Answer:
B. Firm B: "Get fresh, hot pizza, delivered under 20 minutes-or it's free.
Explanation:
To attain a competitive advantage over the market, the company should make marketing strategies so that it could maximize its sales through which it can achieve its profit targets.
The customers could be attractive with the quality of products and services the company offers
In the given scenario, the customer wants the fresh plus hot pizza at the minimum time so that the customer can be fully satisfied with the amount he/she spent
So, the appropriate option is B.
Answer:
Option B is correct ( $3,250)
Product Warranty Expense= $3,250
Explanation:
Option B is correct ( $3,250)
In order to find Blast debit Product Warranty Expense we will proceed as follow:
Formula we are going to use is:
Product Warranty Expense= Cost of repair defects under the warranty *Total sales
Total Sales= Price of 1 portable CD players * Total portable CD players Sold
Total Sales=$50 * 650
Total Sales=$32,500
Product Warranty Expense= 10% * $32,500
Product Warranty Expense= $3,250
Answer
a) Gordon's Constant Growth model : P0 = D1 / (r-g)
r = 3% =0.03
, g= -7% = -0.07
, D0 = $5.1
D1 = D0*(1+g)
D1 = 5.1*(1-0.07)
D1 = $4.743
P0 = 4.743/(0.03- (-0.07))
P0 = 4.743/0.10
P0 = $47.43
So, Stock M should sell at a price of $47.43 today
b) Price 8 years from now
==> P8 = D9/(r-g)
P8 = D0*(1+g)^9/(r-g)
P8 = 5.1* (1-0.07)^9 / (0.03- (-0.07))
P8 = 5.1*0.52041108298 / (0.03- (-0.07))
P8 = 2.65410
P8 = $26.54
c) Investor may want to buy the stock today for the Dividends. If the dividends paid are high enough, the present value of the dividends is also high and may more than compensate the fall in stock price. This type of stocks work and give cash flows like a project where the initial cashflows are higher and later cashflows are less because of market factors.
Answer: $5,000
Explanation:
The hospital bill reached $100,000. It will then be first subject to the deductible of $500 per year.
Adjusting for that will give us,
= 100,000 - 500
= $99,500
This is the net amount payable
Then we calculate the Coinsurance cost of 10% to the person for the stay in the hospital.
We will have,
= 99,500 * (0.1)
= $9,950
$9,950 is what the person is supposed to pay but because the individual out-of-pocket MAXIMUM payment is $5,000, they pay that Maximum.
Therefore $5,000 is how much the person pays out-of-pocket for their care in this situation.
If you need any clarification do react or comment.
Answer:
insurance expense 1,250 debit
prepaid insurance 1,250 credit
Explanation:
the insurance contract is for 2 year so, 24 months
3,000 is the value of 24 month of insurance:
3,000 / 24 = 125 per month
From March 1st, 2018 to December 31th,2018 --> 10 months
125 x 10 = 1,250
This is the case of an accrued expense.
Our prepaid insurance will decrease by this amount and we will recognize the 1,250 insurance expense.