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miss Akunina [59]
3 years ago
12

You want to lease a riding mower from Mowers, Inc.. The lease contract is in the form of 36 equal monthly payments at a 7.2 perc

ent stated annual rate, compounded monthly. Because the mower costs $10,000 retail, Mowers Inc. wants the present value of the lease payments to equal $10,000. Suppose your first payment is due immediately. What will your monthly lease payments be
Business
1 answer:
Valentin [98]3 years ago
4 0

Answer:

$307.83918 or $307.84

Explanation:

The computation of the monthly lease payment is shown below:

Given that

stated annual rate = s = 7.2% = 0.072

monthly rate = r = s ÷ 12 = 7.2 ÷ 12 = 0.6% = 0.006

number of equal monthly payments =  n = 36  

present value of the lease payments = p = $10,000

Based on the above information

let us assume the monthly lease payments be A

Now the following formula to be used

A × PVIFA(n,r) × (1 + r) = p

where,

PVIFA(n,r) is

= [ (1+r) n -1] ÷ ((1 + r)n × r)

= [ (1.006)36 -1] ÷ ((1.006)36  × 0.006)

= 32.29074882

Now  

A × 32.29074882 × (1.006) = $10,000

A = $10,000 ÷ (32.29074882 × 1.006)

= $307.83918 or $307.84

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Costs, also called differential costs, are the additional costs from selecting a certain course of action.
Ilia_Sergeevich [38]

It is true that Costs, also called differential costs, are the additional costs from selecting a certain course of action.

<h3>What is differential costs?</h3>

Differential cost serves as the  difference between the cost of alternative decisions.

Therefore, It is true that Costs, also called differential costs, are the additional costs from selecting a certain course of action and the  cost do take place when a business have several similar options,

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8 0
2 years ago
The Akron Slugger Company produces various types of wooden baseball bats. It has calculated the average cost per unit of a produ
zlopas [31]

Answer:

variable cost of producing is $72,200

Explanation:

given data

total costs = 7,900

production @ $12

fixed = $22600

to find out

variable cost of producing each​ bat

solution

we know here that

total costs at 7,900 production @ $12 then that would be

= 7,900 × 12   = 94,800

so now we can say  variable will be here  = $94,800 - $22600

so variable = 72200

hence  variable cost of producing is $72,200

4 0
3 years ago
You are the marketing manager for Oxymoron Detergent and have been tasked with introducing this product into Argentina. What six
Slav-nsk [51]

Answer:

Following are the solution to this question:

Explanation:

Before choosing the distribution platform for Oxymoron Detergent, I would also like to take account, as sales director:

product:

They need to have a longer, and more diverse network, which includes a specialized sales and service talent for washing powder, that's also sustainable but streamlined.

Its next factor is demand, that both commercial market where distributors are relevant and broad regions and we need networks will be necessary. It is the instance to the Consumer, in which the Dealer research can also determine the decision of networks supply data regarding the number, form, place, buying habits of customers and sellers.

To consider, that middlemen, that will provide maximum cooperation for marketing products or who gives the highest priority to the canal that generates the maximum overall sales at lower costs, as well as the fourth factor is a business where the size of the company determines the market size, the size, as well as its ability to cooperate with intermediaries.

Provided because we're a big company, the stream will be shorter. The product range of the company influences its distribution pattern. The longer a line is, the shorter the stream will be. With regards to the marketing environment, it is a great time for both the economy. We can offer a broader range of alternative channels. Mostly on the competitive front, competitors must be examined and the modes of channels they use, as well as the delivery of the goods, may share equal channels.

7 0
3 years ago
Which of the following statements is true of factors that create consumer attention? ​ a. Surprising stimuli are less likely to
timurjin [86]

Which of the following statements is true of factors that create consumer attention. <u>Moving objects will get more attention than the stationary ones</u>

Answer: Correct answer is (C)

<u>Explanation:</u>

Motion plays a very important role in catching the attention of the consumers.An organisation has to work very hard to get the attention of consumers.Sometimes it is tough to gain their attention.Various techniques are used to catch the customer's eye.But the researches have shown that moving objects attract more customers than the stationary one.

Objects in motion are more appealing to our eyes .Like advertisements on television have more influence on consumer's attention rather than advertisement in newspapers which is stationary.

Advertisement is the best way to communicate with the target customers.But if that ad is in motion and has sound also it will remain in the mind of consumer for long time.

So it can be said that movement attract attention and influence the purchase decision.A stagnant sign does not have a same effect as a sign in motion.Moving object has the ability to convince.

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