Which of the following best illustrates diversification?
a. A company that produces many different products decides to produce fewer.
b. After selling stock, corporate management spends funds on projects with greater risks than shareholders had anticipated.
c. Instead of holding only the stocks of companies engaged in the banking business, a person decides to hold stock in a number of different companies producing different goods and services.
d. A person decides to purchase only stocks that have paid high dividends in the past.
c
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Jane is willing to pay $50 for a pair of shoes. The actual price of the shoes is $30. Her consumer surplus on this pair of shoes is
A) $20. B) $50. C) $30. D) $80.
An export subsidy is a payment by the government to exporters to permit them to charge lower prices
a. True b. False Indicate whether the statement is true or false
Utility refers to how much consumers utilize a product or service.
a. true b. false
Under a floating exchange-rate regime with a high degree of capital mobility, international crowding out of expansionary fiscal policy occurs when
A. foreign interest rates increase. B. the country's currency appreciates. C. the foreign money supply increases. D. domestic interest rates increase.