Answer: The correct answer is "b. Unrelated diversification".
Explanation: When an organization expands into a totally new line of business it is implementing a strategy of <u>unrelated diversification</u> because it invests in a completely different line of business and not related to those previously managed by the organization.
ANSWER: 57.5%
Debt to assets ratio:
= Total Liabilities / Total Assets
Given:
Cash $20,000
Accounts Receivable $80,000
Inventory $50,000
Net Plant and Equipment $250,000
Total Assets: $400,000
Accounts Payable $40,000
Accrued Expenses $60,000
Long Term Debt $130,000
Total Liabilities: $230,000
Computation:
= $230,000 / $400,000
= 57.5%
The interpretation of the figures shown is that 57.5% of the total assets are financed by the creditors of company instead of investors being funded by borrowing compared as how much was funded by the investors.
Generally, 40℅ ratio or lower is considered as a good debt ratio. Above than 60℅ ratio is said as poor ratio, because of the risk that the company will not be able to generate cash flows to finance and pay its debts.
Therefore, TEW Company has a normal and efficient ratio of 57.5% and is able to pay its debts.
Answer: B. The coding scheme was not reliable.
Explanation: The most likely discrepancy for the of this study/research is the coding system, a coding system is an analytical tool used to categorize samples or treatments in order to effectively enhance the research or study and to give correct results. Coding systems are also used in computer analysis for effective result presentation. Coding can be used in quantitative analysis such as Questionnaire results and in qualitative in the case of interview transcripts.
Answer:
$34.63.
Explanation:
The Gordon Dividend Discount Model will be used to calculate the current share price. This model helps us to determine how much should we pay for a stock and the analysis is based on dividends, growth rate, and our required rate of return. The model is as follows:
![Po = D1 / (1 + r )^1 + D2 / (1 + r )^2 + D3 / (1 + r )^3 + D4 / (1 + r )^4 + D5 / (1 + r )^5 + D6 / (1 + r )^6 + [(D7 / r - g) / (1 + r)^6]](https://tex.z-dn.net/?f=Po%20%3D%20D1%20%2F%20%281%20%2B%20r%20%29%5E1%20%2B%20D2%20%2F%20%281%20%2B%20r%20%29%5E2%20%2B%20D3%20%2F%20%281%20%2B%20r%20%29%5E3%20%2B%20D4%20%2F%20%281%20%2B%20r%20%29%5E4%20%2B%20D5%20%2F%20%281%20%2B%20r%20%29%5E5%20%2B%20D6%20%2F%20%281%20%2B%20r%20%29%5E6%20%2B%20%5B%28D7%20%2F%20r%20-%20g%29%20%2F%20%281%20%2B%20r%29%5E6%5D)
where
Po = Current market Price
D1 = Dividend Paid * (1 + g)
D2 = D1 (1 + g) ; D3 = D2 (1 + g) ; D4 = D3 (1 + g) ; D5 = D4 (1 + g)
D6 = D5 (1 + g) ; D7 = D6 (1 + g)
This implies that:
![Po = 2.7507 / (1.15)^1 + 2.8552 / (1.15)^2 + 2.9637 / (1.15)^3 + 3.0763 / (1.13)^4 + 3.1932 / (1.13)^5 + 3.3146 / (1.13)^6 + [(3.4405/.11 - .038) / (1.13)^6]](https://tex.z-dn.net/?f=Po%20%3D%202.7507%20%2F%20%281.15%29%5E1%20%2B%202.8552%20%2F%20%281.15%29%5E2%20%2B%202.9637%20%2F%20%281.15%29%5E3%20%2B%203.0763%20%2F%20%281.13%29%5E4%20%2B%203.1932%20%2F%20%281.13%29%5E5%20%2B%203.3146%20%2F%20%281.13%29%5E6%20%2B%20%5B%283.4405%2F.11%20-%20.038%29%20%2F%20%281.13%29%5E6%5D)
⇒ Current Market Price = $34.63.
Note: Figures are rounded up-to 4 decimal points. A difference of up-to $2 would not affect your scores as far as the methodology is correct.
Answer: What is the best way to get his service to his target customers
Explanation:
Market research is the process of determining how viable a product will be after research has been conducted in the market. This is vital in getting opinions of customers.
Marketing mix are the marketing tools which an organization can use in order to pursue its marketing objectives.
The question that should be asked about the marketing mix placement is "What is the best way to get his service to his target customers". This is vital in knowing the best method to use in making the product available to the customers.