Inicell Inc., an American camera manufacturing company, wanted to import a few camera parts from Ruelia, an Asian company. However, the American government passed a taxation law that stated that a tax of 4% would be levied on all electronic imports. In this scenario, the American government imposed a(n) _____.

A. embargo
B. quota
C. tariff
D. voluntary export restraint


Answer: C

Business

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Indicate whether the statement is true or false

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The primary purpose of a stock split is to

a. increase paid-in capital b. reduce the market price of the stock per share c. increase the market price of the stock per share d. increase retained earnings

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Gretta's portfolio consists of $700,000 invested in a stock that has a beta of 1.2 and $300,000 invested in a stock that has a beta of 0.8. The risk-free rate is 6% and the market risk premium is 5%. Which of the following statements is CORRECT?

A. The required return on the market is 10%. B. The portfolio's required return is less than 11%. C. If the risk-free rate remains unchanged but the market risk premium increases by 2%, Gretta's portfolio's required return will increase by more than 2%. D. If the market risk premium remains unchanged but expected inflation increases by 2%, Gretta's portfolio's required return will increase by more than 2%. E. If the stock market is efficient, Gretta's portfolio's expected return should equal the expected return on the market, which is 11%.

Business

An ethical and a moral obligation are the same

Indicate whether the statement is true or false

Business