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What is a reward that follows an action is called?
risk taking
What are the risks and rewards of investing?
The risk is you can lose everything, and the reward is you could make a profit.
What is the pros and cons of risk taking?
Pro - The greater the risk, the greater the reward Con - Risk = Loss
Why is profit important to a business owner?
Profit is an important reward to business owners since in setting up and running the business the owners are taking a risk with their money. They make nothing if the business does not generate a profit. This also applies to shareholders, since they are also the owners.
What does profit?
Profit means the difference between revenues and expenses. This left over amount is the business owner's reward for the risk they took in undertaking the business.
What meaning profit?
Profit means the difference between revenues and expenses. This left over amount is the business owner's reward for the risk they took in undertaking the business.
Why managers taking risk in management in any financial institution?
Risk taking is the part of the management duties, because without risk there can be no profit as the old saying goes: "High Risk High Profit, Low Risk Low Profit"But in the financial institutions where there is a transactions are about millions of dollars or thousands of dollars, management has to anticipate and take the proactive measures to invest the money.But approximately all the risk which are taken are measured risks.
When it comes to investing what is the usual relationship between risk and reward?
When it comes to investing, one general relationship between risk and reward is that taking more risk is associated with a greater return. However, in many cases there is no relationship between the two. For example, even though stocks tend to have a higher return than bonds, taking that risk does not guarantee a better return.
What factors do economists consider to be economic resources?
Generally, economic resource (reward): Land (rent); Labour (wages); Capital (interest); Entrepreneurship (profit). Combined with management and economic risk taking and specific needs of the market give output.
What are the reward for each factor of production?
The Financial Reward is called Profit
What is the major reward for producers?
profit! A+
What does profitible mean?
Profit means the difference between revenues and expenses. This left over amount is the business owner's reward for the risk they took in undertaking the business.
