(WACC) = 0.6× [(1-0.44)10.25] + 0.4 × 18.49 = 10.83% Did you use arithmetic or geometric averages to measure rates of return? We used arithmetic average to determine the annual rate of return. As rate of return calculated using arithmetic average gives higher return compared to geometric average, investors are more likely to estimate their future return based on arithmetic average measure. Hence we use arithmetic average to measure the rate of return to match the expected rate of return required by investors. What type of investments would you value using Marriott’s WACC?
In 1970, minerals and agriculture are the main revenue in Malaysia economy. After 1980, under the president of Malaysia Mahathir implemented National Development Policy the industry has been leading the economic growth of Malaysia. Why Malaysia can changes economics model successful? Due to Malaysia have many nature resource, a steady political situation and location. 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 RGDP 5.3 5.9 6.3 4.6 -1.7 7.2 5.1 5.6 4.7 6.0 2.0 Economics Growth These table and line chart are showing Malaysia
Quarterly Journal of Economics. 76(1), pp.163-166 15. Kee, H.L., Neagu, C. and Nicita, A. (2013) 'Is protectionism on the rise? Assessing national trade policies during the crises of 2008. '
As of 2015 this would be 118.85 / 2551.71 ie., 4.66% Hence WACC would be as follows: 1. As a team we can after careful analysis observe that Tesla’s present business strategy is concentrating upon the upper middle and the affluent class of the society. A huge market that lies untapped is the developing countries wherein an economic version of the battery cars with few modifications to create economy can benefit the company with a huge market share. This may in turn result in the increase in volume and hence gross revenue of the company. 2.
Herzer, (2012), studied on how FDI investment affects developing countries growth including Ghana from 1970 to 2005. By employing the dynamic ordinary least square, his results showed that there was a positive relationship between Ghana´s FDI and GDP growth. The results revealed a + 0.1529 coefficient which means, a 1% increase in FDI will lead to a 0.1529% in GDP. He also documented through the use of panel cointegration technique that reducing FDI volatility will lead to economic
837-847 Published by: American Association for the Advancement of Science Stable URL: http://www.jstor.org/stable/1727596 Accessed: 20-07-2016 10:12 UTC Harald Frederiksen in his paper “Feedbacks in Economic and Demographic Transition” tried to make a comparison between Neo-Malthusian model and the alternative model. One of the major factors affecting the economic development is the demographic transition. According to the Neo-Malthusian model, if population is not reduced (either by decreasing birth rate or increasing death rate) there will be no economic development. This model considers drop in mortality as a cause of population growth while the alternative model consider it as a solution to the problem of increasing population, if accompanied by reducing fertility rate. This does not mean
It illustrates that whenever the stock market development increases by 1%, ROE will fall by 0.23%. A highly developed non-banking financial sector may apply competitive pressure on the banking sector since it is discussed that there is a positive association between market capitalisation and competition. This coefficient is not significant with a p-value greater than 0.05 and t-ratio higher than 1.96. Financial market does not have so much influence on profitability of banks. 4.1.1.6 Real growth rate For economic growth the coefficient is negative which explain that a fall of 1% in economic growth would result in a reduction of 0.735%.
The most basic application of the Lucas model is to price equity in an economy with i.i.d. consumption growth and a representative infinitely lived and intertemporally maximizing consumer with time-separable utility. Over the past decades, numerous studies have investigated the effects of relaxing various assumptions of this model to explain financial market phenomena such as the remarkable variation in asset prices and expected stock returns, the development and bursting of bubbles, and the puzzling high equity premium. Mehra and Sah [2002] suggested that elasticity offers a simple but powerful representation of the influence of fluctuations in the denominator variable on the volatility of the numerator variable. More importantly, elasticity is unit-free, and thus can be considered a convenient measurement that captures sentiment induced fluctuations in financial markets.
Review on CO2 Emission from Transportation Sector in Malaysia. OSR Journal of Environmental Science, Toxicology and Food Technology (IOSR-JESTFT) e-ISSN: 2319-2402,p- ISSN: 2319-2399.Volume 9, Issue 5 Ver. I Dritsaki, C., & Dritsaki, M. (2014) . Causal relationship between energy consumption, economic growth and CO2 emissions: A dynamic panel data approach. International Journal of Energy Economics and Policy,4, 2, 125- 36 .
This concept focused more on economic sectors with no or little attention paid to space where some of the economic activities take place. The connectivity in managing the spatial development of towns/cities in relation to its economic potential and environmental issues were neglected. Neo-liberalism also neglected the societal issues/concerns; its concept was merely based on economics hence it collapsed during the 1997 recession. There was a concern that it should consider the role of space and the society in the economy and balanced the economic development to include environmental and social dimensions, and this was a ‘paradigm shift’ in terms of