Critical Thinking The Chinese company BYD is pursuing electric cars and hopes to become the world’s largest car company. With the financial support of American Warren Buffett, the company, which has only been in existence for a few years mostly making batteries, has caught the attention of not only Mr. Buffett but also many in […]
What is the long-term outlook for the airline industry, and how will its financial metrics look post-shutdown?
It was April 15, 2020, and Berkshire Hathaway CEO Warren Buffett, colloquially known as the “Oracle of Omaha,” was sitting in his office in downtown Omaha, Nebraska. He had been discussing with his Berkshire partner Charlie Munger the status of his investment in Southwest Airlines. 1 Berkshire Hathaway currently owned a 10.3% stake in Southwest […]
Write an essay where you connect Langston Hughes’ poem “Tired” to the economic facts listed below his poem.
In the early 1930s, the poet Langston Hughes wrote a poem called “Tired,” in which he said: I am so tired of waiting, Aren’t you, For the world to become good And beautiful and kind? Let us take a knife And cut the world in two – And see what worms are eating At the […]
How does this decision relate to the company’s industry and/or its maturity within the business life cycle?
Dividend policies determine how the earnings of a company are distributed. In an annual letter to Berkshire Hathaway’s shareholders, Warren Buffett explained that there are four options, or policies, that companies can do with their profits. -They can reinvest in the company -They can acquire other companies -They can repurchase shares -They can pay dividends […]