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2 years ago

When a company owner practices price discrimination, the marginal revenue of an extra unit sold.

1 answer:

5 0

When a business owner uses price discrimination, the marginal revenue curve and the market demand curve are in line, therefore the marginal revenue is the same as the product's price.

The additional money made by selling one more unit of output is known as marginal revenue. The law of diminishing returns eventually leads marginal revenue to start dropping as output level grows, even though it can stay constant at a certain level of output.

The incremental cost or profit made when producing the following item is referred to as marginal. While marginal cost is the additional expense for producing one extra unit, marginal product is the increased revenue.

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Landis Company purchased $2,000,000 of 8%, 5-year bonds from Ritter, Inc. on January 1, 2018, with interest payable on July 1 an

yanalaym [24]

Answer:

correct option is c. $51,240

Explanation:

given data

fair value of Ritter Inc = $2,120,000

Landis Company purchased = $2,000,000

rate = 8 %

time = 5 year

bonds sold = $2,083,160

rate = 7%

premiums July 1 = $7,080

premiums December 31 = $7,320

solution

we get here Landis Company comprehensive income as separate component of stockholders' equity that is express as

comprehensive income = fair value of Ritter - ( bonds sold - premiums July 1 - premiums December 31 ) ..................1

put here value and we get

comprehensive income = $2,120,000 - ( $2,083,160 - $7,080 - $7,320 )

comprehensive income = $51240

so correct option is c. $51,240

7 0

3 years ago

Hellllllo mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmoooooooooooooooooooooooooooooooooooooooooooooooo

lubasha [3.4K]

The answer to your question would be : Hello ! :)

After a long thought process regarding this question, I concluded that this would be the only acceptable response.

8 0

4 years ago

Finding a need for a product or service on which to base a start-up business is the

Oksi-84 [34.3K]

Answer:

The answer is D

Explanation:

6 0

3 years ago

The market value of Firm L’s debt is $200,000 and its cost of debt is 7%. The firm’s equity has a market value of $400,000, its

motikmotik

Answer: $530000

Explanation:

Debt $200000.

Equity $400000

rd=7%.

rd for equity =12%

Taxrate= 40%

Earning rate for equity= 4%

Firm L has a total of $200000+ $400000= $600000

A similar firm with no debt should have a smaller value.

The calculation is as follows.

VTotal= Vu + Vts

Make Vu the subject of the formula

So,

Vu= VTotal - Vts

= Debt + Equity(S) - Vts

Firstly, we need to calculate Vts

Value tax shelter (Vts)

=rdTD(rsU-G)

= 0.07(0.40)(200000)/(0.12-0.04)

=5600/0.08

= $80,000

Therefore,

Vu= $200000 + $400000- $70000

Vu= $600000 - $70000

Vu= $ 530000

In conclusion

The value of Firm L if it has no debt is $530000

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4 years ago

Read 2 more answers

Discuss and define the eight common risk responses that are used and describe how you might use two or three of them together on

algol [13]

Avoid, Threat, Change project plan and or scope, Improve project communications, Decide not to perform the project, Transfer, Threat Insurance is the eighth most common risk response that is used.

Mitigate

Threat

Lower probability and/or impact of threat

Build in redundancy

Use more reliable methods

3 possible responses that could work well together would be Accept, Research, and Mitigation

Preface any problem with Mitigation - reduces the probability of a risk happening ex) Obtain a key resource beforehand (most likely an expert on the topic). Also, build redundancy, and have members trained to do work of key resources if not available.

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3 0

2 years ago