A ______ pe ratio may indicate that investors believe a company has better prospects for future growth in earnings.

Answers

Answer 1

Investors may assume a company has better chances for future earnings growth if they see a higher PE ratio.

What does the PE ratio indicate?

Earnings per share (EPS) can either be dispersed as dividends to shareholders or reinvested in the company to increase future sales and EPS, which will result in capital growth. The PE ratio is the amount that investors are willing to spend on an EPS of Rs. 1 for the company. The share price increases and vice versa if future earnings are anticipated to increase. The PE ratio increases if the share price increases more quickly than the rate of profits growth.

The PE ratio goes low if the share price declines considerably more rapidly than earnings. A stock with a high PE ratio is pricey and may see a decline in value in the future. A stock is considered cheap and may increase in value in the future if the PE ratio is low. As a result, the PE ratio is particularly helpful when choosing an investment strategy.

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Related Questions

Strategic planning is a customer-facing business process.
a. true
b. false

Answers

It is true that Strategic planning is a customer-facing business process.

What is Strategic planning?

Strategic planning  can be described as the  process  that involves the act whereby organization's leaders help to define their vision for the future with respect to the goal of the business or the organization.

This is been done to identify their organization's goals as well as the  objectives, however this planning process can include the  establishment of  the sequence in which those goals should be realized , hence It is true that Strategic planning is a customer-facing business process.

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What is another name for a back door that was accidentally left in a product by the manufacturer?

Answers

A maintenance hook is another name for a back door that was accidentally left in a product by the manufacturer.

A manufacturer is someone or employer that produces finished goods from uncooked substances through the usage of diverse gear, equipment, and processes, and then sells the goods to purchasers, wholesalers, distributors, retailers, or to different manufacturers for the manufacturing of extra complicated goods.

A manufacturer is any business that produces completed items from raw substances. They promote those items to consumers, wholesalers, distributors, shops, and different manufacturers trying to create greater complicated gadgets. producers usually stick with one sort of product.

Definition of a manufacturer is a business or person that produces items. The enterprise that makes a selected brand of shoes is an example of the manufacturer of the sneakers

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If the accounts receivable ending balance is greater than its beginning balance, then its debits were ______ than its credits during the period.

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If the accounts receivable ending balance is greater than its beginning balance, then its debits were greater than its credits during the period.

What is accounts receivable?

Accounts receivable is a balance sheet account that is used to record services rendered or goods sold for which payment have not be made for them.

Accounts receivable is an asset for the company due to the fact that it is a legal obligation for payment to be made for services rendered. Accounts receivable is also considered to be a liquid asset.

When payments are received for services rendered or goods sold. the amount is subtracted from the accounts receivable account. When ending balance of the accounts receivable is greater than the beginning balance, it means that there is an increase in the amount of outstanding payments.

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Khalil is offered a free ticket to the opera. his opportunity cost of going to the opera is:_________

Answers

Regardless of what Khalil would have done if he had not attended the opera.

What is the opportunity cost?

Opportunity cost is the expense associated with the advantage that a person forgoes while choosing one option over another.

We frequently have a variety of options from which to choose. We overlook the others once we've made our decision. The gain overlooked by choosing one alternative over another is known as the opportunity cost.

If Khali attends the opera in this situation, he undoubtedly misses what he would have done at that time. He might have made some money as well because time has other uses.

The opportunity cost of going to the opera in this instance is therefore whatever he would have done concurrently.

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What a tragedy that in the twilight of her life the unfortunate woman should be _______ of all her loved ones! *

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What a tragedy that in the twilight of her life the unfortunate woman should be bereft of all her loved ones!

What is the inflammatory incident in Twilight?

Twilight's Inciting Incident: Bella has already met Edward. This leads up to the inciting happening where Edward saves Bella from being killed in a parking lot. She gets her first glance of his powers and is set on her path of learning more about him.

Why is it named Twilight?

The word twilight was on a list of “words with atmosphere” that I sent her. Though these words were meant to be utilized in combination with something else, the word twilight stood out to both of us. We determined to try it out, and, after a little adjustment time, it began to work for both of us.

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(8446) what is the means by which the faa notifies aircraft owners and other interested persons of unsafe conditions and prescribes the condition under which the product may continue to be operated?

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Air Worthiness Directives is  the FAA notifies aircraft owners and other interested persons of unsafe conditions and prescribes the condition under which the product may continue to be operated.

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After entering a transaction into the accounting equation, an increase in total assets can be accompanied by a(n) ________(increase/decrease) in total liabilities or (equity/assets) .

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After entering a transaction into the accounting equation, an increase in total assets can be accompanied by increase in total liabilities or equity.

What is accounting equation?

The accounting equation can be described as the formula  which help in  showing  the sum of a company's liabilities as well as the  shareholders' equity  and how they can be equated to total assets.

Therefore, in this case, After entering a transaction into the accounting equation, an increase in total assets can be accompanied by increase in total liabilities or equity.

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Which channel and medium combination takes longer to create and distribute but allows the sender to avoid immediate interactions?

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Written channels and digital mediums take longer to create and distribute but allow the sender to avoid immediate interactions.

Memos, letters, emails, websites, notes, reports, telegrams, newsletters, and press releases are examples of written channels and communication. Oral communication can take place in various ways, such as in-person meetings, phone calls, voice mail, voice-over-IP conferences, and presentations.

Any media or communication platform that makes use of or permits the delivery of digital information or interactive features in any way is referred to as a "digital medium."

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Managers typically follow five steps in the decision-making process. the first step is to:__________

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Managers typically follow five steps in the decision-making process. the first step is to: evaluate the strengths and weaknesses of potential decisions.

Who is a manager?

A  manager can be defined as the person whose roles and responsibility is to plan, lead , coordinate and control the day to day activities of a company so as to achieve smooth operation.

Evaluating the strengths and weaknesses of potential decisions is important during  decision-making process which is why it is the  first step a manager is expected to follow during decision making process.

Therefore Managers typically follow five steps in the decision-making process. the first step is to: evaluate the strengths and weaknesses of potential decisions.

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What informational handout should the listing agent provide the seller before a seller signs a listing agreement with the agent?

Answers

The listing agent should provide 'disclosure regarding the real estate agency's relationship' with the seller before a seller signs a listing agreement with the agent.

What is a Listing agreement?

Between a property owner and a real estate broker, a listing agreement serves as an employment contract. It enables the broker to represent the seller and locate a buyer for the property under their terms.

In essence, a listing agreement authorizes your real estate agent to find a buyer for your house. The kind of commission your real estate agent will get when the sale is complete is also described.

With the use of a listing agreement, your real estate agent is able to speak on your behalf to prospective purchasers. It specifies that only this person has the authority to oversee the property's listing and sale as a real estate agent. This agreement is what formally launches the home selling process.

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When an underlying policy doesn't cover a particular loss, the umbrella will drop down and cover the entire loss, after payment by the insured of a? a copayment b premium c commission

Answers

The umbrella will drop down and cover the entire loss, after payment by the insured of a Retention.

A retention is a sum paid by the insured before the insurer's duty to pay kicks in, much like a deductible.

How Umbrella Insurance Works?

Although the likelihood that you will lose a case for a sum greater than what your current insurance will cover is remote, you run the risk of losing all of your money if it ever happens. The goal of umbrella insurance is to prevent you from ever experiencing that nightmare. We'll examine this additional liability coverage in more detail below, including how an umbrella policy functions, who needs one, how much it costs, and what it won't cover.

A type of personal liability insurance known as umbrella insurance covers claims that go over and beyond the limits of a typical homeowner's, auto, or watercraft policy.

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When a firm sells its commercial paper at a ____ price than projected, its cost of raising funds will be ____ than what it initially anticipated

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When a firm sells its commercial paper at a higher/lower price than projected, its cost of raising funds will be higher/lower than what it initially anticipated.

Why do firms sell their commercial papers?

When commercial paper matures, it pays its face value and the holder receives the capital gain instead of interest. It is sold at a discount. In most cases, businesses "roll over" unresolved concerns by selling new paper to settle maturing paper.

Commercial paper is similar to an IOU from the standpoint of the issuer, or borrowing firm. The issuer outlines a commitment to pay a sum—say let's $1,000—in a few weeks in exchange for a current advance of, say, $995. Naturally, no one will take the IOU unless the issuer is extremely creditworthy because no collateral is supplied. In order to raise the money needed to repay the initial lender when the IOU is due, the issuer then issues a new IOU, maybe to a different party.

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If a solution contains equal amounts of hydronium ions and hydroxide ions, then it is:_______

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If a solution contains equal amounts of hydronium ions and hydroxide ions, then it is neutral

What is Neutral?

Salts that have no charge and display neither acidic nor alkaline properties. having no charge in terms of physics. (of an atom, molecule, group of particles, fluid, or solid) not electrified; electroneutral; lacking any net charge.

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Factors of production are? scarce in every society. scarce only in advanced countries. scarce only in the poorest countries of the world. unlimited in quantity.

Answers

Factors of production are scarce in every society.

What are the factors of production?

Factors of production are the resources that are used in the production of goods and services. Factors of production are scarce and this is why it is important to use them in the activities that would maximise their use.

There are four factors of production in economics. They include - land, labor, capital and entrepreneurship.

Land includes all the natural resources that are used to produce goods and services e.g. gold mine. Labor is the human effort that is exerted in  the production of goods and services. Capital includes machinery and man made resources used in production. An entrepreneur is a person who combines the other factors of production together

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Assume that a 4 percent increase in income across the economy produces an 8 percent increase in the quantity demanded of good x. the coefficient of income elasticity of demand is:________

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Assume that a 4 percent increase in income across the economy produces an 8 percent increase in the quantity demanded of good x. the coefficient of income elasticity of demand is 2 , hence positive.

It is calculated as follows:

Percentage increase in quantity demanded = 8

Percentage increase in income = 4

Income elasticity of demand= Percentage change in quantity             demanded/Percentage change in income .

                                               = 8/4

                                                = 2

When coefficient is positive it means it is a normal good.

Income elasticity of demand refers to the percentage  change in quantity demanded due to percentage  change in income.

It helps in predict the impact of business cycle on sale.

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Consumer goods producers tried to avoid the destructive forces of competition by forming loose affiliations with their rivals, a process known as:_________

Answers

Consumer goods producers tried to avoid the destructive forces of competition by forming loose affiliations with their rivals, a process known as horizontal combination

What is horizontal combination?

Acquisition of a company that produces or provides comparable goods or services and operates at the same level of the value chain as the target company is known as horizontal integration. As opposed to vertical integration, which involves businesses expanding into activities upstream or downstream that are at various stages of production,

Horizontal integration is a business technique that can help companies grow their market or enter new markets, strengthen market power over distributors and suppliers, improve product differentiation, and provide economies of scale. Two companies may be able to generate more income through a merger than they could have done separately.

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Valley markets has an inventory turnover of 3.2 and a capital intensity ratio of 1.9. what are the days in inventory for valley markets?

Answers

The days in inventory for valley markets is 114

How to calculate the days in inventory for valley markets ?

Inventory can be described as a list of available materials that a business has in stock within a paticular or specified period of time. Inventory help businesses to know the number of goods that are available to customers.

Valley markets has an inventory turnover of 3.2

The capital intensity ratio is 1.9

There are 365 days in a year, the days in inventory for valley markets can be calculated by dividing 365 by the inventory turnover which is 3.2

= 365/3.2

= 114

Hence the days in inventory for valley markets is 114

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An increase in business taxes causes a(n) ______ in supply and will ______ production costs.

Answers

Answer:

An increase in business taxes causes a lower in supply and will highly production costs

QUESTION 8 of 10: What is a focus group?

Answers

what's a focus group, well it's a group that focus

Which career professional would work at a publishing company? radio mechanic fine artist musician prepress technician

Answers

Hi!

Prepress technician

Answer:

D

Explanation:

prepress technician

Edgn2022

In 500 words, describe three different financial decisions and their opportunity costs.

Answers

The three various financial choices and their associated opportunity costs consist of:

a) Sacrificing pleasure and opting for study rather than going out to clubs and parties.

b) Deciding against eating quick food since it requires more energy to prepare.

c) Opting for local clothing instead of imported items to save money and quality.

What is opportunity cost?

Opportunity cost is the term used to describe decisions that are taken at the price of another and typically involve aspects that are given up.

The value or advantage forfeited by engaging in a certain activity in comparison to engaging in a different activity is known as the opportunity cost in microeconomic theory. Simply defined, it implies that you lose out on the opportunity to engage in another activity if you pick one.

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A corporation earns profits for its stockholders by ______. (check all that apply.)

Answers

A corporation is able to earn profit for the stockholders that it has by:

selling goods at more than costproviding services at more than costWhat is a corporation?

This is the term that is used to refer to the businesses that can be referred to as large businesses. They are businesses that have a considerable number of employees in them and are also able to hire staff that is more than that what the little firms can hire.

The goal of the corporation and all business ventures are usually to make profit. This is what would ensure the continuity of the enterprise and also help them to expand.

Hence we can say that A corporation is able to earn profit for the stockholders that it has by:

selling goods at more than costproviding services at more than cost

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Complete question

A corporation earns profits for its shareholders by ______. (Select all that apply.)

A) ensuring revenues are less than expenses

B) selling goods at more than cost

C) issuing stock to them for cash

D) providing services at more than cost

As of december 31, $400 of revenues related to goods or services provided during the period were not collected nor recorded. what adjusting entry is necessary at the end of the period?

Answers

In Receivable account relation to products or services delivered during the period, $400 in revenues were not collected nor recognized as of December 31. If an adjusting entry is required at the end of the quarter, should the Service Revenue account be increased by $400 as well as the Accounts Receivable account by $400.

The amount of money owed to a business for delivered or used but unpaid goods or services is known as Receivable account. The balance sheet classifies accounts receivable as a current asset. Any money owing by clients for purchases done using credit is known as Receivable account.

Receivable account is the term used to describe any unpaid invoices or cash that customers owe a business. The term describes accounts that a company is entitled to since it has provided a good or service. Accounts receivable, also known as receivables, are a type of line of credit that a business extends to its customers, and its terms typically call for payments to be made within a short time frame. Usually, it varies from a few days to a fiscal or yearly year.

Because there is a legal need that the customer pay the debt, businesses include Receivable account as an asset on their balance sheets.

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The difference between a company's assets and its liabilities, or net assets is: multiple choice expense. revenue. net income. net loss. equity.

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The difference between a company's assets and its liabilities, or net assets is: Equity.

Equity, also known as shareholders' equity or owners' equity for privately held businesses, is the sum of money that would remain in the hands of a company's shareholders in the event that all of its assets were sold off and its liabilities were fully settled. It is the worth of company sales less any obligations owing by the company that were not transferred with the sale in the case of an acquisition.Additionally, a company's book value may be represented through shareholder equity. Equity may occasionally be given in exchange for cash. Additionally, it symbolizes the proportionate ownership of a company's shares.One of the most frequently used pieces of information used by analysts to evaluate companies is equity, which can be found on a company's balance sheet.The value that would be restored to a company's shareholders if all of its assets were sold and all of its obligations were settled is known as equity.We can also think of equity as a degree of residual ownership in a corporation or asset after deducting all debts linked with that asset.On a company's balance sheet, equity is the ownership interest of the shareholders. When calculating numerous important financial ratios, including ROE, equity is calculated as total assets minus total liabilities for a corporation.Another meaning of the word The value that would be restored to a company's shareholders if all of its assets were sold and all of its obligations were settled is known as equity.We can also think of equity as a degree of residual ownership in a corporation or asset after deducting all debts linked with that asset.On a company's balance sheet, equity is the ownership interest of the shareholders. When calculating numerous important financial ratios, including ROE, equity is calculated as total assets minus total liabilities for a corporation.Another meaning of the word equity is "the worth of a homeowner's property (net of debt)". equity is "the worth of a homeowner's property (net of debt)".

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To evaluate the effectiveness or performance of a marketing strategy, firms typically use:_________
a. a mission statement.
b. customer surveys.
c. marketing metrics.
d. brainstorming.
e. a swot analysis.

Answers

To evaluate the effectiveness or performance of a marketing strategy, firms typically use a swot analysis. Thus, option D is correct.

What is Marketing?

Marketing is the process of getting people to purchase a company's good or service. They use a variety of ways to draw customers in and make them aware of their goods.

SWOT analysis can be defined as the strategic planning or technique in the same fitness opportunities and the threat which are related to the business is being analyzed and the actions being taken with regard to that

Therefore, option D is the correct option.

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In may, xyz company sold $400,000 worth of goods to customers on credit. in june, $80,000 was collected and in september, $320,000 was collected. how would the accounting equation be affected in june?

Answers

It purchased $80,000 of merchandise on account and collected $50,000 on account from its customers. As a result, the company's total assets would be $680,000.

The Operation of the Expanded Accounting Equation

Analysts may seek a deeper comprehension of the shareholders' equity structure of a company. Stockholders' equity is expanded into the following components in addition to the assets and liabilities that are included in the basic accounting equation:

Capital contributed: This is the money that the founding stockholders gave (also known as paid-in capital).

Beginning retained earnings: Retained earnings are the profits from the prior period that were not distributed to the stockholders.

Revenue is what the business generates as it continues to operate.

Expenses: These are the costs associated with keeping the firm operating.

Dividends: Since these are earnings that are given to the company's stockholders as dividends, they are deducted from the total.

Capital contributions and dividend payments indicate the results of interactions with stockholders.

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A restaurant's rent is scheduled to increase by 7.1% next year. If the current monthly rent is $2,780, the new rent will be:________
a. $2,613
b. $2,945
c. $2,919

Answers

The new rent will be $2,977

Given, The rent for a restaurant is expected to rise by 7.1% in 2019 and the  if the existing rate is $2,780 per month.

$2,780 + 7.1% (197.38)

$2780 +0.071 x 197.38

=  $2,977

In simple words , "rent" can be defined as the portion of the produce that is  is paid to the landowner in exchange for using his products and services. But rent has occasionally been defined differently in economics. Rent thus only relates to making payments for production elements with an inelastic supply. For instance, it is the cost associated with using land.

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Current market prices reflect all information contained in past price movements. this statement is consistent with: ______
a) strong form efficiency
b) semistrong form efficiency
c) weak form efficiency

Answers

Current market prices reflect all information contained in past price movements. this statement is consistent with weak form efficiency

Market efficiency is the degree to which current prices accurately represent all pertinent and available information regarding the true worth of the underlying assets. Since all information that is available to traders is already factored into the market price, a truly efficient market makes it impossible to outperform the market.

Market efficiency states that prices reflect all information at any one time about a specific stock or market. An informationally efficient market is one in which the current price of a stock has taken into account all available information about that stock.

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Multiple choice question which entity does not market to the other entity?
a. businesses to customers
b. customers to businesses
c. wholesalers to retailers
d. manufacturers to retailers

Answers

The entity that does not market to the other entity is: b. customers to businesses.

Who is a customer?

A customer can be defined as someone that buy goods and service from a company, wholesalers or retailers.

A businesses to customers, a wholesalers to retailers and manufacturers to retailers are the three business entity than can tend to market to other entity.

Customer to businesses can not market to the other entity because they are the buyers.

Therefore the entity that does not market to the other entity is: b. customers to businesses.

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The common element of the nation's answers to those key economic questions has been?

Answers

The common element of the nation's answers to those key economic questions has been a centralized authority assuming responsibility for addressing them.

Economics can be defined as the study of how individuals, businesses and governments make choices in allocating resources to meet their needs. These groups determine how resources are and how they are organized and coordinated to achieve maximum results. They are mostly concerned with the production, distribution and consumption of goods and services.

The economy is divided into two important parts, namely: Macroeconomics & Microeconomics

Microeconomics can be defined as the study of decisions made by people and businesses regarding the allocation of resources and the prices of goods and services.Macroeconomics can be defined as a branch of economics that describes a substantial picture

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Glomerular filtration is driven by:___.a. bulk flow due to capillary hydrostatic pressure b. active transport c. diffusion d. cotransport how can we keep peace Ionic bonds are ___________ than covalent bonds and are ___________ common in cells. What is the relationship between endomembrane system, insulin and insulin receptor, activation by phosphorylation,? To reduce traffic, market town enacts an ordinance that allows only a few specific street vendors to operate in certain areas. a court would likely review this ordinance under the principles of:____________ Exercise 3 Insert an adjective clause to modify the noun or pronoun in italics.The sea air ____________________ gave us a chill. Crack is made by taking powdered cocaine hydrochloride and adding sodium bicarbonate and water. True or false For a given material, would you expect the surface energy to be _____________________ the grain boundary energy. a skateborder traviling at 7.0m/s/s rolls to a stop at the top of a ramp in 3.0 seconds what is the skateborder's acceleration? An object weighing 1.840 kg has a volume of 0.0015 m 3. what is the density of the object in g/cm3? 5 positive integers are arranged inascending order, as follows:5, 6, 7, 7, xThe mode and the range are equal.Find x.x In the story Rip van Winkle how does Washington Irving use ironic elements to describe rips relationship with Dame Vanwinkle support answer examples from the text Mark is purchasing new tiles for his bathrooms. The home improvement store charges $48 for each box of tiles when three or fewer boxes are purchased, $45 for each box when 4 to 8 boxes are purchased, $42 for each box when 9 to 19 boxes are purchased, and $38 for each box when more than nineteen boxes are purchased.a. Write a piecewise function describing the cost of the boxes of tile. Porter's competitive forces model identifies ________ major forces that can endanger or enhance a company's position in a given industry. PERFORMANCE TASK A: Identify the meaning of given words below according to how it is used in Learning Task 3 with the help of the context clues in the sentence that you learned from the lesson. Write your answers in the blank.1. capital2. defunct3. neophyte4. pernicious5. relegated Which layer is understood to be malleable and exhibits plastic-like behavior that allows for convection responsible for plate tectonics? Exercise 1 Draw one line under the simple subject and two lines under the simple predicate of each sentence below.Mom started loading her camera in anticipation. The use of secret codes, attributes, or symbols is reserved exclusively for religious or mythological art. true false In the context of identifying and clarifying information needs for research, identify the essential components that should be included in a problem definition process. (check all that apply.) Can someone help me with this question please like I really need this asap.