benefits during the leave. the family and medical leave act requires the employer to grant unpaid time off.
One such unpaid leave that could be a benefit to Sabrina would be for her to retain her seniority and benefits during the leave.
What is unpaid leave?It corresponds to a leave policy that guarantees that the employee continues with his employment duties while he is absent from his work for some force majeure reason. In this type of leave, the employee does not receive compensation, as this has exceeded the benefits of the leave whose remuneration is mandatory by law.
Some types of paid leave are:
VacationPaid time offSick leaveTherefore, an unpaid leave is a legal way for the employee to leave for more days if necessary, not compromising their duties and not impacting the company's compensation plan.
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9) Which of the following is not traded in the securities markets?
A) stocks
B) bonds
C) derivatives
D) real estate
Real estate is not traded in the securities markets. Thus, Option D) is the correct answer.
Real estate includes both the land and any permanent, whether natural or man-made, structures or improvements affixed to the surface. A type of real property is real estate. It contrasts with personal property, such as cars, yachts, jewels, furniture, and farm equipment, which is not permanently affixed to the land.
A financial instrument that is fungible and negotiable and has some kind of monetary worth is referred to as a "security." Security can reflect rights to ownership as specified by an option, ownership of a bond issued by a government agency or corporation that represents a corporation, or ownership of stock that represents ownership in a corporation.
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in april of 2022, bill purchased a new automobile for $90,000 that will be used 100% for business. if bill did not have to consider the limitations for depreciation on automobiles, he would be able to deduct $ in regular macrs depreciation and bonus depreciation the first year. however, he will only be able to deduct $ due to the luxury limitations (considering allowable bonus depreciation).
Regular MACRS depreciation and bonus depreciation in the first year = $90,000 and Deduction due to the luxury limitations = $18,000.
On the project, a spotter serves as a second set of eyes and ears for drivers and equipment operators. They remain close to the machinery or vehicle and provide the driver with information, such as directions and items they are unable to see or hear on their own.
Depreciation, according to the Internal Revenue Service (IRS), is a tax deduction that enables a firm to recoup the cost basis of particular assets. Deprecation is a yearly provision for a piece of property's wear and tear, deterioration, or obsolescence.
Therefore. In the first year depreciation is $90,000 and the deduction is $18,000.
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operating leverage. natural bodyworks (nb) produces the popular ab stretcher that they sell for $200 per unit. nb’s total fixed costs (fixed operating costs depreciation) for the ab stretcher are $200,000.their variable costs are $30 per unit. they are financed entirely by equity and face a 21% corporate tax rate. if sales increase from 4,000 units to 5,000 units, what is the percentage increase in noi
The net operating income at 4000 units is $480,000.
What is net operating income?The profitability of real estate investments that produce income is evaluated using a calculation known as net operating income (NOI). NOI is the total revenue from the asset less all operating costs that are deemed to be absolutely necessary. On a property's income and cash flow statement, the term "net operating income" (NOI) refers to a before-tax figure that excludes loan principal and interest payments, capital expenses, depreciation, and amortization. Along with rental income, a property may also make money from extras like parking garages, vending machines, and laundry facilities. The costs of running and maintaining the building are referred to as operating expenses and include things like insurance premiums, janitorial services, legal fees, utilities, property taxes, and repair costs.
Sales revenue(4000×200) =$800,000
Less variable costs(4000×30)=$120,000
Fixed costs =$200,000
NOI =$480,000
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On January 1, 2021, Twister Enterprises, a manufacturer of a variety of transportable spin rides, issues $430,000 of 6% bonds, due in 20 years, with interest payable semiannually on June 30 and December 31 each year.
3. If the market interest rate is 5%, the bonds will issue at $483,971. Record the bond issue on January 1, 2021, and the first two semiannual interest payments on June 30, 2021, and December 31, 2021. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Round your answers to the nearest dollar amount.)
$12900 is the Amortization If the market interest rate is 5%, the bonds will issue at $483,971.
Amortization Schedule
Date January 1 2021 June 30,2021 December 31,2021
Cash Paid 12900 12900
Interest expense 12099 12079
Premium Amortized 801 821
Carrying value 483971 483170 482350
Issue Entry
Record the Bond Issue
General Journal
Cash 483971
Premium on Bonds Payable 53971
To Bonds Payable 430000
(Record the Issue of the Bond with Premium)
2. Record the interest Payment and Amortization
Date
June 30,2021
General Journal
Interest Expenses. 12099
Premium on Bonds Payable 801
To Cash 12900
(Record the interest Payment and Amortization)
3. Record interest Payment and Amortization
Date
December 31, 2021
General Journal
Interest Expenses 12079
Premium on Bonds Payable 821
To Cash 12900
(Record the interest Payment Amortization)
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encouraged therapists to foster the growth of their client by exhibiting genuineness, acceptance, and empathy. t/f
Carl Rogers urged therapists to stimulate growth by demonstrating sincerity, acceptance, and understanding. Thus, the correct choice is genuineness, acceptance, and empathy.
What exactly are acceptance and empathy?In human psychology, acceptance is defined as a person's acquiescence to the reality of a situation, acknowledging a process or condition (typically a bad or unpleasant circumstance) without seeking to modify or resist it. Acquiescence, coming from the Latin acquiescence, has a similar connotation.
The true meaning of empathy was considerably more subtle than "reflection of sentiments." Rogers defined empathy as the ability to grasp another person's world experience as if you were that person, without ever losing the "as if" sensibility.
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question content area top part 1 npv and maximum return a firm can purchase new equipment for a $39,000 initial investment. the equipment generates an annual after-tax cash inflow of $9,000 for 8 years. a. determine the net present value (npv) of the asset, assuming that the firm has a cost of capital of 10%. is the project acceptable?
The net present value (npv) of the asset is $90.90.
A technique for balancing initial capital investment against the current worth of all future cash flows generated by a project is called net present value (NPV).
What is the example's NPV formula?Example of NPV calculation: You anticipate a 10% return on your total investment each year, or $100. Divide the year one profits ($1001) by 1 plus the return to determine the net present value (NPV) of your cash flow (earnings) at the end of year one (so t = 1). (0.10). Rt/(1 + i)t = $1001/(1+1.10)1 = $90.90; NPV = Rt/(1 + i)t
How are capital costs determined?One typical approach is to tally up your company's annual interest costs for all debts and divide them by the entire amount of debt.
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The asset has a $90.90 net present value (NPV). Net present value is a method for weighing the initial capital expenditure against the current value of all upcoming cash flows produced by a project.
Capital is what?In the world of business, capital refers to the total sum of financial resources needed to make things or provide services. These funds could be used to launch operations, pay ongoing expenses, or grow and expand the business.
What sources of funding are there?A number of the following sources and capital providers could be used to raise capital: Bank financing, bonds Credit union funding. Money and people are the two most common forms of capital in the both business and finance.
Briefing:NPV = Rt/(1 + i)t
= (0.10). Rt/(1 + i)t
= $1001 / (1+1.10)1
NPV = $90.90.
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the 100,000 cars in your city experience unrecoverable losses of $40,000,000 per year from theft, collisions, etc. if 25% of premiums are used to cover business expenses, what premium must be charged to car owners?
Premiums are used to cover business expenses, what premium must be charged.The automobile costs $ 16615 after the $90 premium.Given that the monthly premium for a $12,000 automobile is $65 Scot's monthly auto insurance payment is $90.
In general, the term "proportion" refers to a part, share, or amount that is compared to a whole. According to the definition of proportion, two ratios are in proportion when they are equal. Two ratios or fractions are equal when an equation or a declaration to that effect is utilised.Let's say the premium is $90 and the cost of the car is x. Now, 12000:65::x:90.X=108000O/65 = 12000 x 90 = 65 x x 1080000.Let's say the premium is $90 and the cost of the car is x. At this point, 12000: 65:: x:90 12000 x 90 = 65 x x 1080000 = 65x X=1080000/65 X=16615.38 = 16615 .The price of the automobile with the premium is therefore $ 16615.
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based on the first graph, susan invested $50,000 and bill invested $150,000. why did susan have a higher balance at the age of 65?
Susan invested $50,000 and Bill invested $150,000. Susan had a better stability on the age of 65 due to the fact she invested in advance than him.
The required details for Bill in given paragraph
An bill, bill or tab is a commercial record issued via way of means of a seller to a purchaser referring to a sale transaction and indicating the merchandise, quantities, and agreed-upon prices for merchandise or offerings the vendor had furnished the purchaser. Payment terms are commonly said at the bill. These may also specify that the purchaser has a most range of days to pay and is once in a while presented a reduction if paid earlier than the due date. The purchaser ought to have already paid for the goods or offerings indexed at the bill. To keep away from confusion and consequent pointless communications from purchaser to seller, a few dealers surely kingdom in big and capital letters on an bill whether or not it has already been paid. From a seller's factor of view, an bill is a income bill. From a purchaser's factor of view, an bill is a buy bill. The record shows the purchaser and seller, however the term bill shows cash is owed or owing.
Within the European Union, an bill is more often than not legally described via way of means of the EU VAT directive as an accounting voucher (to confirm tax and VAT reporting) and secondly as a Civil law (not unusual place law) record.
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what factors could cause a firm to invest more or less at any given level of the interest ratre? that is, what could cause the investment demand curve to shift (increase or decrease)?
Economic growth, and Technological developments are the factors that could cause a firm to invest more or less at any given level of the interest rate.
Technological Development means that any invention, discovery, composition, creation, improvement, technology, advancement, know-how, process, device, article, machine, material, software, system or the other data, as well as any development protectable by patent, copyright, or alternative protection below the law.
Economic growth describes a rise within the amount and quality of the economic merchandise and services that a society produces and consumes. whereas the definition of economic process is simple, it's extraordinarily tough to live it. Statisticians conventionally live such growth because the % rate of increase within the real gross domestic product, or real gross domestic product.
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katrina could not afford expensive furnishings but wanted a stylish home. after researching many options, she went to a local target to purchase the trendy lamps, pillows, and art featured on its ads and website. as a consumer, which retailing challenge was katrina likely responding to?
As a consumer, Katrina was likely responding to the brand image consistency retailing challenge.
What is brand image consistency?By maintaining brand consistency across all of your marketing channels, you can ensure that your consumers and potential buyers consistently see the same picture and message about your business. According to research findings, the eight elements of brand attitude, brand awareness, brand familiarity, pricing perception, and risk perception were defined.
They all have an impact on the decision to choose the brand of the retail chain. A brand image will draw new clients to your business. Introducing new items becomes simpler. Additionally, it often leads to improved client relationships. It also aids in customer retention by boosting the level of trust among current clients.
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figure 14-2 above represents the four approaches to selecting an appropriate price level. box a represents which approach?
figure 14-2 above represents the four approaches to selecting an appropriate price level. box a represents a profit-oriented approach.
a visual approach is an method to a runway at an airport carried out beneath instrument flight rules (IFR) however in which the pilot proceeds by means of visual reference and clean of clouds to the airport. The pilot need to at all times have either the airport or the preceding plane in sight. This technique should be authorized and below the control of an appropriate air traffic manipulation (ATC) facility.[1] The international Civil Aviation business enterprise (ICAO) definition provides that the visual approach can commence whilst "both part or all of an tool approach is not finished", varying best slightly from the Federal Aviation administration regulation and is basically same.
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an investor buyer is acquiring an income property. how will the security deposits be entered on the settlement worksheet?
The security deposits will be recorded just on settlement worksheet as debit seller and credit buyer.
What three sorts of investors are there?Pre-investors, passive investors, and active investors are the three different categories of investors. Each level improves upon the abilities of the level below it. Each level denotes a progressively higher level of commitment to work and responsibility for your financial stability.
Do investors profit?One of two ways exist for an investment to generate profit: either by sending out income or by expanding in value to certain other investors. In the case of bonds or stocks, income takes the form both interest payments or dividends.
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why would a marketer identify and analyze the target audience before defining the advertising objectives when developing an advertising campaign?
The marketer would identify and analyze the target audience before defining the advertising objectives when developing an advertising campaign because Identification of a target market would help the marketers to focus on those most likely to purchase the product.
What is a target audience ?In advertising the target audience can be refered to as the group of people defined by certain demographics and behavior howver the businesses do make use what they know about their target audience so that they can form user personas because the personas guide will help them greatly in their decisions on marketing campaigns.
In conclusion the target audience serves as the intended audience or readership of a publication as well as the advertisement, wich is been used in the process of catering specifically to said intended audience.
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he task of tax accountants and tax departments to minimize the amount of taxes paid in the future is called:
tax accountants and tax departments to minimize the amount of taxes paid in the future is called tax planning.
What Exactly Is Tax Planning?Tax planning is the review of a financial position or plan to make sure that all components work together to allow you to pay the least amount of taxes feasible. Tax efficient refers to a strategy that reduces your tax burden. An individual investor's financial plan should include tax planning as a key component. Success depends on minimizing tax obligations and maximizing the amount that can be put toward retirement planning.
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The relationship between the prices of the underlying stock, a call option, a put option, and a riskless asset is referred to as the _____ relationship.
A. put-call parity
B. covered call
C. protective put
D. straddle
E. strangle
A. put-call parity
The relationship between the prices of the underlying stock, a call option, a put option, and a risk-less asset is referred to as the A. put-call parity relationship.
What presumption underlies the put-call parity?The following presumptions underlie how the put-call parity principle operates. The interest rate is constant and does not vary over time. The underlying stock's dividend payments are known and assured. There are no transfer restrictions and the underlying stock is liquid.
How are parities determined?A convertible security's current value is divided by the conversion ratio, or the number of shares it can be converted into, to arrive at the conversion parity price.
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suppose a certain project scheduled for completion today had a budget of $1500. as of today, $1350 has been spent and the project is estimated to be 2/3 complete. calculate the cost and schedule variance measures.
Salaries payable will be credited with $2800
Since salaries payable is liability so it should be reported in the liability side of balance sheet.
A liability is some thing a person or company owes, normally a amount of money. Liabilities are settled over time via the transfer of financial benefits together with money, goods, or offerings.
Cash is a cutting-edge asset and is the first line-item on a business enterprise's balance sheet. Cash is the maximum liquid sort of asset and may be used to easily buy different property. Liquidity is the benefit with which an asset can be converted into coins.
Liabilities constitute an vital component of deliver and demand in the economic system. Manufacturers deliver merchandise and the client enters right into a legal responsibility settlement to pay for the goods. This results in an open glide of cash and a continuous cycle of sales.
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tory manages marketing for a hotel franchise with a thousand locations worldwide. each hotel location has its own landing page. if tory wanted to quickly generate search ads for every location, which ad type would be most beneficial?
As Tory manages marketing for a hotel franchise in which each hotel has its own landing page. If he wants to quickly generate search ads for every location, the ad type that would be most beneficial is universal search ads. The Option C is correct.
What is an Universal search ads?An Universal search ads refers to an automated ad type in Go-ogle Ads that help the advertisers generate more app installs and/or drive in-app conversions. The advertiser achieve their aim by using a machine learning to identify its best performing ads and show them to the most relevant users.
Missing options "Dynamic Search Ads, Responsive Search Ads, Universal Search Ads, Programmatic Search Ads"
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these are valued as a special zero-growth case of the constant growth rate model. select one: a. future dividends b. common stock c. future stock prices d. preferred stock
Future dividends are valued as a special zero-growth case of the constant growth rate model.
Evaluation of shares can be done using something called the Constant Growth Model. This model, which is also known as the Gordon Growth Model, makes the assumption that the dividends paid by the corporation will keep rising at a steady growth rate eternally. It provides assistance to investors in calculating an appropriate price to pay for a company at the present time, taking into account future dividend payments. Finding out how growth rates, discount rates, and value are all related to one another can be accomplished by employing the Gordon Growth Model. The model nevertheless displays a clear association between valuation and return, despite the fact that valuation is sensitive to changes in the discount rate.
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if congress made the federal personal income tax system less progressive which would increase the mpc. t/f
If congress made the federal personal income tax system less progressive which would increase the mpc. TRUE
An income tax is a tax imposed on individuals or entities in admire of the profits or earnings earned by means of them. income tax usually is computed as the made from a tax rate times the taxable income. Taxation fees can also range via type or characteristics of the taxpayer and the type of income.
The person profits tax (or non-public earnings tax) is a tax levied at the wages, salaries, dividends, interest, and other income someone earns in the course of the yr. The tax is typically imposed by way of the nation in which the income is earned.
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x-mart uses the periodic inventory system to account for its merchandise. on may 1, it sold $400 of merchandise on account with terms of 2/15, n/40. on may 3, its customer returned $50 of merchandise due to defect. on may 11, its customer paid the remaining balance due. demonstrate the required journal entry to record the receipt of payment by selecting all of the correct actions below.
The correct receipt of payment is as follows credit merchandise inventory is $7, debit accounts payable is $350 and credit cash is $343.
The cost of finished goods (COGS) that a retailer or wholesaler has on hand to sell to its clients during a specific accounting period is called merchandise inventory.
The price of the books or periodicals a bookshop offers for sale would be considered as part of its merchandise inventory. The balance sheet account which shows the total cost of goods that have not yet been sold is called merchandise inventory.
Merchandise inventory serves as a holding account for an inventory that is awaiting sale as a current asset. The ending inventory for products should be entered in the Balance Sheet Debit column.
When recording unearned revenue, place the revenue account in the income statement credit column and the unearned revenue account in the balance sheet credit column.
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chapter 11 states that a $74 million film must earn around $111 million before earning a profit. what is the primary reason for this?\
The high cost of marketing and distribution is the reason that a $74 million film must earn around $111 million before earning a profit.
Typically, advertising, promotion, and public relations budget include marketing expenses. Each sum varies according to the size of the company, its yearly sales, and how much the rivals advertise. Marketing budgets can range from less than 1% of sales to more than 30%, depending on the industry.
Costs incurred to deliver your product from the production unit to the final customer are referred to as distribution costs (also known as distribution expenses).
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