Traditionally, the formulas used to express a firm's cost of equity are the dividend capitalization model and the capital asset pricing model (CAPM).
Explanation:
Generally, two risk components determine a firm's cost of equity. The first is the systematic risk associated with the broader equity market. All firms are exposed to this risk, and it cannot be mitigated through diversification.
The second risk component is the unsystematic risk associated with the firm in question. This risk, often reflected as beta, a measure of the stock's volatility in relation to the volatility of the broader market, can be mitigated via diversification.
These results are evidence of
"<span>
the endowment effect".</span>
The endowment effect<span>, in behavioral finance<span>, portrays a situation in which an individual qualities
something that they officially possess more than something that they don't yet
claim. Studies have indicated over and again that individuals will esteem
something that they effectively claim more to a comparable thing they don't
possess. It doesn't make a difference if the thing being referred to was bought
or gotten as a gift, the impact still stays.</span></span>
Answer:
D. Physiological.
Explanation:
Physiological Needs are the establishment of Maslow's hierarchy of needs and incorporate survival needs such as the requirement for sleep, nourishment, air, and proliferation. Physiological needs are the requirements we as a whole need separately for human survival.
Answer:
The correct answer is C. loyalty.
Explanation:
The segmentation on basis of customer loyalty is done on following grounds
• The most valuable market, channel, product and customer segments
• Key decision makers and influencers
• Critical needs and wants for each segment
• Future needs
• Measures of customer satisfaction and loyalty
• Brand and competitive equity benchmarking
• Value proposition alternatives for each segment
• A trade-off analysis for features vs. price