Answer: External horizontal diversification
Explanation:
External horizontal diversification is when new products or services are added to a company because they may appeal to the customers. This is a strategy that is used to increase the dependence of firm on certain segments of the market.
This was used when Fisher met with Bill Gates, CEO - Microsoft, to form alliances to develop new photo software that helped customers manipulate images.
Answer:
The correct answer is A: The sale of a security with a commitment to repurchase the same security at a specified future date and a designated price
Explanation:
A repurchase agreement (Repo) is a short term agreement between two parties in which one party sells the other party security (usually government securities) a<u>t a price with an agreement to repurchase the exact same security at a fixed time and price.</u> The maturity for a repurchase agreement can be from overnight to a year. The
Repurchase agreements are generally considered safe investments because the security in question functions as collateral, which is why most agreements involve U.S. Treasury bonds. The transaction allows the dealer to raise short term capital. It is a short term money market instrument in which two parties agree to buy or sell a security at a future date.
Answer:
The correct answer is The owners themselves.
Explanation:
The Coase Theorem points out that if property rights are well defined and transaction costs are zero, the negotiation between the parties will lead us to an optimal point of allocation in the market.
According to Coase's theorem, when the parties can negotiate freely and without major costs, it does not really matter which part initially has the right of ownership since in the end it will remain in the hands of those who value it most. The final result of the negotiation will lead us to an optimal allocation of resources.
Property rights indicate who owns or has permission to do something.
<span>To find the compound interest of an investment you have to use this formula, A = P(1 + r/n)^nt, where A is the total amount you have after the investment period, P is the amount you invest or the amount you put in, r is the rate of the of the compound interest in this case 10%, n is the amount of time the interest will be compounded for example, 4 months a year(quarterly) or 6 months a year(semi annually), and t is the amount of time you invest in years.
So in this case you are going to substitute everything in the formula with their given value. So P = $700, r = 10%, n = 21 (because it is the number of months we invest for), and t = 2 years (because 21 months fit perfectly in 2 years, and t must always be in years). The resulting formula will be A = $700(1 + 0.1/21)^(21 x 2), which will give you an answer of $855 rounded to the nearest dollar.</span>
