Answer:
1. $5,450
2. a) There will be an unplanned decrease in inventories, and real GDP will increase next period.
Explanation:
1. GDP (Y) is the total economic output and can be calculated using the Expenditure method which is;
Y = C + I + G + X
Y = (400 + 0.80(Y - 450)) + 500 + 450 + 100
Y = 400 + 0.80Y - 360 + 500 + 450 + 100
Y - 0.80Y = 1,090
0.2Y = 1,090
Y = $5,450
2. With Equilibrium GDP being higher than the Real GDP of the country, the excess Demand (GDP is aggregate demand) will lead to more consumption in the Economy which will lead to an unplanned decrease inventories. This will then spur companies to produce more to meet the higher demand causing Real GDP to go up.
Great Lakes Packing has two bond issues outstanding. The first issue has a coupon rate of 3.82 percent, a par value of $1,000 per bond, matures in 6 years, has a total face value of $5.2 million, and is quoted at 103 percent of face value. The second issue has a coupon rate of 6.59 percent, a par value of $1,000 per bond, matures in 14 years, has a total face value of $9.5 million, and is quoted at 107 percent of face value. Both bonds pay interest semiannually. The company's tax rate is 35 percent. What is the firm's weighted average aftertax cost of debt
Answer:
3.22%
Explanation:
we must first determine the yield to maturity of both bonds in order to determine their before tax cost of debt:
YTM = {coupon + [(face value - market value)/n]} / [(face value + market value)/2]
YTM Bond₁ = {19.10 + [(1,000 - 1,030)/12]} / [(1,000 + 1,030)/2] = 16.6 / 1,015 = 0.01635 x 2 = 3.27%
YTM Bond₂ = {32.95 + [(1,000 - 1,070)/28]} / [(1,000 + 1,070)/2] = 0.0294 x 2 = 5.88%
firm's weighted after tax cost of debt = {[($5.2 / $14.7) x 3.27%] x (1 - 0.35)} + {[($9.5 / $14.7) x 5.88%] x (1 - 0.35)} = 0.75% + 2.47% = 3.22%
One implication of the bird-in-the-hand theory of dividends is that a given reduction in dividend yield must be offset by a more than proportionate increase in growth in order to keep a firm's required return constant, other things held constant.
a. True
b. False
Answer:
False ANSWER: True o One implication of the bird-in-the-hand theory of dividends is that a given reduction in dividend yield must be ...
Explanation:
follow mw
he ability to hire, motivate, and retain human capital is an example of ________ capabilities in the resource-based view of the firm.
Answer:
Organizational capabilities
Explanation:
The ability to hire, motivate, and retain human capital is an example of organizational capabilities in the resource-based view of the firm.
An organizational capability is the ability of a firm to manage resources, such as it's employees, effectively which will give them an edge over competitors. Organizational capabilities differntiates a firm from competitors.
You have a $4 million portfolio consisting of a $100,000 investment in each of 20 different stocks. The portfolio has a beta of 1.1. You are considering selling $100,000 worth of one stock with a beta of 0.9 and using the proceeds to purchase another stock with a beta of 1.4. What will the portfolio’s new beta be after these transactions? Show your work.
Answer:
1.1125
Explanation:
the relative weight of the stocks that you are selling is $100,000/$4,000,000 = 0.025 = 2.5% of the portfolio
this means that their effect on the portfolio's beta was 0.9 x 0.025 = 0.0225
the new stocks that you want to purchase have a beta of 1.4 and their relative effect on the portfolio's beta will be 1.4 x 0.025 = 0.035
the difference between both stocks = 0.035 - 0.0225 = 0.0125
that means that the portfolio's new beta = 1.1 + 0.0125 = 1.1125
3. When Blackstone investment company borrowed funds to buy out the stockholders of Busch Entertainment, it was participating in a(n)
Answer: c. Leveraged Buyout
Explanation:
A Leveraged buyout as the term suggests, is when a buyout is sponsored mainly by the use of debt. In Business Leveraged Buyouts usually occur when either the management, employees or private investors buys out or attempts to buy out the Shareholders of a company by using debt funding so that they can then own the company. The debt is acquired by using both assets of the company being bought and that of the company buying (unless they do not have any) as collateral.
When Blackstone investment company borrowed funds to buy out the stockholders of Busch Entertainment, it was participating in a Leveraged Buyout.
what is the most important function of a leader within an organization
Answer:
Leadership is the action of leading people in an organization towards achieving goals. Leaders do this by influencing employee behaviors in several ways. A leader sets a clear vision for the organization, motivates employees, guides employees through the work process and builds morale.
Explanation:
Answer:
building consouis
Explanation:
i hopppeee this helps :)
Intense rivalry involving actions and responses among similar competitors vying for the same customers in a marketplace is known as _____________.
Answer:
competitive dynamics
Explanation:
The term that is being described in this question is known as competitive dynamics. Like mentioned, this is the study of the rivalry between various firms that is made up of their competitive actions/responses, their micro/macro level context, and even their antecedents and consequences. Which all-in-all add up to their effort on acquiring the same customers as their client.
Rediger Inc., a manufacturing Corporation, has provided the following data for the month of June. The balance in the Work in Process inventory account was $40,000 at the beginning of the month and $26,000 at the end of the month. During the month, the Corporation incurred direct materials cost of $58,600 and direct labor cost of $33,400. The actual manufacturing overhead cost incurred was $54,800. The manufacturing overhead cost applied to Work in Process was $54,600. The cost of goods manufactured for June was:
Answer:
$160,600
Explanation:
The computation of the cost of goods manufactured is shown below:
= Direct material cost + direct labor cost + manufacturing cost applied + beginning work in process - ending work in process
= $58,600 + $33,400 + $54,600 + $40,000 - $26,000
= $160,600
Hence, the cost of goods manufactured for June is $160,600
Consider a potential merger between two hypothetical beer companies. Prior to the merger, the first, Ann Hy, is worth $150 billion and the second, Czar Bosch, is worth $100 billion. If they merge, they will gain $30 billion in increased value from reduced costs and additional sales (in present discounted value). Thus the combined value of the new entity (called Ann Hy-Czar Bosch) would be $280 billion. How much more could Czar Bosch hope to get by using the theory of the pie instead of proportional division
Answer:
$3 billion more
Explanation:
Calculation of the amount that Czar Bosch could hope to get by using the theory of the pie instead of proportional division
If we are to use the theory of the pie instead of the proportional division this means that when using the proportional division, their would be likelihood that Czar Bosch would get an amount that is proportional to their market cap, 40% of the $30 billion, or $12 billion and in a situation where the they decide to split the pie this means that Czar Bosch would either get$15 billion or $3 billion more
.
if the broker dies or loses her license, the state's real estate licensing agency may choose to appoint a ________ to close any transactions that are pending.
Answer:
temporary broker
Explanation:
A temporary broker is someone who is charged with responsibility of closing, or winding up the existing or pending business of a permanent or original licensed broker, in the event that, the original licensed broker dies or loses her license.
To become a temporary broker, the state's real estate licensing agency will issue a temporary license as a broker to a licensed or unlicensed person for a period of not more than ninety days and will not be extended, except on a special cases such as personal representative.
Hence, if the broker dies or loses her license, the state's real estate licensing agency may choose to appoint a TEMPORARY BROKER to close any transactions that are pending.
Money can be many things, but it is NOT Group of answer choices a financial liability liguid illiguid a financial asset
Answer:
illiquid
Explanation:
Liquidity refers to how fast an asset can be converted to cash. Money is already cash, so it is the most liquid financial asset
A new operating system for an existing maching is expected to cost $786000 and have a useful life of six years. The system yields an incremental after-tax income of $230000 each year after deducting its straight line depreciation. The predicted salvage value of the system is $90000. Assume the company requires a 10% rate of return on its investments. Compute the net present value of each potential investment.
Answer:
NPV is $771,739
Explanation:
As we know that:
Net Present Value = Present Value of Cash inflow (STEP 1) - Present Value of Cash outflow
STEP 1. Present Value of Cash Inflow
Here
Present Value of Cash Inflow = Annuity of Annual Cash flow - PV of Scrap Value
Annual Cash flow is $346,000 ($230,000 + ($786,000 - $90,000)/6)
So
Annuity of annual cash inflow = $346,000 * Annuity Factor
Here
Annuity Factor for 6 years is 4.3553
Now this means that:
Annuity of annual cash Inflow = $346,000 * 4.3553 = $1,506,934
Present Value of Residual Value ($90,000 * 0.5645) = $50,805
Present Value of cash inflows $1,557,739
Now putting values in the above equation, we have:
Net Present Value = $1,557,739 - $786,000
Net Present Value = $771,739
Consider the following $1,000 par value zero-coupon bonds: Bond Years to Maturity Yield to Maturity A 1 6.00 % B 2 7.00 % C 3 7.99 % D 4 9.41 % E 5 10.70 % The expected 1-year interest rate 4 years from now should be _________.
Answer:
16.01%
Explanation:
The expected 1-year interest rate 4 years from now is determined using the below formula:
The expected 1-year interest rate 4 years=(1+YTM5)^5/(1+YTM4)^4-1
YTM5 is the yield to maturity in year 5 i.e 10.70%
YTM4 is the yield to maturity in year 4 i.e 9.41%
The expected 1-year interest rate 4 years=(1+10.70%)^5/(1+9.41%)^4-1
The expected 1-year interest rate 4 years=16.01%
Profit or Loss on New Stock Issue Security Brokers Inc. specializes in underwriting new issues by small firms. On a recent offering of Beedles Inc., the terms were as follows: Price to public: $5 per share Number of shares: 3 million Proceeds to Beedles: $14,000,000 The out-of-pocket expenses incurred by Security Brokers in the design and distribution of the issue were $340,000. What profit or loss would Security Brokers incur if the issue were sold to the public at the following average price? $5 per share? Use minus sign to enter loss, if any. $ $6.25 per share? Use minus sign to enter loss, if any. $ $4.25 per share? Use minus sign to enter loss, if any.
Answer and Explanation:
The computation of profit or loss is shown below:
The formula used is
= (Price × number of shares) - proceeds to Beedles - out of pocket expenses
a. For $5 per share
= ($5 × 3 million shares) - $14,000,000 - $340,000
= $15,000,000 - $14,000,000 - $340,000
= $660,000
b. For $6.25 per share
= ($6.25 × 3 million shares) - $14,000,000 - $340,000
= $18,750,000 - $14,000,000 - $340,000
= $4,410,000
c. For $5 per share
= ($4.25 × 3 million shares) - $14,000,000 - $340,000
= $12,750,000 - $14,000,000 - $340,000
= -$1,590,000
On Mar 3, Lyons Company paid dividends of $1,000. Use your knowledge of what a correct journal entry should look like to identify what would be included.
a. Dividends would be debited and listed first.
b. Dividends would be credited and listed second.
c. Cash would be credited and listed second.
d. Dividends expense would be debited and listed first.
e. Cash would be debited and listed first
Answer:
Cash would be credited and listed second.
Dividends would be debited and listed first.
Explanation:
The journal entry that must be passed as Cash would be credited and listed second, and Dividends would be debited and listed first. Thus, option A and C are correct.
What is Dividend?A dividend is a profit distribution made by a firm to its shareholders. When a business makes a profit or has a surplus, it can distribute a portion of the earnings to shareholders as a dividend. Any money that is not dispersed is re-invested in the company.
Dividends are typically paid out quarterly and might be either in cash or in the form of more stock reinvestment.
Cash would be credited and listed second in the journal entry, while dividends would be debited and listed first. As a result, options A and C are correct.
Learn more about Dividend here:
https://brainly.com/question/29510262
#SPJ2
Kenneth Washington's weekly gross earnings for the week ending December 18 were $3,460, and his federal income tax withholding was $726.6. Assuming the social security rate is 6% and Medicare is 1.5% of all earnings, what is Washington's net pay? If required, round your answer to two decimal places.
Answer:
$2,473.9
Explanation:
The computation of net pay is shown below:-
Net pay = Gross pay - Federal income tax withholding - Social security tax - Medicare tax
= $3,460 - $726.6 - ($3,460 × 6%) - ($3,460 - 1.5%)
= $3,460 - $726.6 - $207.6 - $51.9
= $2,473.9
Therefore for computing the net pay we simply applied the above formula i.e the three above taxes are subtracted from the gross pay to arrive net pay
LSM subcontracted with Henry Isaacs Home Remodeling and Repair (Isaacs) to perform the roofing work on the project. Isaacs in turn subcontracted with Hal Brewster Home Improvements (Brewster), to conduct the roofing work on Isaacs' behalf. When Brewster performed work on the roof, he "botched the job" and caused extensive leaking inside the house. LSM and Issacs attempted to correct the problems, but eventually abandoned the project, leaving Logan-Baldwin to hire others to complete the renovations. Logan-Baldwin sued LSM, Isaacs, and Baldwin for breach of contract. Isaacs sought to dismiss Logan-Baldwin's claim against it, arguing no privity of contract existed between themselves and Logan-Baldwin, and therefore Isaacs should not be liable for any damages.
Required:
Does Logan-Baldwin have contract rights over Isaacs as an intended third-party beneficiary?
1. Because Henry Isaacs delegated its duty to repair the roof to Brewster, Henry Isaacs remains responsible for Brewster's failure to install the new roof on the residence properly.
a. True
b. False
2. Logan-Baldwin is entitled to compensatory damages (covering the cost of hiring other contractors to fix the roof) caused by the breach of contract by LSM and Henry Isaacs.
a. True
b. False
3. Logan-Baldwin qualified as a third party creditor beneficiary of the contract between LSM and Henry Isaacs and the contract between Henry Isaacs and Brewster, even if Logan-Baldwin is not named in those contracts.
a. True
b. False
4. Palisades Plaza is not entitled to damages for breach contract by LSM, Henry Isaacs, and Brewster unless Palisades Plaza has clean hands and has tendered performance under the contract.
a. True
b. False
5. If the agreement between Henry Isaacs and Brewster to install a new roof is a novation, Henry Isaacs is not liable for breach of contract for the failure to install the new roof properly.
a. True
b. False
Answer:
1. true
2. true
3. false
4. true
5. false
1. A small-scale businessman deposits money at the beginning of each year into his savings account, depending on the level of the business’ returns. He deposits $1000 in the first year, $3000 in the second year, $5000 in the third and $7000 in the fourth year and annual interest rate of 7%. What is the value of the investment at the time of his first deposit?
Answer:
The value of the investment at the time of his first deposit is $1,000.
At the end of the first year, the investment will be worth $1,070.
Explanation:
The value of a deposit investment is determined by the interest rate and time. Time affects the value of an investment by this small-scale businessman in many ways. The passage of time increases the value of his investment. However, the total increase may not be due to the interest rate, but inflation also affects asset's value. For this businessman to make a gain in the investment, the interest rate must be higher than the inflation rate. Otherwise, the investment loses money due to the effects of inflation, which reduces the real value of an asset over time.
Fernando Designs is considering a project that has the following cash flows and WACC data. What is the project's discounted payback period? (6 points) What is the project’s modified internal rate of return?
Answer:
Discounted Payback period 3 years
Modified Internal rate of return 4.833%
Explanation:
Fernando Designs has following cash flows ,
year 1 : -$900
Year 2 : $500
Year 3 : $500
Year 4 : $500
Using 10% discount factor the cashflows will be,
discounted values
Year 1 : -900
Year 2 : 454.54
Year 3 : 445.45
Year 4 : 4132231
Payback period is -900 + 454.54 +445.45 = 3 years.
Modified Internal rate of return; [tex]\sqrt[n]{\frac{FV of cash inflows}{PV of cash outflow} }[/tex]
[tex]\sqrt[4]{\frac{1314}{900} }[/tex] = 4.833%
Gift property (disregarding any adjustment for gift tax paid by the donor): a.Has the same basis to the donee as the donor's adjusted basis if the donee disposes of the property at a gain. b.Has the same basis to the donee as the donor's adjusted basis if the donee disposes of the property at a loss, and the fair market value on the date of gift was less than the donor's adjusted basis. c.Has a zero basis to the donee if the fair market value on the date of gift is less than the donor's adjusted basis. d.Has no basis to the donee because he or she did not pay anything for the property.
Answer: Has the same basis to the donee as the donor's adjusted basis if the donee disposes of the property at a gain.
Explanation:
For a gifted property, it should be noted that the tax basis for a donee that is, the person who gets the gift will be identical to that of the donor, this is, the person that donates the gift in cases whereby the property is gotten as a gift.
Therefore, a gift property disregarding any adjustment for gift tax paid by the donor will have the same basis to the donee as the donor's adjusted basis if the donee disposes of the property at a gain.
The trial balance for Skysong, Inc. appears as follows: Skysong, Inc. Trial Balance December 31, 2022 Cash $280 Accounts Receivable 480 Prepaid Insurance 75 Supplies 166 Equipment 3680 Accumulated Depreciation, Equipment $550 Accounts Payable 353 Common Stock 1100 Retained Earnings 1290 Service Revenue 2768 Salaries and Wages Expense 920 Rent Expense 460 $6061 $6061 If, on December 31, 2022, the insurance still unexpired amounted to $18, the adjusting entry would contain a:
Answer:
Debit Insurance expenses for $57
Credit Prepaid insurance for $57
Explanation:
From the Trial Balance, Prepaid Insurance is $75. Since on December 31, 2022, the insurance still unexpired amounted to $18, the insurance expenses for the year can therefore be calculated as follows:
Insurance expenses = $75 - $18 = $57
The adjusting entries will therefore be as follows:
Particulars Dr ($) Cr ($)
Insurance expenses 57
Prepaid insurance 57
(To record insurance expenses for the year.)
Note that the amount of $18 unexpired insurance will now be the Prepaid insurance that will appear as an asset under the Current Asset in the balance sheet, while the $57 insurance expenses will be charged as an expense in the income statement.
Motors is a chain of car dealerships. Sales in the fourth quarter of last year were $4,600,000. Suppose management projects that its current year's quarterly sales will increase by 3% in quarter 1, by another 7% in quarter 2, by another 5% in quarter 3, and by another 4% in quarter 4. Management expects cost of goods sold to be 45% of revenues every quarter, while operating expenses should be 30% of revenues during each of the first two quarters, 25% of revenues during the third quarter, and 20% during the fourth quarter.Required:a. Prepare a budgeted income statement for each of the four quarters and for the entire year.b. Prepare the first portion of the budgeted income statement through gross profit, then complete the statement.
Answer:
Budgeted Income Statement for each of the four quarters and for the entire year
Quarter 1st 2nd 3rd 4th
Sales $4,738,000 $5,069,660 $5,323,143 $5,536,069
Cost of Sales ($2,132,100) ($2,281,347) ($2,395,414) ($2,491,231)
Gross Profit $2,605,900 $2,788,313 $2,927,729 $3,044,838
Operating Costs ($1,421,400) ($1,520,898) ($1,330,786) ($1,107,214)
Operating Profit $1,184,500 $1,267,415 $1,596,943 $1,937,624
Explanation:
Pay attention to the calculation of the following amounts :
Sales - These are based on increments per quarterCost of Sales - The Cost for quarter is at 45% of RevenueOperating Costs - Based on Sales amounts ( 30 % in the first two quarters , 25% in third and 20% in the 4th quarter.)A stock has a beta of 1.28, the expected return on the market is 12%, and the risk-free rate is 4.5%. Using the CAPM, what is the expected return on this stock
Answer:
14.10%
Explanation:
The calculation of expected return on this stock is shown below:-
Expected rate of return = Risk-free rate of return + Beta × (Market rate of return - Risk-free rate of return)
= 4.5% + 1.28 × (12% - 4.5%)
= 4.5% + 1.28 × 7.5%
= 4.5% + 9.6%
= 14.10%
The Market rate of return - Risk-free rate of return) is also called as the market risk premium
hence, the expected rate of return is 14.10%
DeLong Corporation was organized on January 1, 2017. It is authorized to issue 14,500 shares of 8%, $100 par value preferred stock, and 450,000 shares of no-par common stock with a stated value of $3 per share. The following stock transactions were completed during the first year.
Jan. 10 Issued 84,500 shares of common stock for cash at $6 per share.
Mar. 1 Issued 5,150 shares of preferred stock for cash at $110 per share.
Apr. 1 Issued 23,500 shares of common stock for land. The asking price of the land was $91,000. The fair value of the land was $81,500.
May 1 Issued 84,000 shares of common stock for cash at $5.00 per share.
Aug. 1 Issued 10,000 shares of common stock to attorneys in payment of their bill of $39,500 for services performed in helping the company organize.
Sept.1 Issued 11,500 shares of common stock for cash at $7 per share.
Nov. 1 Issued 2,000 shares of preferred stock for cash at $111 per share.
Journalize the transactions.
Answer:
Jan. 10
Cash $507,00 (debit)
Common Stock $507,00 (credit)
Mar 1
Cash $566,500 (debit)
Preferred Sock $515,000 (credit)
Share Premium : Preferred Stock $51,500 (credit)
April 1
Land $91,000 (debit)
Common Stock $91,000 (credit)
May 1
Cash $420,000 (debit)
Common Stock $420,000 (credit)
Aug 1
Legal Expenses : Attorneys bill $39,500 (debit)
Common Stock $39,500 (credit)
Sept 1
Cash $80,500 (debit)
Common Stock $80,500 (credit)
Nov 1
Cash $222,000 (debit)
Preferred Sock $200,000 (credit)
Share Premium : Preferred Stock $22,000 (credit)
Explanation:
Common Stocks are at no par value:
This means that ,
1.When Common Stocks are Issued, the value is the issue price there is no share premium reserve on it.
2. For consideration paid in Common Stocks, value of stocks would be the same as the cost at initial recognition. For example the Purchase of Land on April 1. Initial recognition is at Asking Price of $91,000. Hence common stocks are issued at $91,000.
Preference Stocks are at $100 par
This means that,
1.Any issue of Preference Stock made in excess of par value is accounted in the Preference Share Premium Reserve.
a) While excavating, the Contractor hits a rock layer. Since the plans and soil report did not mention such rock, the contractor files a claim under: i. Force majeure. ii. Differing site conditions. iii. Design errors/omissions. iv. Unusual weather conditions. v. Changes in owner’s requirements.
Answer:
Differing site conditions
Explanation:
A differing site condition is a condition that has been changed. Since the plan did not mention this rock, the contractor can file a claim under this.
It is a hidden physical condition that is discovered at a site which is actually different from what was expected. It can also be regarded as unforeseen site condition.
g The Federal Reserve can lower short-run output by Group of answer choices lowering the real interest rate. increasing the money supply. decreasing the money supply. lowering the nominal interest rate. None of these answers is correct
Answer: Decreasing the money supply
Explanation:
When the Fed reduces money supply, it will remove the amount of excess money that people have to spend in the economy. This will lead to prices reducing because people no longer have a lot of money to spend on products therefore they will demand less goods. This will lead to the Aggregate demand curve shifting to the left. The new intersection with the Aggregate Supply curve will be at a point where prices will be lower and less quantity will be demanded which will signify a drop in the short-run output of the economy.
A bond's credit ratingt provides a guides to its risk. suppose that long term bonds Aa currently offers yield to mjaturity of 7.5%. A-rated bonds sell at yields of 7.8%. Sud- pose that a 10-year bond with a coupon rate of 7.6% is downgraded by Moody's from an Aa to A rating.
Required:
a. Is the bond likely to sell above or below par value before the downgrade?
b. Is the bond likely to sell above or below par value after the downgrade?
Answer:
a.- above par (premium)
b.- below par (discount)
Explanation:
Currenly the bonds par yield will be of 7.6%
Before the downgrade the expected return on that risk was 7.5% so it was above par.
Once the downgrade occurs: the expected return considering the increased risk is 7.8% Therefore the market price will decrease. This will move the yield to maturity from 7.5% to 7.8% and the market price below par.
Average costs _______initially due to the presence of fixed costs and then rise due to _________ a. rise; increasing fixed costs b. fall; decreasing marginal costs c. fall ; increasing marginal costs d. rise; decreasing fixed costs
Answer:
C. fall; increasing marginal costs.
Explanation:
Option C is the correct answer because initially, the average costs fall due to increasing return or production of more units. When output increases, the average fixed cost slopes downwards. Moreover, when the average cost falls, marginal cost also falls and it starts rising as the marginal cost cuts the average cost at its minimum point. However, after cutting at the minimum point, marginal cost increases, and due to which average cost also increases.
"A market maker enters a quote of $20.50 Bid; $21.00 Ask; with a size of "5 x 5" into the NASDAQ System. If a market order to buy is entered into the system for 1,500 shares, and this dealer's quote is matched, the market maker will be obligated to sell:"
Answer: 500 shares at $21.00
Explanation:
A market maker is one who buys and then sells security from which the stated market is made into, and using the account of the the firm. It should be noted that a market order to buy will have to be matched in sequence.
Therefore, if a market order to buy is entered into the system for 1,500 shares, and this dealer's quote is matched, the market maker will be obligated to sell 500 shares at $21.00.
A researcher who has no concern for issues of control or ability to generalize, instead choosing focus on providing rich descriptions would be following the _________ approach.
A. positivistic/empirical
B. interpretive
C. critical
D. scientific
Answer:
B. interpretive
Explanation:
A researcher who has no concern for issues of control or ability to generalize, instead choosing focus on providing rich descriptions would be following the interpretive approach.
In an interpretive approach to research, researchers are mainly focused on deciphering detailed meaning or rich descriptions so they can have a better understanding of the subject matter.
Under interpretive study, it is assumed that the meaning associated with matters are subjective and inter-subjective depending on their perception, thus researchers attempt to understand matters through the meanings attached by individuals in the sampling population.
Hence, interpretive researchers assume that issues are not singular or objective but depends on various human experiences.