Who will get the goods and services
Who will get the goods and services?
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1. The answer to this question is directly related to how the income is distributed among the individuals and the households and the tastes and preferences of consumers.
2. Products go to those who are willing and able to pay for them.
3. The productivity of the relative supply as well as the resources of particular resources also the possession of resources will determine the income of individuals and households.
4. The resource markets are linked to this decision, which conclude income.
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Illustrate Market Equilibrium of Supply and Demand?
Cost of debt= (1-tax rate)* interest rate * (debt ÷capital employed)Cost of equity = risk free rate + market premium (equity shareholders funds÷ capital employed)
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