Answer:
The correct answer is A. Brazilian tomato producers are worse off.
Explanation:
A country has a comparative advantage in producing a good and service if its opportunity cost of producing that good and service is lower than that of its trading partner. So it is better off for a country that has a lower opportunity cost in production a good or service to specialise in that good or service.
Brazil has a comparative advantage in coffee production, meaning, it is better off in specialising in the production of coffee and will be worse off if Brazil specialises in Tomato
Mexico has a comparative advantage is Tomato, meaning, she is better off in specialising in Tomato and worse off if she specialises in Coffee
Answer:
5.95
Explanation:
Deere inventory turnover for 2017 ratio is:
Formula for Inventory Turnover Ratio= Cost of Goods sold / Average Inventory
Where Average Inventory = (Previous Inventory + Current Inventory) / 2
= ($2,267 + $2,999) / 2
=$5,266 / 2
=$2,633
Average Inventory = $2,633
Therefore, Inventory Turnover Ratio = $15,661 / $2,633 = 5.9479 = 5.95
Deere Inventory Turnover for 2017 Ratio is 5.95.
Answer:
Option B, IRR is 14.42%
Explanation:
The IRR is the rate of return that equates the cost of the project to the present value of cash flows receivable from the project in future.
Using an excel approach, the formula formula IRR is given as:
=irr(values)
The values in this case are
-$1300 in year 0
$450 in year 1
$450 in year two
$450 in year 3
$450 in year 4
The irr gives 14.42% as shown in the spreadsheet attached
The cost of the investment of the investment project of $1300 equals the present values of its cash flows at 14.42% rate of return
Answer:
Correct option is D.
Explanation: A contingency is an existing situation where uncertainty exists as to possible gain or loss that will be resolved when one or more future events occur or fail to occur.
In business, a contingency plan is a plan or course of action a company would implement if an unexpected event occurs. Basically, what this means is that a company is preparing for any outcome.
Answer:
$100,890
Explanation:
To determine the value of the debt we must calculate the present value of the note:
present value = future value of the note / (1 + interest rate)⁵
present value = $170,000 / (1 + 11%)⁵ = $170,000 / 1.11⁵ = $170,000 / 1.685
present value = $100,890
