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AlexFokin [52]
3 years ago
9

Diverse Diversions, Inc., makes video, games. Ember buys a copy of Final Infinity. Inside the package is a shrink-wrap agreement

. With respect to the contract for the game's purchase, the shrink-wrap agreement may not be enforced if _________.
a. Ember does not read it
b. Ember learns of it after contracting
c. Ember learns of it before contracting
d. the play of the game is poor
Business
1 answer:
Vilka [71]3 years ago
5 0

Answer:

B) Ember learns of it after contracting

Explanation:

A shrink wrap agreement is a type of legal agreement that a customer generally engages in when he/she purchases a product. They generally define the terms and conditions of usage of the new product.

In order for any legal agreement to be enforceable, you must first agree with it before a transaction is carried out. In this case, Ember discovered the agreement after purchasing the game, no one told her anything about it before she purchased it. Since the agreement was not something that Ember agreed to it is unenforceable.

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Caribou Gold Mining Corporation is expected to pay a dividend of $6 in the upcoming year. Dividends are expected to decline at t
Oxana [17]

Answer:

A) $50

Explanation:

The computation of the intrinsic value of the stock is shown below:

But before that the required rate of return is computed by using CAPM

Required rate of return = Risk-free rate of return + Beta × (Market rate of return - risk-free rate of return)

= 5% + 0.5 × (13% - 5%)

= 5% + 0.5 × 8%

= 5% + 4%

= 9%

Now the intrisinc value is

= Dividend ÷ (required rate of return - growth rate)

= $6 ÷ (9% - (-3%)

= $6 ÷ 12%

= $50

Hence, the intrinsic value of the stock is $50

Therefore the correct option is A.

4 0
3 years ago
An investment adviser has a soft dollar arrangement with DEF Brokerage Company. An investment adviser representative brings a bi
juin [17]

Answer:

The remaining part of the question:

Which statement is TRUE?

A. Because the payment received by the IAR is small, there is no requirement to notify the client of the payment arrangement with the executing broker

B. Because the client has an investment objective of aggressive growth, requiring an active trading strategy, there is no requirement to notify the client of the payment arrangement with the executing broker

C. The IAR must notify the client of the payment arrangement with the executing broker

D. The IAR must notify RIA of the payment arrangement with the executing broker

<u>Correct Answer:</u>

<u>C. The IAR must notify the client of the payment arrangement with the executing broker .</u>

<u />

Explanation:

7 0
3 years ago
Frieda Inc. is considering a capital expansion project. The initial investment of undertaking this project is $105,500. This exp
Nana76 [90]

Answer:

WACC = 0.18 or 18%

Option b is the correct answer.

Explanation:

The WACC or weighted average cost of capital is the cost of a firm's capital structure that can contain one or more of the following components, namely debt, preferred stock and common equity. The formula to calculate the WACC is as follows,

WACC = wD * rD * (1-tax rate)  +  wP * rP  +  wE * rE

Where,

  • w represents the weight of each component
  • D, P and E represents debt, preferred stock and common equity respectively
  • r represents the cost of each component
  • rD * (1-tax rate) represents the after tax cost of debt

WACC = 0.2 * 0.16   +   0.8 * 0.185

WACC = 0.18 or 18%

7 0
3 years ago
Mickey is a 12-year-old dialysis patient. Three times a week for the entire year he and his mother, Sue, drive 20 miles one way
gavmur [86]

Answer:

The right approach will be "$ 1123.2".

Explanation:

The number of miles to be used will be:

= 40 \ miles \ round \ trip\times  3 \ trips \ per \ week\times 52 weeks

= 6240 \ miles

Now,

The item deduction will be:

= Number \ of \ used \ miles\times 18 \ cents \ per \ mile

= 6240\times 1123.2

= 1123.2 ($)

4 0
3 years ago
Suppose a new recreational neighborhood park would cost​ $20,000, including opportunity​ costs, to construct and maintain. if​ b
oksian1 [2.3K]

The decision to build the park or not would be based solely on the cost – benefit relationship of this project. Since there is no other factor considered in this problem, you only need to see if the benefit of constructing the park would exceed its cost. In this problem, the cost to construct the park is $20,000 while the marginal benefit would be $24,000 ($8,000 x 3 families that can benefit from this project). Therefore, you can say that the benefit has exceeded its cost. As a conclusion, the neighborhood park should be built because it benefits the families living in that area more than its cost.

8 0
3 years ago
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