The most common use of information technology in transportation is to
A) determine transportation routes using software.
B) calculate shipping rates.
C) connect buyers and sellers.
D) place person to person calls using cellular technology.
Answer: A
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The liberalization of the world trade and investment environment in recent decades, by facilitating greater international competition, has generally:
A. increased cost pressures. B. decreased the demand for local responsiveness. C. decreased pressures for cost reduction. D. increased consumer surplus. E. reduced the production of conventional commodity products.
Which of the following descriptions of the component costs of capital is INCORRECT?
A) The cost of preferred shares, Kp, is estimated as the current dividend yield on any existing preferred shares or shares of similar firms. B) The cost of debt, Kd, is estimated as the after-tax cost of issuing new debt (such as bonds) today. C) The cost of debt is estimated using the CAPM as the risk-free rate or long-term government bond yield plus beta times a market risk premium. D) All of the above are correct.