Answer:
$6,225.08
Explanation:
The computation of the future value of these cash flows in year 4 is shown below:
= Year 1 cash flow × (1 + interest rate)^year + Year 2 cash flow × (1 + interest rate)^year + Year 3 cash flow × (1 + interest rate)^year + Year 4 cash flow × (1 + interest rate)^year
= $950 × 1.08^3 + $1,180 × 1.08^2 + $1,400 × 1.08^1 + $2,140
= $950 × 1.259712 + $1,180 × 1.1664 + $1,400 × 1.08 + $2,140
= $1,196.7264 + $1,376.352 + $1,512 + $2,140
= $6,225.08
Answer:
137.77%
Explanation:
obviously the numbers are missing, so I looked for a similar question:
"A stock that sold for $26 per share at the beginning of the year was selling for $52 at the end of the year. If the stock paid a dividend of $9.82 per share, what is the simple interest rate on the investment in this stock? Consider the interest to be the increase in value plus the dividend."
- total interest received (your gain) = (year end market value - purchase price) + dividends received = ($52 - $26) + $9.82 = $35.82
- initial investment (purchase price) = $26
simple interest rate of return on investment = total interest received / initial investment = $35.82 / $26 = 1.3777 or 137.77%
Pure competition or perfect competition is where all firms have full knowledge of what is going on in the market, where there is free flow of information between not only the producers, but also with the consumers.
As such, all firms have no dominant share of market power since each individual firm is able to produce the good of the same quality and quantity (factors of production are fluid, and no costs in transportation in this theory). And at the same time, consumers have full knowledge of the quality of good they are getting and hence no firm will be able to exploit the misinformation of a good for its own profits.
This builds up to the point of a perfectly elastic demand curve, where consumers know what amount and at which price point do they value the product at. And knowing for the fact that small individual firms in a purely competitive firm have no say over prices, they become the price takers for this kind of market. Thus where MB=MC, the equilibrium point is reached and it is also at the socially optimal level since all consumers have full knowledge of the pros and cons of consuming a product (hence no externalities).
Hope this helps!<span />
Answer:
The Company will use the 64 unit cost for the make scenario
and use the 54 for the buy plus the fixed cost (6x 2000)
In the short term, when the fixed cost are unavoidable, the operating profit will increase to 6,000
in the long-term, the operating profit will increase to 18,000
Explanation:
Direct Materials 27
Direct Labor 16
Variable Overhead 14
Fixed Overhead 6
Total unit cost 63
Total Variable Cost 57
Offered Unit cost
108,000/2,000 = 54
Unit Cost $63.00 $54.00 $9.00
Total Cost $126,000.00 $108,000.00 $18,000.00
Unavoidable Fixed Cost $12,000.00 -$12,000.00
Total Cost $126,000.00 $120,000.00 $6,000.00
This is a very broad question.
There are lots of relationships between business and supplier, but basically the supplier provides the resources for the business to perform its business function.
