subject
Business, 12.08.2020 07:01 balla40

Decker's is a chain of furniture retail stores. Furniture Fashions is a furniture maker and a supplier to Decker's. Decker's has a beta of 1.34 as compared to Furniture Fashion's beta of 1.14. The risk-free rate of return is 3.6 percent and the market risk premium is 8 percent. Both firms are all equity financed. What discount rate should Decker's use if it considers a project that involves the manufacturing of furniture?

ansver
Answers: 1

Another question on Business

question
Business, 21.06.2019 21:00
Jameson manages a well-known cell phone company. this company has been voted as having the best cell-phone service. consumers appreciate the fact that they can call from almost anywhere in the world and the service still gets through. jameson knows that the company's product far surpasses that of the competition. one thing has been bothering him, though. in order to put so many resources into ensuring the best service, jameson has cut back on employees at the firm's customer call center. recently, consumers have begun complaining about long wait times when they call in with a problem or concern. although its cell phone service is still considered one of the best, customer satisfaction with the firm's customer service has plummeted. jameson does not understand why consumers are getting so upset. he believes the exceptional cell phone service more than makes up for long waiting periods and other issues with its customer service. "after all," he says, "they can't have it all. if i invest more in customer service, that means less investment on ensuring the quality of our product offering."refer to scenario. jameson has asked you, a marketing consultant, to give him advice. he cannot understand how a cell-phone company with the best product offering in the cell-phone service industry could get such low satisfaction ratings simply because the customer service is not up to par. you suggest that jameson has a narrowly defined view of the company's product offering. you tell jameson that successful marketers should define their products as what they
Answers: 2
question
Business, 21.06.2019 22:30
Before contacting the news or print media about your business, what must you come up with first ? a. a media expertb. a big budgetc. a track recordd. a story angle
Answers: 1
question
Business, 22.06.2019 13:40
Computing equivalent units is especially important for: (a) goods that take a relatively short time to produce, such as plastic bottles. (b) goods with sustainability implications in their production processes. (c) goods that are started and completed during the same period. (d) goods that take a long time to produce, such as airplanes.
Answers: 2
question
Business, 22.06.2019 18:20
Principals are an administration career
Answers: 2
You know the right answer?
Decker's is a chain of furniture retail stores. Furniture Fashions is a furniture maker and a suppli...
Questions
question
Mathematics, 20.02.2020 06:07
question
Mathematics, 20.02.2020 06:07
question
Mathematics, 20.02.2020 06:07
question
History, 20.02.2020 06:07
Questions on the website: 13722363