An agreement under which one party agrees to pay drafts drawn by a creditor is called a: ______
A) contract of surety.
B) guaranty contract.
C) letter of credit.
D) debtor's agreement.
C
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Facebook and Second Life are both examples of ________
A) brand alliances B) opinion leaders C) social networks D) early adopters E) market mavens
Workers compensation originated under the Master/Servant Doctrine
Indicate whether the statement is true or false
Ramble-On-Rose Florists Inc common shares are priced at $39.96 today and are expected to pay the next annual dividend of $1.85 in one year's time. Investors have historically required an 11% return for holding Ramble-On stock
Assume that the dividends grow at a constant rate in perpetuity, and calculate the growth rate implicit in today's stock price. Then, calculate the fair price for the stock after the $1.85 dividend in one year's time. Finally, calculate the capital gain rate. That is, the percentage change in the stock price between today and one year from now. A) 4.63%, $30.39, 31.50% B) 4.63%, $40.64, 5.38% C) 6.37%, $39.96, 0.00% D) 6.37%, $42.55, 6.37% E) 6.37%, $42.55, 6.48%
If a stock's market price exceeds its intrinsic value as seen by the marginal investor, then the investor will sell the stock until its price has fallen down to the level of the investor's estimate of the intrinsic value.
Answer the following statement true (T) or false (F)