Mackenzie and Eli can produce two goods: lunches and dinners. Mackenzie can produce 36 lunches or 45 dinners in single day and Eli can produce 60 lunches or 50
dinners in a single day. Which of the following statements is true?

A. Eli has absolute advantage in producing both goods but Mackenzie has comparative
advantage in producing dinners, therefore both may benefit if Eli specializes in
lunches and Mackenzie specializes in dinners.

B. Eli has absolute advantage in the production of both goods and therefore has no
potential benefit from specializing and trading with Mackenzie.

C. Eli has absolute advantage in the production of lunches and therefore should
specialize in the production of lunches and Mackenzie should specialize in the
production of dinners.
They produce more lunches, and therefore would be better off producing only lunches
and not trading.

D. Eli has comparative advantage in both goods and therefore has no potential benefit
from specializing and trading with Mackenzie.

If a firm plans to issue new stock, flotation costs (investment bankers' fees) should not be ignored. there are two approaches to use to account for flotation costs. the first approach is to add the sum of flotation costs for the debt, preferred, and common stock and add them to the initial investment cost. because the investment cost is increased, the project's expected return is reduced so it may not meet the firm's hurdle rate for acceptance of the project. the second approach involves adjusting the cost of common equity as follows: . the difference between the flotation-adjusted cost of equity and the cost of equity calculated without the flotation adjustment represents the flotation cost adjustment. quantitative problem: barton industries expects next year's annual dividend, d1, to be $1.90 and it expects dividends to grow at a constant rate g = 4.3%. the firm's current common stock price, p0, is $22.00. if it needs to issue new common stock, the firm will encounter a 6% flotation cost, f. assume that the cost of equity calculated without the flotation adjustment is 12% and the cost of old common equity is 11.5%. what is the flotation cost adjustment that must be added to its cost of retaine

1. what must one do to perform the essential managerial task of controlling in achieving organizational goals? a. motivate, coordinate, and energize individuals and groups to work together to achieve organizational goals b. choose appropriate organizational goals and courses of action to best achieve those goals c. establish task and authority relationships that allow people to work together to achieve organizational goals d. establish accurate measuring and monitoring systems to evaluate how well the organization has achieved its goals

The discussion of the standards for selection of peanuts that will be used in m& ms and the placement of the m& m logo on the candies speaks to which building block of a sustainable competitive advantage: