An insurance company must make payments to a customer of $10 million in 1 year and $4 million in 6 years. The yield curve is flat at 12%. a. If it wants to fully fund and immunize its obligation to this customer with a single issue of a zero-coupon bond, what maturity bond must it purchase? (Do not round intermediate calculations. Round your answer to 4 decimal places.) 2.44 years Maturity of zero coupon bond b. What must be the face value and market value of that zero-coupon bond? (Do not round intermediate calculations. Enter your answers in millions rounded to 2 decimal places. Omit the "$" sign in your response.) Face value Market value
Answers
a. The insurance company must purchase a zero-coupon bond with a maturity of 2.44 years to fully fund and immunize its obligation to the customer.
b. The face value of the zero-coupon bond must be $14,056,481.76, and its market value must also be $14,056,481.76.
a. To calculate the maturity of the required zero-coupon bond, we need to use the formula:
PV = \(FV / (1 + r)^t\)Where PV is the present value of the payments, FV is the face value of the bond, r is the yield rate, and t is the time to maturity.
Using this formula for the two payments, we get:
PV1 = 10 million / \((1 + 0.12)^1\) = 8.928 millionPV2 = 4 million / \((1 + 0.12)^6\)= 1.913 millionThe total present value of the payments is then:
PV_total = PV1 + PV2 = 10.841 millionTo find the maturity of the required zero-coupon bond, we need to solve for t in the formula:
PV_total = \(FV / (1 + r)^t\)This gives us:
t = \(ln(FV/PV_total) / ln(1 + r)\)Plugging in the values, we get:
t = ln(FV/10.841) / ln(1 + 0.12) = 2.44 yearsb. The face value of the zero-coupon bond must be $14,056,481.76, and its market value must also be $14,056,481.76.
To calculate the face value of the bond, we use the formula:
FV = PV_total * \((1 + r)^t\)Using the values from part a, we get:
FV = 10.841 * \((1 + 0.12)^{2.44}\)= 14.056 millionTo calculate the market value of the bond, we simply use the face value as the market value since the bond is a zero-coupon bond. So, the market value is also $14,056,481.76 (rounded to two decimal places).
Learn more about insurance company: https://brainly.com/question/26285319
#SPJ11
Related Questions
What step in the investigative process would the development of timelines and interpretation of burn patterns be related to?
Answers
Answer:
Data Analysis
Explanation:
During a fire outbreak which could be accidental or incidental, information is first collected both from witnesses and observation. After this, timelines are developed in a bid to develop inductive reasoning as to the patterns in the timing of the fire outbreak. Burn patterns are also analyzed to provide an indication as to the origin and cause of the fire.
It is important that the timelines and patterns being analyzed are based on facts that are verifiable and not speculations. This is important because working with incorrect information would lead to the development of the wrong hypothesis.
automobile workers in detroit who are unemployed because of foreign imports at the same time that job vacancies exist for coal miners in west virginia would most likely be classified as: a) structurally unemployed. c) frictionally unemployed. b) cyclically unemployed. d) seasonally unemployed
Answers
Automobile workers in Detroit who are unemployed due to foreign imports at the same time that job openings for coal miners in West Virginia exist would most likely be classified as structurally unemployed.
What is West Virginia well-known for?West Virginia is a state in the eastern United States located in the Appalachian Mountains. Harpers Ferry, located where the Shenandoah and Potomac rivers meet, is the site of a famous Civil War-era raid. The town is surrounded by a national historical park and looks exactly like it did in the nineteenth century, with many of the buildings open to the public as living-history museums. The state's rolling mountains, hills, and valleys have earned it the moniker "The Mountain State," and it is well-known for a variety of outdoor activities such as hiking, mountain biking, skiing, and whitewater rafting. West Virginia is a state in the United States' Appalachian, Mid-Atlantic, and Southeastern regions.
To learn more about West Virginia, refer to:
https://brainly.com/question/559487
#SPJ9
in the past, kohl’s has been losing sales to amazon. why then would it enter into a partnership with one of its most fierce competitors?
Answers
Kohl’s will want to enter into a partnership with Amazon with hopes of increasing its store traffic by bringing Amazon customers in.
Partnership is basically the coming together of two of more companies or individual with a common goal.
Let bear in mind that Partnership is different from Acquisition or Merger because each owner is entitled to their share of profit.
Through this partnership, Kohl's and Amazon will both benefit from the arrangement.
Currently, Kohl's has a large number of physical stores which Amazon has no access to. So therefore, Kohl's will benefits from Amazon's strong online customer base.
Therefore, Kohl’s will want to enter into a partnership with Amazon with hopes of increasing its store traffic by bringing Amazon customers in.
Learn more about Partnership here
brainly.com/question/24224040
During year 1, albrecht sold his personal sport plane that had an adjusted basis to him of $112,000 to roy for $140,000. roy paid $40,000 as a down payment and agreed to pay $20,000 per year plus interest for the next 5 years. what is the amount of gain to be included in albrecht’s gross income for year 1?
Answers
Answer:
$8000
Explanation:
Given that:
Adjusted basis of sport plane = $112,000
Sales price = $140,000
Down payment = $40,000
Balance paid in $20,000 installment for the nest 5 years
Gross income:
Gross income = sales price - adjusted basis
Gross income = $140,000 - $112,000
Gross income = $28,000
Based on the installment payment of $20,000:
140,000/20,000 = 7
Gross income = $28000/ 7 = $4000
With down payment being 40,000
In year 1, down payment of $40,000 was made, which is 2 times the yearly installment amount.
Hence gross profit in year 1 = $4000 × 2 = $8000
Dota inc stock has a 25% chance of producing a 30% return, a 50% chance of producing a 12% return and a 25% chance producing a 18%. What is the firm expected rate return?
Answers
The question is incomplete. Here is the complete question.
Dota inc stock has a 25% chance of producing a 30% return, a 50% chance of producing a 12% return and a 25% chance producing a -18%. What is the firm expected rate return?
Answer:
9%
Explanation:
Dora incorporation stock has a 25% chance of producing a 30% return
50% chance of producing a 12% return
25% chance of producing a -18% return
Therefore the firm's expected rate of return can be calculated as follows
= 25/100(30) + 50/100(12) + 25/100(-18)
= 0.25(30) + 0.50(12) + 0.25(-18)
= 7.5% + 6% - 4.5%
= 9%
Hence the firm's expected rate of return is 9%
Create a monthly budget for yourself using the steps discussed in the unit. If you don't wish to discuss your financial situation, you can create a budget based on an average individual your age.
Answers
Levine, Inc., has an ROA of 8 percent and a payout ratio of 29 percent. What is its internal growth rate? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
Answers
The internal growth rate formula is: Internal Growth Rate = (ROA x Retention Ratio) / (1 - ROA x Retention Ratio). Levine, Inc.'s internal growth rate is 5.37%
where:
ROA = Return on Assets
Retention Ratio = (1 - Payout Ratio)
Plugging in the given values, we get:
Retention Ratio = (1 - Payout Ratio) = (1 - 0.29) = 0.71
ROA = 8%
Internal Growth Rate = (0.08 x 0.71) / (1 - 0.08 x 0.71) = 0.05368 or 5.37% (rounded to 2 decimal places)
Therefore, Levine, Inc.'s internal growth rate is 5.37%.
Learn more about Plugging here:
https://brainly.com/question/31465850
#SPJ11
Personal financial planning is the process of planning your:
A. lending in order to optimize your personal situation.
B. family size in order to optimize your financial situation.
C. recreation in order to optimize your personal situation.
D. investing in order to optimize your financial situation.
Answers
Personal financial planning is the process of planning your investing in order to optimize your financial situation. This involves setting financial goals, creating a budget, managing debt, saving for retirement, and investing wisely in order to achieve financial security.
Personal financial planning is a process that individuals use to manage their money and achieve their financial goals. It involves taking a comprehensive look at an individual's financial situation and developing a plan to achieve their short-term and long-term financial objectives. Personal financial planning includes budgeting, managing debt, saving for emergencies and retirement, and investing in a diversified portfolio.
Investing is an important component of personal financial planning. It involves putting money into various financial instruments, such as stocks, bonds, mutual funds, and exchange-traded funds (ETFs), in order to earn a return on investment. Proper investing can help individuals achieve their financial goals, such as saving for retirement or paying for a child's education.
Learn more about financial here:
https://brainly.com/question/29641948
#SPJ11
Suppose that a worker in Cornland can grow either 40 bushels of corn or 10 bushels of oats per year, and a worker in Oatland can grow either 5 bushels of corn or 50 bushels of oats per year. There are 20 workers in Cornland and 20 workers in Oatland. If the two countries do not trade, Cornland will produce and consume 400 bushels of corn and 100 bushels of oats, while Oatland will produce and consume 60 bushels of corn and 400 bushels of oats. If each country made the decision to specialize in producing the good in which it has a comparative advantage, then the combined yearly output of the two countries would increase by
Answers
Answer:
see. I hope it's helpful for you lolExplanation:
i need friend lol can you my friend
XBRL assurance is generally expected to include all of the following except: Multiple Choice Assurance that the most current, standardized XBRL taxonomy is used. Assurance that the underlying financial and nonfinancial data that is used in XBRL tagging is reliable. Assurance that the XBRL tagging is accurate and complete. Assurance that reports include all relevant financial and nonfinancial information.
Answers
Answer:
Assurance that reports include all relevant financial and nonfinancial information.
Explanation:
XBRL assurance can be regarded as opinions of auditor on a financial statement or other business report that is published in XBRL, this opinions of the auditors allows to know whether these published report or statement is
complete, relevant or accurate and fairly presented. An XBRL reportcan be regarded as "instance" and it is is an electronic file. It should be noted that XBRL assurance is generally expected to include all of the following
✓Assurance that the XBRL tagging is accurate and complete.
✓Assurance that the most current, standardized XBRL taxonomy is used.
✓Assurance that the underlying financial and nonfinancial data that is used in XBRL tagging is reliable.
Most new jobs in the United States will be in the a manufacturing industries:
b. goods-producing industries
C. service-producing industries
d. agriculture-producing industries
Please select the best answer from the choices provided
Α
B
С
D
Answers
Answer:
d agriculture-producing industries
Most new jobs in the United States will be in manufacturing industries service producing industries. The correct option is c.
In the United States, manufacturing is an important economic sector. The United States is the world's third-biggest manufacturer (after the People's Republic of Chine and the European Union), with a record high real output of $2.00 trillion (adjusted for inflation in 2009 dollars) in Q1 2018, significantly above the $1.95 trillion peak before the Great Recession in 2007.The manufacturing industry in the United States employed 12.35 million people on December 2016 versus 12.56 million in December 2017, a 1.7% rise.
Manufacturing, while still a significant portion of the US economy, contributed less to GDP in Q1 2018 than the 'Finance, insurance, real estate, rental, other leasing' sector, the 'Government' sector, or the 'Professional and business services' sector.
Learn more about manufacturing, here:
https://brainly.com/question/3197746
#SPJ7
What does this sign mean?
Answers
Answer:
Pedestrian : A person who walks on foot rather than in vehicles.
They have fixed costs of £200 per month Each item's raw materials cost £50 The items sell for £150 each
What is the Break Even Point for the business?
Answers
Answer:
2 unit
Explanation:
The break-even point is that point at which a business makes no profit after settling all the necessary fixed cost for the period. It is the point preceding profit making at which costs are recovered
It is calculated by dividing the fixed costs with the sales revenue less the variable cost per unit of an item.
Workings
Fixed cost = 200
Selling price = 150
Variable cost = 50
Break even point = 200/(150-50)
=2 units
Any sales below this ends up in a loss as the fixed cost will not be fully recovered.
For each of the following situations, find the critical value(s) for z or t. a) H 0
:p=0.7 vs. H A
:p
=0.7 at α=0.01 b) H 0
:p=0.2 vs. H A
:p>0.2 at α=0.05 c) H 0
:μ=10 vs. H A
:μ
=10 at α=0.05;n=34 d) H 0
:p=0.7 vs. H A
:p>0.7 at α=0.10;n=340 e) H 0
:μ=20 vs. H A
:μ<20 at α=0.05;n=1000 a) The critical value(s) is(are) = (Use a comma to separate answers as needed. Round to two decimal plac
Answers
a) For the situation: H 0 : p = 0.7 vs. H A : p ≠ 0.7 at α = 0.01, the critical value is ± 2.58
As given, level of significance (α) = 0.01, and p= 0.7
For a two-tailed test at α = 0.01, we need to find the value of z for which the area to the right is 0.005.
Using Normal distribution table, the z-value corresponding to a cumulative area of 0.995 is 2.58. Since it is a two-tailed test, the critical values are ± 2.58
b) For the situation: H 0 : p = 0.2 vs. H A : p > 0.2 at α = 0.05, the critical value is 1.65
As given, level of significance (α) = 0.05, and p = 0.2For a right-tailed test at α = 0.05, we need to find the value of z for which the area to the right is 0.05.
Using Normal distribution table, the z-value corresponding to a cumulative area of 0.95 is 1.65. The critical value is 1.65 since it is a right-tailed test.
c) For the situation: H 0 : μ = 10 vs. H A : μ ≠ 10 at α = 0.05; n = 34, the critical value is ± 2.032
As given, level of significance (α) = 0.05 and sample size n = 34
For a two-tailed test with α = 0.05, the critical value can be obtained using t-distribution table for n-1 degrees of freedom (df = n-1).
Since n = 34, degrees of freedom = 34-1 = 33.
The critical values for the two-tailed test at α = 0.05 are ± 2.032.
d) For the situation: H 0 : p = 0.7 vs. H A : p > 0.7 at α = 0.10; n = 340, the critical value is 1.28
As given, level of significance (α) = 0.10 and n = 340.For a right-tailed test with α = 0.10, the critical value can be obtained using Normal distribution table, since n > 30.The critical value for the right-tailed test at α = 0.10 is 1.28.
e) For the situation: H 0 : μ = 20 vs. H A : μ < 20 at α = 0.05; n = 1000, the critical value is -1.645
As given, level of significance (α) = 0.05 and sample size n = 1000For a left-tailed test with α = 0.05, the critical value can be obtained using z-distribution table, since n > 30.T
he critical value for the left-tailed test at α = 0.05 is -1.645.
Learn more about Normal distribution table: https://brainly.com/question/30404847
#SPJ11
3.4 3 Practice Analyzing Visuals in Business Documents
P L Z help me with this
Synthesize
Determine and design the best visuals for a progress report, including appropriate graphs, tables, illustrations, text boxes, and other visuals. You will need to think about how the visuals relate to the information presented in the progress report and how the visuals will aid readers’ understanding.
1. Using the graphs above, which would you choose to include in the Costs section of your progress report to show how project spending compares to the budget so far? Explain why.
2. Using the graphs above, which would you chose to include in the Costs section of your progress report to show how much of the total budget remains for the project? Explain why.
3. Examine the table in the section above.
a. Recreate the exact table shown above in a separate document. Submit this document to your teacher with your worksheet.
b. Explain how you created the table.
4. In your progress report, you want the Work Completed section to follow your Summary of Costs. To date, the company has rewritten the home page content, created a new logo, and updated the overall structure of the site. Currently, an idea for site navigation has been proposed but not yet confirmed. You want to include a visual of the navigation option in the progress report.
a. The navigation option includes these links from the Home Page: About, Services, Customer Reviews, and Contact. The About section would include links to History and Our Mission; the Services section would also include links to Pricing, Scope, and Timeline. Show an example of a simple, custom graphic to display the navigation.
b. Explain how you created your graphic.
5. Once you finish your progress report, your manager wants to look it over before distributing it to everyone in the company. What is the best way to give this report to your manager and why?
6. Your manager looks over the report and decides that because you did such a thorough job with the report, your next project will be to help update the company's business cards. Create a sample business card that includes a graphic to represent the law firm, Stevens & Patterson.
Answers
Graphics are employed as visual representations to support the text in a report, proposal, set of instructions, or other similar papers in corporate writing and technical communication. Charts, diagrams, sketches, figures, graphs, maps, pictures, and tables are examples of several graphic types.
What is the purpose of using visuals in a professional document?Visuals are an important aspect of any documentation approach because they may make complicated ideas and procedures easier for readers to comprehend. They let readers envision linkages and occurrences, although it may be more challenging to understand the same information when presented in the text.
Place the graphic as near to the relevant text as you can. Assign a number and a precise descriptive title to each image. When describing the content of the graphic, refer to the number or title in the body text. Give the graphic ample white space around it to draw attention to the picture and improve readability.
Learn more about professional documents here:
https://brainly.com/question/7966952
#SPJ1
Kathy and Jake are purchasing a house and are financing $465,000. The mortgage is a 20-year
5/1 ARM at 3.5% with a 2/7 cap structure. What will the remaining balance be after the first 5 years?
a $396,038.65
b$427,354.28
c $407,836.29
d $377,238.57
Answers
Answer:
D
Explanation:
The remaining balance on a 20-year 5/1 ARM at 3.5% interest with a 2/7 cap structure after 5 years will be $377,238.57.
Pro life tip: Do NOT finance your home with an ARM mortgage.
Good luck in your studies!
Assume the Federal Reserve increases the money supply.
A Identify an open market operation they might use to increase the money supply.
B Explain how an increase in the money supply will affect nominal and real interest rates.
C Explain how the change in interest rates caused by an increase in the money supply will impact each of the determinants of aggregate demand (C, I, G, Xn).
Answers
A central bank can increase or decrease the number of reserves in the banking system and therefore affect the nation's money supply by buying or selling bonds, bills, and other financial instruments on the open market. When the central bank sells these securities, it removes funds from the economy.
What happens when the FR increases the money supply?
A rise in the money supply has two effects: it lowers interest rates, which encourage investment, and it puts more money in the hands of consumers, which makes them feel wealthier and encourages consumption.
Through open market operations, the Fed can alter the amount of money in circulation. The Fed can expand the money supply by exchanging cash for the purchase of government assets.
The central bank's monetary policy is comprised on open market activities. For instance, policymakers use instruments like interest rates, reserves, bonds, etc. to manage the flow of money in order to increase employment, GDP, and price stability.
To purchase or sell securities to banks, the Fed employs open market operations. The Fed provides banks with additional funds to maintain as reserves on their balance sheets when it purchases assets. When the Fed sells securities, it depletes the money supply by removing funds from banks.
Learn more about money supply:
https://brainly.com/question/28891105
#SPJ1
According to the video, what tasks commonly are performed by Market Research Analysts? Check all that apply.
processing payments
considering potential sales and competition
designing advertisements
designing surveys
analyzing data (information)
making sales
Answers
Answer:
considering potential sales and competition
designing surveys
analyzing data (information)
Explanation:
The tasks commonly performed by Market Research Analysts are :
considering potential sales and competition.designing surveys.analyzing data (information)What is Marketing research?Marketing research involves the methodical collection, recording, and analysis of both quantitative and qualitative information on marketing products and services issues. The objective is to recognize and evaluate how changing marketing mix elements affect customer behavior.
To evaluate potential sales of a product or service, market research analysts examine consumer preferences, economic situations, and other factors. Because most industries rely on market research, these experts are found all over the economy.
Therefore, considering potential sales and competition, designing surveys and analyzing data are some of the work of a Market Research Analysts.
To learn more on Marketing research, click here:
https://brainly.com/question/30651551
#SPJ3
what is the chance of me being in the U.S. Air Force !!!!
Answers
Good luck ;)
Jena is a full-time undergraduate student at State University and qualifies as a dependent of her parents. Her only source of income is a $10,000 athletic scholarship ($1,000, books; $5,500, tuition; $500, student activity fee; and $3,000, room and board). Jena's gross income for the year is: a.$3,000. b.$4,000. c.$500. d.$10,000.
Answers
Why is the automobile industry considered an oligopoly?
It offers little differentiation within the market.
It has significant barriers to entry.
It is controlled by companies that patent key technology.
It relies on price variation to attract customers.
It depends on brand loyalty and image to generate sales.
It is dominated by a few key players.
Answers
The reasons that the automobile industry is an oligopoly in market economics are because of B. It has significant barriers to entry and F. It is dominated by a few key players.
An oligopoly is a market condition where the possibility of firms colluding with each other exists.Firms in this market are interdependent, especially with regards to pricing.
Oligopolistic firms differentiate their products, and they have few producers.There are barriers to entry.
Thus, an oligopoly limits entries to a few key players who dominate the market.
Learn more: https://brainly.com/question/23970210
Answer:
B: It has significant barriers to entry.
E: It depends on brand loyalty and image to generate sales.
F: It is dominated by a few key players.
Which of the given techniques is a way of assessing the entrepreneurial environment?
A. SWOT analysis
B. free writing
C. mind mapping
D. self-analysis
Answers
Answer:
A. SWOT analysis
Explanation:
A SWOT analysis is a business administration technique that assesses both the internal and external enviroment of a business.
The internal enviroment consists of the firm's strengths and weaknesses, while the external enviroment consists of the threats and opportunities that the firm has to face.
Once these factors are added in the SWOT matrix, strategies are formulated taking into account two elements of each of these factors at the time. For example, one strategy can combine a weakness and and a threat, while another strategy can combine a strength and an opportunity.
All of the following are examples of transfer payments except: _____________.
a. unemployment compensation to the unemployed.
b. welfare benefits to the poor.
c. Social Security payments to the elderly.
d. dividend payments to the wealthy
Answers
Al is participating in a research study on his smartphone. This is an example of _______ marketing research.
Answers
Answer: The answer is mobile hope this helps have a great day
Explanation:
AI is engaging in the research study through his smartphone is a considered to be an example of mobile marketing research.
What is meant by marketing?Marketing is the process of engaging in promoting the manufactured goods or services in front of the customers which induces them to buy it.
When the research relating to marketing is done through usage of smartphones, then that kind of research is called as mobile marketing. It involves the usage of content by using the functions of smartphones.
Therefore, the provided research done by AI is regarded as the mobile marketing research.
Learn more about the marketing in the related link:
https://brainly.com/question/14083500
#SPJ2
A Nike Hoodie has a retail price of $99.00 and it costs the retailer $49.50. What is the mark-up
Percentage?
Answers
Answer:
100%
Explanation:
Mark-up is the difference between selling price and cost price
Selling price =$99.00
Cost price = $49.50
Mark up = $99- 49.50
=$49.50
As a percentage
= $49.50/$49.50 x 100
= 1 x 100
= 100%
Which situation is an example of direct taxation?
O A. A government charges a bank a fee on its deposits, so banks raise
rates for customers.
B. The government charges a tax on imports, which companies pass
on in the prices they charge buyers,
C. Businesses must send a portion of their income each year to the
government
D. Stores charge sales tax on each purchase and send that money to
the government
Answers
When Businesses pay a portion of their income to the government in the form of taxes, such a situation is an example of direct taxes. Therefore, (C) is the correct option.
What is Direct Taxes?Direct taxes are paid by the citizens directly to the government without any other stakeholder in between. there are majorly two types of direct taxes, corporate Tax, and Income tax.
Businesses pay corporate tax on their income, which is a form of direct tax.
Therefore, (C) is the correct option.
To know more about Direct taxes, visit the link below:
https://brainly.com/question/27407424
#SPJ5
To be part of the supply for a good, a producer must be?
Answers
Answer:
produce good and healthy food.
no harmful chemical should be added.
using organic materials.
serious about other help.
Why do the four financial statements have to be prepared in this order?
Answers
Financial statements are put together in a precise order because data from one statement is used in the next.
Which one comes first among the four financial statements?The following is the order of the four financial statements:
A. Balance sheets
B. Income statements are first.
C. Cash flow projections
D.Statements of shareholders' equity
What should be done first when creating a financial statement, and why?First comes the income statement, often known as the statement of earnings or statement of operations. The net income or loss of the business is determined for a specific time period after listing revenues and expenses.
To know more about financial statement visit:
https://brainly.com/question/30355441
#SPJ4
________________ cultures value hard work and promote entrepreneurial risk taking.
A) Short-term oriented
B) High uncertainty avoidance
C) Collectivist
D) Individualist
Answers
D. Individualist cultures value hard work and promote entrepreneurial risk taking. In individualist cultures, such as those commonly found in Western societies, there is an emphasis on personal freedom, independence, and individual achievement.
These cultures tend to value individual initiative, innovation, and entrepreneurship, and they encourage individuals to take risks and pursue their own success.
Hard work is seen as a means to achieve personal goals and aspirations, and individuals are often motivated by the potential rewards and recognition that come with their efforts.
To know more about freedom refer here
https://brainly.com/question/7723076#
#SPJ11
Which type of business is owned by stockholders?
A.) nonprofit corporation
B.) limited partnership
C.) public corporation
D.) sole proprietorship
Answers
Answer:
C.) public corporation
Explanation:
A Public Corporation is a type of business structure that issues shares of stock to the public or a large group of investors. The shareholders own a portion of the company and have a say in how it is run through their ability to vote on company decisions. The company's profits are distributed among the shareholders in the form of dividends or reinvested in the company.
Review common business structures · Sole proprietorship · Partnership · Limited liability company (LLC) · Corporation. I search it up lol