The theoretical PE model does not work when the growth rate in ____________________ exceeds the cost of equity capital
Fill in the blank(s) with correct word
earnings
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Renault paid 1 billion USD to acquire a 25 percent ownership stake in the Russian automaker AvtoVAZ in 2008. Just one year later, Russian Prime Minister Vladimir Putin threatened to dilute the Renault ownership stake unless it contributed more money to prop up AvtoVAZ, which was then experiencing a significant slide in sales. This is an example of ________ risk.
A. political B. currency C. economic D. management
Pepsico produces and distributes products under the brand names Pepsi, Quaker, Frito-Lay, and many others. This collection of product lines within Pepsico's ownership and control is referred to as the:
A. product depth. B. product accumulation. C. product line consistency. D. product mix.
To reduce the cost of collecting its accounts receivable, a company sells its accounts receivable to a financial organization. The service is called:
A. collection agency advance B. lockboxing C. factoring D. funding
Barkes, Inc., manufactures and sells two products: Product B0 and Product B5. Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below: Expected Production Direct Labor-Hours Per Unit Total Direct Labor-HoursProduct B0400 7.0 2,800 Product B5500 4.0 2,000 Total direct labor-hours 4,800 The direct labor rate is $22.10 per DLH. The direct materials cost per unit is $288.10 for Product B0 and $118.90 for Product B5.The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity:Activity Cost PoolsActivity MeasuresEstimated Overhead CostExpected Activity???Product B0Product
B5TotalLabor-relatedDLHs$136,944 2,8002,0004,800Production ordersorders 64,629 500400900Order sizeMHs 588,294 3,3003,0006,300 $789,867 The total overhead applied to Product B0 under activity-based costing is closest to: (Round your intermediate calculations to 2 decimal places.) A. $308,156 B. $423,943 C. $460,768 D. $351,052