1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
SVETLANKA909090 [29]
3 years ago
8

If there is inflation, "then a firm that has kept its price fixed" for some time will have a

Business
1 answer:
Lilit [14]3 years ago
4 0

If there is inflation, "then a firm that has kept its price fixed" for some time will have a low relative price. Relative-price variability rises as the inflation rate rises.

Option C

<u>Explanation: </u>

Inflation is a mechanistic explanation of the rate by which, through a time period, the median level of prices of a chosen product and service basket rises in one economy.

When inflation happens, "a company that has kept its price set" will then have a relative low price for some time.

Depending on the circumstances perspective, inflation can be seen positively or negatively.

Those who have tangible assets, such as land or products, may like inflation, which raises their assets ' worth

Money investors may not like inflation, because the worth of their cash holdings is diminished.

You might be interested in
Yurman Co. sells major household appliance service contracts for cash. The service contracts are for a one-year, two-year, or th
vekshin1

Answer:

b. $660,000.

Explanation:

Deferred revenues or unearned revenues refer to money that a company received in advance for goods or services that it still has delivered or provided. In this case, the company hasn't provided services for years 2017, 2018 and 2019 = $200,000 + $320,000 + $140,000 = $660,000

6 0
3 years ago
Gonzales Corporation generated free cash flow of $88 million this year. For the next two years,the companyʹs free cash flow is e
vodka [1.7K]

Answer:

A) $1384.24

Explanation:

Terminal Value = Free Cash Flow (FCF) of last forecast *(1+ perpetual growth rate)/(discount rate – perpetual growth rate)

FCF of last forecast = $88*(1+10%)^2 = $106.48

Gonzales Corporationʹs expected terminal enterprise value in year 2 = $106.48 * (1+4%)/(12%-4%) = $1382.24

6 0
3 years ago
Suppose that you deposit $4,500 in your bank and the required reserve ratio is 18 percent. the maximum loan your bank can make a
NNADVOKAT [17]

Suppose that you deposit $4,500 in your bank and the required reserve ratio is 18 percent. The maximum loan your bank can make as a direct result of your deposit is 3690.

<h3>What exactly is a bank loan and the required reserve ratio?</h3>
  • A loan is a quantity of money that one or more people or businesses obtain from banks or other financial organizations in order to handle their finances in connection with anticipated or unforeseen circumstances.
  • By doing this, the borrower creates a debt that must be repaid with interest within a predetermined time frame.
  • The percentage of deposits that authorities mandate a bank maintain in reserves and refrain from lending out is known as the required reserve ratio.
  • If the required reserve ratio is 1 to 10, a bank can only lend out $0.90 of every dollar it has on deposit, but it must retain $0.10 in reserves.

Hence, The maximum loan your bank can make as a direct result of your deposit is 3690.

To learn more about the loan, refer to the following link:

brainly.com/question/25599836

#SPJ4

6 0
2 years ago
EBay's customers enrich the Web site by giving their reviews after every purchase. These reviews are used by buyers to evaluate
Tatiana [17]

The options are:

A) reverse engineeringB) value chain extensionC) focused strategyD) niche market

Answer:

Value chain extension.

Explanation:

Value chain extension are the steps a company takes to extend the reach of their products to customers, and multiple relationships are built that impacts the bottom line.

In this instance eBay customers write a review after each purchase and the reviews are now used by buyers to evaluate the seller's.

EBay in turn gives special privileges. This is eBay creating an extended value chain in delivering it's products to customers.

4 0
3 years ago
ABC Corporation is considering the purchase of a machine that would cost $110,000 and would last for 4 years. At the end of 4 ye
Ahat [919]

Answer:

-$8,705

Explanation:

The computation of the Net present value is shown below

= Present value of all yearly cash inflows after applying discount factor + salvage value - initial investment

where,

The Initial investment is $110,000

All yearly cash flows would be

= Annual cost savings × PVIFA for 4 years at 12%

= $30,000 × 3.0373

= $91,119

Refer to the PVIFA table

And, the salvage value would be

= Salvage value × pvif for 4 years at 12%

= $16,000 × 0.636

= $10,176

The discount factor should be computed by

= 1 ÷ (1 + rate) ^ years

Now put these values to the above formula  

So, the value would equal to

= $91,119 + $10,176 - $110,000

= -$8,705

5 0
3 years ago
Other questions:
  • Jensen performed legal services to assist Balm Co. in accomplishing its initial organization. Jensen accepted 1,000 shares of $5
    12·1 answer
  • A manager engaged in the management function of ____ is determining organizational goals and the means for achieving them.a. pla
    8·1 answer
  • Which of the following is NOT a proactive hiring procedure? a. ​conducting background investigations on prospective employees b.
    12·1 answer
  • How to start a business
    10·1 answer
  • Why might variable expenses change a great deal at different times of year?
    6·1 answer
  • A department adds raw materials to a process at the beginning of the process and incurs conversion costs uniformly throughout th
    8·1 answer
  • Decision Point: Choosing Your Shake's Packaging You've selected the formula for the turmeric shake. You now need to decide on th
    5·1 answer
  • IKEA has essentially changed the way people shop for furniture. Discuss the pros and cons of this strategy, especially as the co
    11·2 answers
  • Indentify possible transactions​
    11·1 answer
  • leon is a project manager who is overseeing the development of a new video game. the project is running behind, and the budget i
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!