Business High School




In
, people invest money in a company in exchange for the company’s
.


Answers

Answer 1

Answer:

In equity crowdfunding, people invest money in a company in exchange for the company’s shares

Explanation:

Equity crowdfunding is the process in which people invest in start up companies and early stage companies that have not been listed on a stock market in exchange for shares in that company. As a result of the investment, the person becomes a shareholder and makes profit when the company do well but if the company fails, shareholders make losses.

Startups and early-stage companies use this method to raise capital.

Related Questions

Meg's company decided to build an additional factory in a small community. When the community started a protest because of the negative impact the factory would potentially have, Meg's company promised to prevent and pay for any negative impact to the community. It also offered to build a community park to balance out the negative impact the factory might cause. Which moral standard of social responsibility is the business observing?

Answers

Answer:

Corporate Citizen Moral Standard

Explanation:

The reason is that the company have to meet its social standards and the legal requirements which the jurisdiction imposes on it, which is Corporate Citizen Moral Standard. Furthermore, for this reason the company has promised that they will try their best to prevent any negative impact and if there are such cases then it will compensate them as well, which is their legal requirement. They also had offered to build a community park which is the requirement of their social standards.

Define a Small Scale Enterprise as per ‘MSMED Act, 2006’.

Answers

Explanation:

the Government of India has in acted, small and medium enterprises development (MSMED) Act, 2006 in terms of which the definition of micro, small and medium enterprises is an enterprise where the investment in plant and machinery is more than rate 25 lakh but does not exceed rate.

The bicycle industry is made up of 100 firms with the long-run cost curve c(y) = 2 + (y2/2) and 60 firms with the long-run cost curve c(y) = y2/10. No new firms can enter the industry. What is the long-run industry supply curve at prices greater than $2?

Answers

Answer:

[tex]Y = 400 p[/tex]

Explanation:

Given that ;

The total cost for 100 firms is TC : [tex]2+ \dfrac{y_2}{2}[/tex]

The marginal cost of one firm will be:

[tex]MC_1 = \dfrac{\delta \ TC}{\delta y}[/tex]

[tex]MC_1 = \dfrac{\delta \ ( 2+ \dfrac{y_2}{2})}{\delta y}[/tex]

[tex]MC_1 = y[/tex]

So; Now , the marginal cost for the all 100 firms  is [tex]100 \ MC_1 = 100y = Y_1 = 100 P[/tex]

The total cost for 60 firms is [tex]TC_2 =\dfrac{y^2}{10}[/tex]

The marginal cost of one firm will be:

[tex]MC_2= \dfrac{2y}{10}[/tex]

[tex]MC_2= \dfrac{y}{5}[/tex]

The marginal cost for all the 60 firms will now be:

[tex]60*MC_2 = 60 * \dfrac{y}{5}[/tex]

[tex]5*60*MC_2=60y[/tex]

[tex]300MC_2 = 60 y = Y_2 = 300P[/tex]

Finally; the long run supply function is industry supply function and which is therefore determined as :

[tex]Y = Y_1 +Y_2[/tex]

[tex]Y =100p+ 300 p[/tex]

[tex]Y = 400 p[/tex]

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