Frances spends all of her money on paperback novels and donuts. In 2013, she earned $14.00 per hour, the price of a paperback novel was $7.00, and the price of a donut was $2.00. Which of the following give the nominal value of a variable? 1. Which of the following give the nominal value of a variable?
a. The price of a donut is $2.00 in 2013.
b. Rina's wage is $14.00 per hour in 2013.
c. Rina's wage is 2 paperback novels per hour in 2013.

2. Which of the following give the real value of a variable? Check all that apply.
a. The price of a paperback novel is 3.5 donuts in 2009.
b. Rina's wage is 7 donuts per hour in 2009.
c. Rina's wage is $14.00 per hour in 2009.

Which statement describes a monopoly? many firms produce identical products with no control over the market price. many firms produce differentiated products with control over market price. a single firm produces a product with no close substitutes and control over the market price. a single firm produces a product with many close substitutes and limited control over the market price.

Calculate the cost of each capital component—in other words, the after-tax cost of debt, the cost of preferred stock (including flotation costs), and the cost of equity (ignoring flotation costs). use both the capm method and the dividend growth approach to find the cost of equity. calculate the cost of new stock using the dividend growth approach. what is the cost of new common stock based on the capm? (hint: find the difference between re and rs as determined by the dividend growth approach and then add that difference to the capm value for rs.)assuming that gao will not issue new equity and will continue to use the same target capital structure, what is the company’s wacc? e. suppose gao is evaluating three projects with the following characteristics. each project has a cost of $1 million. they will all be financed using the target mix of long-term debt, preferred stock, and common equity. the cost of the common equity for each project should be based on the beta estimated for the project. all equity will come from reinvested earnings. equity invested in project a would have a beta of 0.5 and an expected return of 9.0%.equity invested in project b would have a beta of 1.0 and an expected return of 10.0%.equity invested in project c would have a beta of 2.0 and an expected return of 11.0%.analyze the company’s situation, and explain why each project should be accepted or rejected g

How does it the economy that banks offer incentives (like interest payments, deposit insurance, etc.) to get customers to deposit money with them?