If you're authorized with some invested capital, what is the potential market that you're most interested in? Why you choose this market?

Q: How is the acquisition of fixed assets an important activity for a business organization?

A: Fixed assets are the assets that are purchased by a firm for long-term use and the fixed assets…

Q: What are some reasons why the investment strategy of a 30-year-old might differ from the investment…

A: Investments: It refers to the value of the fixed assets of an economy which is produced within a…

Q: Why would lenders want to see that a business already has some level of capitalization before giving…

A: The banks are the financial institutions who are involved in the process of lending money to the…

Q: How are financial firms able to make profits?  Under what circumstances are their profits limited?

A: Financial companies profit from investing their funds in firms that have the potential to grow and…

Q: What are Fixed assets? What do they include?

A: If a firm use a tangible piece of his own property to generate his income is known as fixed asset.…

Q: Investors typically use which of these ratios in their analysis of a company's earnings potential?…

A: The answers are: Price ratios Return ratios

Q: The price these buyers are willing to pay for the stock is called

A: Stock is a investment that is made by thr investor in order to earn great returns in future.

Q: Which of the following terms is associated with giving up the chance to earn a return on investment…

A: Cost describes the expenditure or outflow of money from the organization when making various…

Q: The integrity of the capital and how it relates to market efficiency and market perfection

A: Capital is very important for any business.High capital along with advanced technology would lead to…

Q: When frequency, asset specificity and uncertainty rise, what happens to the cost of using the…

A: The transaction costs involves in the exchanges between two economic agents in an economy. The…

Q: Why Do Firms Choose Acquisition Versus Greenfield Investments?

A: Acquisition and Greenfield Investments are the two ways in which a company can enter into a foreign…

Q: Your bank account pays an interest rate of 4 percent. You are considering buying a share of stock in…

A: Answer - Given in the question - Interest rate =  4%Price of stock XYZ = $110dividend = $5We have to…

Q: Write TRUE if the statement is right and FALSE if it is wrong:   _____     7. Cost Benefit…

A: Ans. 7 A Cost-Benefit Analysis is referred to as a systematic process used by businesses to analyze…

Q: What is the Investment-Pool Concept?

A: The income of the individuals, and households is used for various purposes. The income taxes are…

Q: Where do firms invest surplus funds that are only available for a short period of time?   A.…

A: The investment made in capital market, commodity market and real estate market are long term in…

Q: When you invest your money in the stock Market, the original investment is called the…

A: When an individual earns income by serving as labor or employee, he has two ways to use that income,…

Q: What is the Capital-Recovery Factor?

A: The firm or the business needs to make some investment in the initial period to make the operations.…

Q: if you had to choose to be either an entrepreneur, an intrapreneur, or an employee right now, which…

A: An entrepreneur is a person who starts a business by taking risks in hoping to return of profit.

Q: When should the Investment in physical assets be capitalized?

A: Answer -  Capitalization - The meaning of capitalization that investing the capital in terms of…

Q: Suppose that the initial dividend on a stock is £1. The interest rate is 3 percent and the growth…

A: The dividend discount model (DDM) may be a mathematical technique for projected a company's stock…

Q: A company has announced a profit, but why is the price of stock still falling? Is the market…

A: The degree to which market prices represent all accessible, relevant information is referred to as…

Q: What advantages does the Cotton Gin have over previous technologies?

A: A cotton gin is a machine that separates cotton fibers from their seeds fast and efficiently,…

Q: Young people with little wealth should not invest money in risky assets such as the stock market,…

A: The capital market applies to financial markets that operate for the issuance, acquisition and sale…

Q: How economy plays a vital role in controlling stock prices.

A: A stock market, also known as an equity market or a share market, is a gathering of buyers and…

Q: What would be the effect of increased demand for the company's stock?

A: The very known law of Demand is quite applicable to the financial markets and an increase in the…

Q: If you have an idea of a product, a process or a service that you think will be in demand,…

A: In a market, an individual wants to operate a business with having an idea, process, and strategy…

Q: Suppose that a friend of yours recently opened her own business. She is happy because it generated…

A: An organization or entrepreneurial entity engaging in commercial, industrial, or professional…

Q: Suppose sale of a firm is $22,000 and change in stock is $ 38,000 what would be the value of output?

A: According to question we are given that  sales =$22,000 Change in stock=$38000 we have to find value…

Q: Firms raise capital by:

A: The meaning of raising capital is the funds which investor or a lender gives for either starting a…

Q: Why do we use the present value of an asset or investment as basis for its value?

A: Present Value:- Amounts of money presently are valued higher than the same quantity in the future,…

Q: Calculate the value of profits if corporate tax is $200 million, dividend is $60 million and…

A: The information being given to us is as follows:- Corporate tax = $200 million Dividend = $60…

Q: How is a firm's net income important?

A: Net income is earned by the company or individual after deducting expenses and taxes. It is also…

Q: What are some of the major factors affecting the stock price?

A: The six factors that affect the stock option prices are: 1) Underlying Price: The current stock…

Q: Classify different types of investments?

A: Investments are classified into three types of investment which are equity investment, debt…

Q: If no funds are available for investment, what can the firm do?

A: If the firms want to make an investment and it has no funds available then these funds can be…

Q: Corporations often offer ________ to investors as some tangible evidence that the corporation is…

A: Meaning of Financial Assets: The term financial assets refer to the situation, under which these…

Q: Which of the following would count as valid evidence against the efficient markets hypothesis? (a)…

A: Efficient market hypothesis involves fluctuations in prices of stock market companies.

Q: How will your analysis assist you in determining the direction of the stock market?

A: The macroeconomics also include several factors for study of the stock market. To have a prescient…

Q: Give examples of companies whose business was either helped or hurt by changes in supply or demand…

A: One of the most fundamental ideas in economics and a market economy is supply and demand. As a…

Q: When financial analysts talk about “firm value” or “market value”, what views do they take? What are…

A: The value, or market capitalization, of an organization, is one piece of the organization's…

Financial Statements

Financial statements (or financial reports) are the formal records of the financial activities that are undertaken by a firm. They are convenient instruments used for analyzing a company’s financial position and performance. Financial ratios are created with the help of the numerical values that are derived from the financial statements. They give meaningful information about the financial performance of the company.