Initial markup is based on original value, while maintained markup is based on actual prices received for merchandise sold

Indicate whether the statement is true or false


True

Business

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Which of the following is true according to Lewin’s force field analysis?

A. Restraining forces have to be stronger than driving forces for change to work. B. Driving forces have to be stronger than restraining forces for change to work. C. Driving forces and restraining forces must be equal for chain to work. D. Driving forces are always stronger than restraining forces during change initiatives.

Business

EnviroStyro Inc is all equity financed and generates perpetual annual EBIT of $750. Assume that the EBIT, and all other cash flows, occur at year end and that we are currently at the beginning of a year

EnviroStyro has 1,500 shares outstanding which trade for $3.611. The stockholders of EnviroStyro require a return of 9%. EnviroStyro is considering an open market stock repurchase. It plans to buy 15% of its outstanding shares at a price of $3.811. The repurchased shares will be cancelled. It will finance the repurchase by issuing perpetual bonds with a coupon rate (and yield) of 5%. Assume that the tax rate is 35%. What is the price of EnviroStyro shares after the repurchase (PA)? A) PA = $3.61 B) PA = $3.66 C) PA = $3.71 D) PA = $3.76 E) PA = $3.81

Business

Writing covered calls may result in a profit to the writer even if the stock price does not change

Indicate whether the statement is true or false.

Business

Which of the following is a type of damage award that may be granted by a court as a remedy for breach of contract:

a. compensatory b. expectancy c. liquidated d. nominal e. all of the other specific choices are correct

Business