If a firm wants to finance a project quickly and without extra costs, they would most likely choose to ______.
a. increase dividends
b. issue new stocks
c. issue new bonds
d. reinvest profits
d. reinvest profits
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Currently Belize, a country in Central America, has a small coffee industry but does not export any coffee
Suppose the government of Belize, in order to protect the new coffee industry to enable it to grow into a mature industry that can compete in world markets, places a tariff on the importation of coffee. What is the argument that has been used to support the tariff on coffee? A) the infant-industry argument B) the dumping argument C) protection of Belize coffee workers D) to prevent rich countries from exploiting developing countries
"If production of a good creates an external cost, then, when production is such that the marginal private costs are equal to the marginal private benefits, the market outcome will be inefficient"
Explain whether this assertion is correct or incorrect.
If Best Dogs only sells their hot dogs in packages of eight, all of the following are true except which one?
A) Best Dogs is changing consumer surplus into profit. B) Best Dogs is practicing commodity bundling. C) Best Dogs is using an all-or-nothing pricing scheme. D) Best Dogs has market power.
If the life span of a piece of equipment is 10 years and its current cost is $400,000, what is the straight-line depreciation allowance each year?
A) $400 B) $400,000 C) $4,000 D) $40,000