Cost of debt and Equity
Cost of debt= (1-tax rate)* interest rate * (debt ÷capital employed)Cost of equity = risk free rate + market premium (equity shareholders funds÷ capital employed)
Who are the major players in international trade today? Besides Japan, what other Asian nations play significant roles in international trade?
Describe the term: “Only to be part with it we want money”?
Explain the statement: “Good economic policy requires good economic theory.”?
Describe the meaning of the term “invisible hand.”
Janet has loaned a start-up coffee house $50,000 and predicts to earn interest from her financial investment. In circular flow model this transaction is an illustration of: (1) An exchange of her saving for interest, via a resource market for the economic capital. (2)
Why do governments enact trade barriers?
How do you account for the dominant role of corporations in the U.S. economy?
Over the long-run the speculators activities are tend to: (1) decrease the volatility of prices. (2) attract legal attention and result in imprisonment. (3) increase the level and volatility of prices both. (4) yield tremendous profits and raise costs
Which of the given is not a characteristic of a perfectly competitive market structure: w) there are a very huge number of firms which are small compared to the market. x) All firms sell the same products. y) There are no restrictions to entry through
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