Diversify the business of firm a, Macroeconomics

Assignment Help:

The managers of Firm A recommend that Firm A purchase Firm B because the purchase will diversify the business of Firm A. Diversification of risks is a desirable strategy for individual shareholders, but if shareholders can diversify their risk by holding stock in Firm B, is there any reason for Firm A to purchase Firm B? Suppose labor turnover is costly, could that provide an efficiency saving to support the proposed purchased? (Hint: If output is less variable, labor employment can be steadier.)


Related Discussions:- Diversify the business of firm a

What do you mean by price index, Q. What do you mean by Price index? Be...

Q. What do you mean by Price index? Because we are only interested in percentage change of the price level and not particular value, we can divide every price level by a given

Evaluation of money, Ask question #Minimum 1 page words accepted#

Ask question #Minimum 1 page words accepted#

Monetary sector of the economy, how do i calculate how much the gorverment ...

how do i calculate how much the gorverment should spend if the MPC is 0.8 and 200million is requered to reach full employment ?

Production manager for widgets, Suppose you are the production manager for ...

Suppose you are the production manager for Widgets, Inc. Your job is to produce a fixed amount of output at the lowest cost possible. When you take over the position, you find that

Why are the imports subtracted - nominal gdp, Why are the imports subtracte...

Why are the imports subtracted when GDP is measured in expenditure approach? If you woke up in the working & found that nominal GDP has doubled overnight. what statistic wou

Lower price in restaurant, A restaurant/bar is analyzing its pricing of bee...

A restaurant/bar is analyzing its pricing of beer. It has determined that the price elasticity of demand for beer is 0.8, the cross-price elasticity for wine with respect to the pr

Graph, show on the market for cheese that impact of what happened in the mi...

show on the market for cheese that impact of what happened in the milk market.

Decrease the nominal deficit, Which of the following will decrease the nomi...

Which of the following will decrease the nominal deficit? A. An increase in taxes. B. An increase in the debt. C. An increase in government expenditures. D. An increase in interest

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd