A firm can spend its reported profits. True or False
Profits earned by a firm can be used for the declaring dividend or to invest in a project or can retain for the purpose of using them in near future.
Therefore, profits earned by the firm can be utilized by it at any time.
Answer: True.
1. True or False? The larger the firm's TIE ratio, the less times a firm can pay its interest expenses. 2. True or False? Your firm has a debt to equity ratio of 55%, and its biggest competitor has a debt to equity ratio of 66%. Based on this information, your firm is less levered. 3. True or False? A dividend payout ratio larger than 50% indicates a firm retains more than it pays out to shareholders. 4. True or...
True or false: Unrestricted bargaining refers to the amount of value a firm can claim that exceeds its added value. Select one: True False
Please determine whether the following sentence is true or false. And explain your answer. A firm is currently producing 100 units of output per day. The manager reports to the owner that producing the 100th unit costs the firm $5. The firm can sell the 100th unit for $4.75. The firm should continue to produce 100 units in order to maximize its profits.
According to US GAAP, no asset can be reported at fair value.
True or False
According to US GAAP, no asset can be reported at fair vale True False
Appeicate an economics expert answer True/False Questions 1
through 7
Name True/False Indicate whether the statement is true or false. 1.A competitive fim's profit will be increasing as long as marginal revenue is greater than marginal cost. a True b. False 2. The "competition" in monopolistically competitive markets is most likely a result of having many sellers in the market. a. True b. False 3. A profit-maximizing firm in a competitive market will decrease production when marginal cost exceeds average...
1) In Cournot equilibrium each firm chooses the quantity that maximizes its own profits assuming that the firm’s rival will continue to sell at the same price as before.In Cournot equilibrium each firm chooses the quantity that maximizes its own profits assuming that the firm’s rival will continue to sell at the same price as before. Q: Why it is false? 2) Suppose that the demand curve for an industry’s output is a downward-sloping straight line and there is constant...
Statement 1: A monopoly firm can make positive economic profits in the short run. Statement 2: A monopoly firm can make positive economic profits in the long run. Statement (1) and statement (2) are both false. Statement (1) and statement (2) are both true. Statement (1) is true; statement (2) is false. Statement (1) is false; statement (2) is true. Afirm finds that the profit-maximizing level of output, Q is equal to 100 units. At this quantity, P - $5,...
true or false? When a company pays its rent in advance, an asset is reported on the balance sheet.
the firm supply curve equals its MC curve? true or false?
True or False. The cost to maturity that a firm pays on its existing bonds equals the rate of return required by the market.