Answer: The correct answers are "A. Accept" and "$ 0.01".
Explanation: Given that we talk about optimal strategy when maximizing the expected profit by the player:
In the first case It is convenient to accept the proposal and keep $ 0.12, instead of rejecting it and running out of nothing.
And in the second case it is convenient to give the classmate as little as possible so that he accepts and we have a greater profit.
Answer:1. The higher before tax real gain is for Steve for $2000 i.e (32,000- 30,000) while Stephanie makes $1800(6% of $30,000)
2. The higher after tax real gain is for Stephanie losing 35% of her income
which reduce her income to $1170 while Steve loss 50% of his income which reduce to $1000.
Explanation
The inflation rate is not considered in the calculation because it's constant for both parties.
Answer: b
Explanation:
This strategy and world wide product divisional structure may hinder economy of scale( whish is actually the reduced costs enjoyed by business entities due to the scale of their business) typically, this strategy and organizational structure restricts products to certain region which the demand may not be enough for effective cost management to enhance profit.
Other divisions might have some demand for certain products that are not available in their own division.
Answer:
As a member of the board of directors, Lindsay will be involved in establishing the banks overall organizational strategy, long term plans and goals. She will also share the responsibility of hiring or firing the bank's top executives, i.e. CEO, CFO and COO. She will also represent the shareholders' interests (and safeguard them) and decide over the governance system of the bank.
