Answer:
Identify options.
Explanation:
Added value negotiation is defined as value that is added to a deal between parties to enhance relationship between them. It goes further than normal negotiation by providing something extra.
It focuses on interest, develops options, and creates deals that benefits all parties involved.
Mark did not want to buy cheap bags as a new year gift for his employees, while the employees did not want exorbitant bags.
Mark is focused on adding more value than the employees expect in this scenario.
Answer:
The fair value of the assets of the identifiable assets of Thompson company are $38 million and the fair value of identifiable liabilities is $6 million. So if we were to find the value of Thompson company just on the basis of identifiable assets and identifiable liabilities we would subtract the identifiable liabilities from the identifiable assets.
38-6= $32 million.
This means that on the basis of Identifiable assets and identifiable liabilities the value of Thompson company is $32 million but they Anderson Company $ 30 million for the company which means that the company has a negative goodwill. The negative good will is the price paid - the fair value.
30 million - 32 million = -2 million
This means that Anderson Company will record -2 million as negative goodwill and this implies a bargain purchase which means Anderson company will record this 2 million as a gain on their income statement.
Explanation:
Answer:
(A) 6%
(B) 20
Explanation:
The market capitalization rate for Admiral motors is 8%
= 8/100
= 0.08
The expected ROE is 10%
= 10/100
= 0.1
The expected EPS is $5
The Plowback ratio is 60%
= 60/100
= 0.6
(A) The growth rate can be calculated as follows
= Plowback ratio × ROE
= 0.6 × 0.1
= 0.06×100
= 6%
Hence the growth rate is 6%
(B) The P/E ratio can be calculated as follows
= 1-0.6/0.08-0.06
= 0.4/0.02
= 20
Hence the P/E ratio is 20
Answer:
Price elasticity of demand = 2.6
Explanation:
Given:
Old price (P0) = $70
New price (P1) = $60
Old sales (Q0) = 10,000 units
New sales (Q1) = 15,000 units
Computation of Price elasticity of demand(e):
Midpoint method

By putting the value:


e = 2.6
Answer:
1X= 5/7Y
1Y= 7/5Y
Explanation:
Relative price of product of X in terms of product Y is the price of product X expressed a fraction of product of Y, that is $10/$14=5/7,and it is expressed in standard terms 1X=5/7Y
The relative price of product Y in terms of product X is $14/$10=7/5 and also can be expressed in standard format as IY=7/5Y
All in all, product the relative price of product Y seems to be higher than the relative price of product x