The marginal product of labor per hour from adding that third worker would be $60 per hour.
The marginal product of labor (MPL) is a company's increase in total production when one additional unit of labor is added (in most cases, one additional employee) and all other factors of production remain constant.
How to calculate marginal product of labor?
Marginal of product formula =
Change in production output / change in input labor
Now let's use the formula to calculate campus coffee shop's marginal product of labor
change in production output = $210 - $150 = $60
Change in input labor = 3-2 = 1
= 60 / 1
= $60 per hour.
So, the marginal product of labor per hour by adding third worker would be $60 per hour.
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at the price a monopolist sets, it will sell: multiple choice as much as it wants. less than the quantity demanded to encourage scarcity. as much as consumers are willing to buy. more than a firm in a perfectly competitive market would sell.
It will sell as much as customers are willing to buy, at the price a monopolist sets.
So, the correct option is C.
In monopolies, the price is set above marginal cost, and the company makes a profit. Through perfect competition, a state of equilibrium is created when the supply and price of an item are both economically efficient. A monopoly will establish a monopoly price. When a company is the only manufacturer of the industry's product and faces no real rivals, it has a monopoly.
A monopoly has absolute market power and can set a price above the firm's marginal cost because it has no rivals. Due to his downward-sloping demand curve, a monopolist is only permitted to set prices or output levels; he cannot do both. He cannot have a high price and a large volume of sales since a high price would cause fewer individuals to make purchases.
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igby and connor are both very well off financially, but igby gets most of his income from investments that he inherited from his grandfather while connor works long hours as a corporate lawyer to earn his. in terms of social class, igby would be considered , whereas connor would be .
Igby would be considered upper-class, whereas connor would be upper-middle class.
What is upper-class?In contemporary nations, the "upper class" refers to the social grouping of those who enjoy the highest levels of social standing, are typically the wealthiest members of their social class, and exercise the most influence in politics. This point of view holds that the enormous riches that the upper class typically possesses and passes down from generation to generation is what makes them distinctive. Prior to the 20th century, aristocracy was valued more than recent wealth since it placed a focus on generations of passed-down noble position. They are frequently referred to as the "old upper classes" because they may no longer control the society in which they live. These classes are frequently culturally distinct from the newly wealthy middle classes that frequently control public life in contemporary social democracies.
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A fruit stand has to decide what to charge for their produce. They need \$5$5dollar sign, 5 for 111 apple and 111 orange. They also need \$15$15dollar sign, 15 for 333 apples and 333 oranges. Put this information into a system of linear equations. Can we find a unique price for an apple and an orange?.
Then this system of the two-variable linear equations will have an infinite solution.
What is a linear equation?When there is only one variable, there is only one feasible solution. This particular case, in which the variable is accurately referred to as the "unknown," is one to which the term "linear equation" sometimes relates implicitly. The Cartesian coordinates of a point on the Euclidean plane can be used to understand each solution in the scenario with two variables. A linear equation's solutions form a line in the Euclidean plane, and each line can be considered to be the collection of all solutions to a linear equation with two variables. This is how this category of equations came to be known as "linear." In a broader sense, a hyperplane is defined by the solutions to a linear equation in n variables in Euclidean space of dimension n.
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Natural monopolies: O are common. O are rare. do not exist in the real world. b. Natural monopolies are most often: O in markets with low barriers to entry. O regulated by government. unregulated.
Natural monopolies are rare.
Natural monopolies are most often regulated by government.
It's a monopoly that exists in an industry in which high infrastructural costs and other barriers to entry relative to the size of the market give the largest supplier in a market, an overwhelming advantage over potential competitors.
Why natural monopolies are rare?
It's because the industry needs a high infrastructural cost and also it is not easy to enter the market.
Why natural monopolies are most often regulated by government?
Because if not, then the industry will be able to set the price as high as it wants. Also, monopoly industry will be in very high demand so the government needs to control the industry.
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which organization is an independent agency of the federal government that offers managerial and financial help to small businesses
The Small Business Administration organization that offers managerial and financial help to small businesses.
What is SBA? (Small Business Administration )The term Small Business Administration (SBA) refers to a US government agency whose purpose is to support and promote the economy by helping the nation's small businesses. Founded in 1953, SBA's primary mission is to advise individuals who want to start and grow their own businesses.
It offers a number of tools on its website to help new and existing small business owners. The agency is headed by an administrator and deputy administrator and has an attorney general and inspector general—all approved by the Senate.
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last week, all of the employees at the nice night hotel group marched in front of their respective places of employment. they carried signs that said they wanted better wages and better working conditions. which type of labor dispute does this represent?
Picketing type of labor dispute. Picketing is a technique used to boost support for industrial action.
What does picketing mean in the workplace?Picketing is a technique used to boost support for industrial action.It occurs when workers taking part in industrial action gather at their place of employment to raise awareness of their cause.They might accomplish this by informing others or influencing them to refuse to carry out all or part of their job obligations.Employees might put more pressure on their employer to settle the collective bargaining disagreement by picketing.Only when the union is really on strike or the company has legitimately locked out the workers are they permitted to picket.Employees are limited to picketing in the location of the legal job action.To learn more about Picketing refer,
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is a market in which there are no long-run economic profits, little to no barriers to entry or exit, some control over price, and differentiated products
Perfectly competitive market is a market in which there are no long-run economic profits, little to no barriers to entry or exit, some control over price, and differentiated products.
According to economic theory, perfect competition arises when all businesses offer the same goods, the price is unaffected by market share, businesses can enter or exit the market without any obstacles, consumers have complete or perfect information, and businesses are unable to set prices. It is, therefore, a market that is entirely shaped by market forces. It is the opposite of imperfect competition, which more accurately depicts the structure of the market today.
Theoretically, a monopolistic market is the antithesis of perfect competition.Every real market is deemed imperfect because it does not exist on the plane of the ideal competition model.Imperfect competition, which occurs when a market deviates from the ideals of pure or perfect neoclassical competition, is its opposite.Learn more about Perfectly competitive market, here
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which factors are improved when companies behave ethically with their customers? (choose every correct answer.)
The advantages of ethical behaviour in business include helping your business to build customer loyalty, avoid legal problems and attract and retain talented employees.
A company’s reputation for ethical behaviour can help it create a more positive image in the marketplace, which can bring in new customers through word-of-mouth referrals. Conversely, a reputation for unethical dealings hurts the company’s chances to obtain new customers, particularly in this age of social networking when dissatisfied customers can quickly disseminate information about the negative experience they had.
The advantages of business ethics become crystal clear in these situations since companies that maintain the highest ethical standards are very unlikely to find themselves in such situations.
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Which of the following conditions are true when an average, or representative, firm in a purely competitive industry is in long-run equilibrium?
a. The ATC curve is tangent to the TR curve
b. P equals MC
c. MC equals minimum ATC
d. P equals minimum AVC
The MC equals minimum ATC curve conditions that are true when an average, or representative, firm in a purely competitive industry is in long-run equilibrium.
An aggressive industry allows corporations to freely input and exit the marketplace and has few limitations to access. for instance, the market for pizza restaurants in a certain massive city is probably exceedingly competitive, in view that anyone can pick to open a brand new pizza shop, and current owners can close their doors whenever they please.
If a specific industry has a completely excessive quantity of companies offering the same goods or offerings, this will result in more competitive depth. but, in a monopoly or oligopoly market structure that is dominated by means of just one or a few companies, there will be less competition.
the competitive benefit is fixed characteristics that deliver companies leverage over their opposition. It lets businesses provide their goal marketplace with a service or product with better value than enterprise competition. the energetic competition calls for organizations to strive to decrease their prices and enhance the pleasantness of their services and products. opposition stimulates corporations to decrease their personal fees and run their businesses as correctly as viable.
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wiggleville pet store received merchandise costing $1,250 on may 5, invoice 1100. some goods were damaged, and the supplier granted a $250 purchase allowance on their credit memo 686 of may 10. wiggleyville will record this allowance with a debit to:
Wigglyville will record this allowance with a debit to Purchases returns and allowances
Account for Credit Memos :
In a dealer's double- entry account system, a credit memo is recorded as a debit under the applicable Revenue account and a credit under Accounts Receivable, which is the accurate contrary of the initial transactions entry as the memo reduces the balance that the dealer is presently owned by the buyer.
Is a credit memo a refund?A credit memo is a document published by a supplier when bought products or requested services aren't delivered, negotiated or are returned by the client. It indicates a credit is owed to the client for the valuation of the replaced or undelivered commodities.
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what are the main categories of u.s. federal government taxes?
Answer:
Sources of Federal Revenue
Explanation:
Additional sources of tax revenue consist of excise tax, estate tax, and other taxes and fees. So far in FY 2022, individual income taxes have accounted for 54% of total revenue while Social Security and Medicare taxes made up another 30%.
Excise tax, estate tax, and other taxes and fees are other sources of tax income. Individual income taxes have generated 55% of all revenue so far in FY 2023, with Social Security and Medicare taxes contributing another 34%.
What are the federal government taxes?Discover 12 unique taxes, four for each major category— Invest in: sales taxes, gross receipts taxes, value-added taxes, and excise taxes; earn: individual income taxes, corporate income taxes, payroll taxes, and capital gains taxes; and own: property taxes, tangible personal property taxes, estate and inheritance taxes.The U.S. Constitution grants Congress, the President, and the Federal courts, respectively, the authority to act as the legislative, executive, and judicial departments of the federal government.A federal government.: of or relating to the central government of a federation as opposed to the governments of the component geographical units (as states) especially: of or relating to the laws created and upheld by the federal government.Medicare and Social Security taxes. the deduction of federal income tax. Federal joblessness.To learn more about federal government taxes refer to:
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the purpose of a counteroffer is to: multiple choice lower real estate property taxes. negotiate the purchase price. avoid paying points at closing. reduce mortgage payments. avoid paying the real estate agent's commission.
In a subject to, also known as a subject 2 deal, an investor assumes control of the preexisting finance that a homeowner has put up.
What is risks with Subject to Real Estate ?Many lenders have included a due on sale clause in a mortgage instrument to prevent the mortgage from being assumed by another party. If a lender has reason to believe that a mortgage has been assumed, they may demand immediate payment on the remaining balance. By entering into a contract with a homeowner that grants the deed but does not grant the current mortgage liability, investors frequently get around this restriction.A homeowner who structures a contract with an investor assumes a certain amount of personal liability. The credit score of a property owner could be negatively impacted if the individual who agrees to take over the payments misses a payment. A home owner who defaults on monthly mortgage payments may still experience a foreclosure because they are bound by the mortgage agreement.To Learn more About Subject to Real Estate refer to:
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You work for rev and check your work email on your mobile phone. You have decided to resign your job and take a position with a different company. Regarding rdm on your mobile phone, what should you do?.
In case whereby you work for rev and check your work email on your mobile phone and You have decided to resign your job and take a position with a different company. Regarding rdm on your mobile phone, you should B. Take your phone to IT Services, and they will wipe it clean.
What is expected to do when leaving the company?It is expected from you to return anything that belong to the company before leaving the company, but in the case whereby there is still a rdm on your mobile phone, then you can work to the IT services so they can wipe it away.
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Missing options:
A. Turn your phone to IT Services
B. Take your phone to IT Services, and they will wipe it clean
C. Download RDM to your personal computer
D. Call IT Services for support, and they will assist
E. Nothing. IT Services will automatically remove all data
A u. S. Company imports raw materials from africa, has manufacturing facilities in china, and uses a company in india for assembly. This company is benefiting from __________ economies.
A U.S. company imports raw materials from Africa, has manufacturing facilities in China, and uses a company in India for assembly. This company is benefiting from location economies.
The study of location-choice methods employed by businesses in monopolistically competitive environments is known as the economics of location. An economics of location approach is compatible with businesses manufacturing similar or identical items, in contrast to a product differentiation strategy, where businesses differentiate their products to draw customers.
In order to identify the precise geography of opportunity, Location Economics models spatial econometric data to identify the prospects for a company to thrive within an industry based on the location of factors like the division of labor, number of customers, competition and distribution of goods within a business ecosystem.
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In a service business with a highly variable demand, the general approach to aggregate scheduling does not involve.
In a service business with a highly variable demand, the general approach to aggregate scheduling does not involve - Changing demand or running out of stock while business is slow.
Aggregate panning involves –
Aggregate planning is the process of developing, assessing, and maintaining a general scheduling for all of an organization's operations. Customer backlogs, production levels, inventory levels, and forecasted goal sales are frequently included in the overall plan. This schedule seeks to satisfy demand for the least amount of money. When done well, aggregate planning should lessen the drawbacks of day-to-day scheduling, which entails placing small orders for material one week, laying off workers the next, and then placing larger orders and rehiring workers the week after. This longer-term perspective on resource use can lessen the need for unforeseen fluctuations in demand, which can save money. Simply speaking, aggregate planning is an effort to balance capacity and demand while minimizing expenses. This level of planning considers all assets "in the aggregate," such as a product line or family. the term "aggregate" was created. Aggregate resources include things like the total number of workers, machine hours, or raw material tonnage.
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the relationship between the excess return on the market portfolio (or an appropriate index used as a proxy) and the excess return on an individual asset is captured by the _____.
The Security characteristic line depicts the link between the excess return on the market portfolio (or a suitable proxy index) and the excess return on a specific asset.
The term "market portfolio" refers to a portfolio that includes the weighted total of each asset traded on the market, with weights assigned in accordance with their market presence and the essential presumption that these assets are endlessly divisible.
According to Richard Roll's criticism, this is only a theoretical idea because, in reality, a market portfolio for investment purposes would have to include every single asset that is currently available, including real estate, precious metals, stamp collections, jewelry, and anything else that has value because the theoretical market being discussed would be the global market.
Whether the items utilized for the market portfolio actually matter is a subject of some debate. It doesn't really matter, according to some authors.
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compare the outcomes (prices, outputs, profits, and economic efficiencies) of a competitive market and one in which the producers are able to act and set prices as though they were a monopoly. what would antitrust law try to accomplish?
When markets are competitive, firms accept the market price and will produce more, putting downward pressure on price until price is equal to each firm's marginal cost.
When you say someone is firm, you're implying that they act in a way that indicates they won't change their mind or that they are the one in charge. She needed to treat him firmly. A company that offers professional services is referred to as a firm. This can be a corporation, limited liability company (LLC), or partnership. The total number of buyers and sellers in a given market or region is referred to as the market. The region can be the entire planet, as well as certain states, provinces, or cities. Items traded are valued, cost, and priced in accordance with market forces of supply and demand.
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while not all life insurance policies are the same, which of the following types of life insurance policies do not have a savings feature: a. term life b. whole life c. variable life d. Universal e.both variable life and universal life
Among the given life insurances Term life insurance does not have a savings feature.
A type of life insurance known as "term life insurance" offers protection for a predetermined number of months or years, or "a term." In the tragic event that the insured passes away during the policy term, this sort of life insurance offers a financial benefit to the nominee.
Anyone who has dependents on their income ought to purchase a term insurance policy. Included in this are married couples, parents, business owners and independent contractors, SIP investors, young professionals with dependent parents, and in some cases, retirees, acquire a cash value as there is no investment component in the policy
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energon inc., a beer manufacturer, distributes free water bottles in areas where there is water scarcity. moreover, the company sponsors several local events such as concerts, theatre productions, and sporting events. in this scenario, energon inc. is engaging in .
Energon inc., a beer manufacturer, distributes free water bottles in areas where there is water scarcity. moreover, the company sponsors several local events such as concerts, theatre productions, and sporting events. in this scenario, Energon inc. is engaging in community involvement.
Production is the technique of mixing various material inputs and immaterial inputs (plans, expertise) a good way to make something for intake (output). It is the act of creating an output, a great or carrier which has fee and contributes to the application of people.[1] The place of economics that makes a specialty of production is called production theory, which is intertwined with the intake (or patron) theory of economics. Four elements of production. The production system and output without delay end result from productively making use of the original inputs (or factors of manufacturing). Called primary producer items or offerings, land, labour, and capital are deemed the 3 essential manufacturing elements.
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Question 1 (1 point) (Figure: Determining Short-Run Supply Curves) Which segment represents the short- run supply curve? Price and Cost (5) 1 2 3 5 6 4 Output 7 O O a) DE Ob) CE O O c) AE O O d) BE
CE segment represents the short- run supply curve.
In the short run, the supply curve starts from minimum AVC as the firm will not produce if the price is below the minimum AVC and it sets P=MC for profit maximization
So, the supply curve will be the part of the MC curve which starts from minimum AVC
= CE
The supply curve is a graphic representation of the correlation between the cost of a great or carrier and the amount furnished for a given duration. In an average instance, the fee will appear on the left vertical axis, even as the quantity supplied will appear at the horizontal axis.
In economics, supply is the amount of a aid that corporations, producers, labourers, providers of financial property, or different economic dealers are inclined and capable of offer to the market or to an man or woman. deliver can be in produced goods, labour time, raw substances, or any other scarce or precious item.
The supply curve could be upward sloping, and there's a right away relationship between the charge and amount. perfectly inelastic, inelastic, unit elastic, elastic, and flawlessly elastic are the types of the curve elasticity. Economists, governments, and producers use it to understand patron and marketplace conduct.
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every year walter travels to china where he legally buys large quantities of baseball caps related to mlb sports teams. he imports the caps back into the united states where he sells them for less than the normal market price at his storefront in new york city. the baseball caps are considered to be .
In this case, the baseball caps are considered to be gray market goods.
What are gray Markets?
A market where unlicensed vendors sell legitimate goods that might have great consumer demand is referred to as a "gray market" or "grey market."In such a market, purchasers or investors put their money to work investing in order to profit above-average returns on the sale of products or securities at a discount.Investors typically work with brokers, issuers, and underwriters in the securities grey market as they try to gauge demand for a company's IPOs or halted stocks.A grey market premium, also known as a GMP, aids individual investors in calculating their gains and losses.To learn more about gray markets:
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If the price elasticity of supply for pickles is 2 and the price of pickles increases by 10 percent, then the quantity supplied of pickles will increase by responses 0. 2% 0. 2% 5% 5% 8% 8% 12% 12% 20%.
Price elasticity of deliver (PES or Es) is a degree utilized in economics to reveal the responsiveness, or elasticity, of the amount furnished of an awesome or carrier to a alternate in its rate or cost. Ans: is 20%.
The required details for Price elasticity of deliver (PES) in given paragraph
PES = % alternate in amount furnished / % alternate in rate
% alternate in amount furnished = % alternate in rate * PES = 10% * 2
= 20%
Thus, the amount furnished will growth through 20%.
Price elasticity of deliver measures the responsiveness to the deliver of an awesome or carrier after a alternate in its marketplace rate. According to simple monetary theory, the deliver of an awesome will growth while its rate rises. Conversely, the deliver of an awesome will lower while its rate decreases. There’s elasticity of call for. This measures how responsive the amount demanded is suffering from a rate alternate. Overall, rate elasticity measures how a whole lot the deliver or call for of a product adjustments primarily based totally on a given alternate in rate.
Elastic approach the product is taken into consideration touchy to rate adjustments. Inelastic approach the product isn't touchy to rate movements.
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judy's boutique just paid an annual dividend of $3.43 on its common stock. the firm increases its dividend by 3.65 percent annually. what is the company's cost of equity if the current stock price is $42.76 per share? multiple choice 11.35% 11.02% 11.67% 11.96% 12.38%
The company's cost of equity if the current stock price is $42.76 per share is 11.96%.
It represents the compensation that the market demands in exchange for owning the asset and bearing the risk of ownership.
How to calculate cost of equity?
Cost of equity = (dividends per share / current market value of stock) + growth rate of dividends
Now, let's calculate using the formula to get the answer
= ((3.43*(1+0.0365)/42.76) + 0.0365
= (3.55195 / 42.76) + 0.0365
= 0.11964301
= 11.96% (rounded)
So judy's boutique cost of equity is 11.96%
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little toy company makes and sells miniature doll houses. little produces two kinds of houses: standard and deluxe. the demand for doll houses is highest in november and december. expecting this trend to continue, little is interested in how to best utilize available capacity. given the following information, how many standard and deluxe doll houses should little produce? standard deluxe demand 8,000 3,000 unit price $60 $80 unit variable cost $25 $35 unit contribution margin $35 $45 production hours per unit 0.5 1 available production hours 5,000 hrs total fixed costs $40,000 a. 5,000 standard; 3,000 deluxe. b. 3,636 standard; 7,364 deluxe. c. 8,000 standard; 1,000 deluxe. d. 3,636 standard; 1,363 deluxe.
The answer is c. 8,000 standard; 1,000 deluxe
Since we have production hours as a limiting factor, therefore we should manufacture that product which gives maximum contribution per hour.
Calculation of contribution per hour
Particulars standard deluxe
Sale price 60 80
(-) variable cost (25) (35)
Contribution per unit 35 45
Units per hour 2 1
Contribution per hour 70 45
Ranking I II
Since the contribution per hour of the standard is more therefore first we should employ resources to manufacture the standard and then remaining to manufacture deluxe.
Calculation of units to be manufactured
Product type Hour per unit Total hours Units
Standard 0.5 4000 (8000x0.5) 8000
Delux 1 1000 1000
Total 5000 hours
Therefore we should manufacture 8000 units of standard and 1000 units of deluxe.
c. 8,000 standards; 1,000 deluxe
Examples of manufacturing include automotive agencies, bakeries, shoemakers, and tailors, as all of them create products, in preference to supplying services. But, for instance, logging or mining are not productions, as they no longer trade items into new merchandise.
System production is a production approach that creates goods by means of combining components, elements, or raw substances using a formula or recipe. It is often used in industries that produce bulk portions of products, together with meals, liquids, delicate oil, gasoline, prescription drugs, chemicals, and plastics.
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A company is planning to sell the rights to its brand name for use in other countries. This is an example of a.
A company is planning to sell the rights to its brand name for use in other countries. This is an example of a licensing agreement.
What do you mean by licensing agreement?
Licensing agreement can be defined as a legal, written contract between two parties wherein the property owner can give permission to another party to use their brand, patent, or trademark. Examples include songs, sports team logos, intellectual property, software, and technology.
Parameters to keep in mind during licensing agreement are
Geographical regions within which the property may be utilized.The time period The exclusivity or non-exclusivity of a given arrangement.It helps in saving a lot of time, money, and hassles.
Hence , A company is planning to sell the rights to its brand name for use in other countries. This is an example of a licensing agreement.
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_______ are moral principles and values that govern the behavior of people, firms, and governments regarding right and wrong.
Ethics are moral principles and values that govern the behavior of people, firms and governments regarding right and wrong.
The study of what is ethically good and bad, as well as right and wrong, is termed ethics. It is sometimes also known as moral philosophy. Any theory or system of moral ideals or principles can also be included under this umbrella phrase. Axiology is a subfield of philosophy that consists of the fields of ethics and aesthetics. These fields are concerned with values. Through the definition of terms like good and evil, right and wrong, virtue and vice, justice and crime, ethics aims to answer concerns about human morality.
The following are the top three recognized areas of research in ethics today:
Meta-ethics: the study of the theoretical significance and framework of moral claims and the evaluation of their veracity.Normative ethics: the study of the methods used in daily life to choose a moral path of conduct.Applied ethics: regarding what a person is required to do in a certain circumstance or field.To learn about morals see:
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what does s&p stand fo rin reference to a credit rating agency
Out of the choices provided above, it can be concluded to state that S&P stands for ''Standard & Poor's'' in reference to a credit rating agency. Therefore, the option B holds true.
What is the significance of a credit rating agency?A credit rating agency can be referred to or considered as a professional and licensed authority, which deals in showcasing the credit reports of an individual or an institution in the market with respect to the credibility he or she has in the market.
There are different set standards in the reports presented by a credit rating agency, such as S&P. This Standard & Poor's rating showcases the creditworthiness of an individual as per the reports of the agency for the given period of time.
Therefore, the option B holds true and states regarding the significance of credit rating agency.
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The missing choices are added below for better reference.
What does S&P stand for in reference to a credit rating agency
A. Standard & Professional
B. Standard & Poor
C. Set & Pack
D. None of these
the automobile a. was the backbone of economic growth. b. was the second most important american industry after the textile industry. c. was not as popular as expected when it first came out. d. prevented the growth of other industries. e. experienced stagnation in its production during the 1920s.
The automobile was the backbone of economic growth. Other businesses, like tourism and steel production, grew as a result of the automobile.
What served as the foundation for economic expansion in the 1920s?As new industries like chemicals, aviation, and electronics took off and more established ones adopted Henry Ford's moving assembly line, productivity and economic output increased substantially. The Model T and the Model A that followed it revolutionized American culture.
Due to assembly line the automobile rose to prominence in the 1920s and remained the foundation of the American economy through the 1970s. Although it had a significant impact on the nation's society and geography, the business boom of the 1920s was the result of a number of other reasons as well. Due to the demand for suburban housing created by this improved mobility, the construction sector saw a boom.
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your friend tells you he is going to start investing and would like to earn a 10% return. he says stocks make him nervous, so he will only be investing 10% in stocks and the remaining 90% will be invested in bonds. what would you say to him?
My advice to my friend will be to invest in stocks and NOT in bonds.
I'll start by explaining the distinctions between stocks and bonds, and then I'll tell him what the projected rates of return are for these two types of investments.
Stocks are an example of an equity instrument where investments have a high risk but high reward profile. Bonds are fixed-income financial securities that pay periodic coupons (interest) on a regular basis. In the long run, stocks have excellent prospects and potential for capital growth. Although stock returns are erratic in the short term (one to two years), they can be lucrative for medium- to long-term investments. This is consistent with the adage in finance that the greater the risk, the greater the reward. When investing in bonds, there won't be any capital growth and the investor will only receive regular, fixed-interest payments.
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Katherine owns the trendy boutique where clara works as a shop assistant. deanne loves the clothes in katherine's boutique and shops there often. which of these three people is a consumer? a. katherine b. clara c. deanne
Katherine owns the trendy boutique where clara works as a shop assistant. Deanne loves the clothes in katherine's boutique and shops there often. which of these three people is a consumer c. Deanne
A boutique is a small-scale retail establishment that offers clothing and accessories for children, men, and women.
a small store or a small specialty section within a larger one, particularly one that sells trendy clothing and accessories or a unique assortment of other goods. any independent small business providing specialised services: A new Madison Avenue store handles our advertising.
a modest retail store that specializes, for instance, in presents, chic attire, accessories, or food. an area in a store or a small shop where trendy, frequently pricey clothing and other items are sold. In the simplest terms, selling clothing and other items is how a clothing boutique generates revenue.
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