Suppose that the production of a $30,000 automobile in Canada requires $10,000 worth of steel. The Canadian nominal tariff rates for importing these goods are 25 percent for automobiles and 10 percent for steel. Given this information, the effective rate of protection for the Canadian automobile industry is approximately
a. 15 percent.
b. 32 percent.
c. 48 percent.
d. 67 percent.
b. 32 percent.
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________ prohibit charging more than a stated amount of interest for the use of money.
A. Wagering laws B. Usury laws C. Blue laws D. Sunday laws
Which of the following statements is most likely true about the new product development process?
A) The first step in developing a new product involves determining any budgetary or distribution limitations. B) Most firms discourage employees from contributing new product ideas because of legal concerns. C) In most cases, concept testing is followed by concept development. D) A product concept should be developed for each idea before it goes through idea screening. E) Customers, competitors, distributors, and suppliers are major sources of new product ideas.
According to the new dominant logic for marketing, ________ is the central, or core, deliverable in every exchange
A) value B) prestige C) service D) the product E) a relationship
Which of the following statements is true of the optimal capital structure?
A. It is found by determining the debt-equity mix that maximizes expected EPS. B. It simultaneously maximizes EPS and minimizes the WACC. C. It minimizes the cost of equity, which is a necessary condition for maximizing the stock price. D. It simultaneously minimizes the cost of debt, the cost of equity, and the WACC. E. It should have the combination of debt and equity that will maximize the price of the firm's stock.