Answer:
a) Jackie's accounting profit of just zero, her revenue have to be $5000
b) The revenue would give Jackie an economic profit of just zero is $67,000
Explanation:
a) $5,000 is the only cost that would have to add to the accounting profit calculation, which is the cost of upgrading her computer equipment every year as she runs the business out of a room in her home. For her accounting profit to be just equal to zero, her total revenue would have to be $5,000 to meet the requirement.
b) Total revenue is $67,000, which includes the cost of equipment upgrade, the opportunity cost of not renting out the room, and the opportunity cost of Jackie’s time. All the costs that will add to the calculation for the economic profit of the company. Jackie’s total revenue would have to be $67,000 to be just zero to meet the requirement.
Answer:
The reward to risk ratio for stock Y is 7.22%
The reward to risk ratio for stock Z is 5.50%
Explanation:
First and foremost, it is very important to note that the reward-to-risk ratio of a stock is the risk premium paid by the stock divided by its asset Beta.
The risk premium is calculated as stock expected return minus risk free rate
The risk premium is denoted by (rm – rrf) in Capital Asset Pricing Model of Modgiliani and Miller
For stock Y risk premium is 18.2%-5.2%=13%
For stock Z risk premium is 9.6%-5.2%=4.40%
For stock Y reward to risk ratio=13%/1.8=7.22%
For stock Z reward to risk ratio=4.40%/0.8=5.50%
Hence stock Y has a higher reward to risk ratio
Answer:
Tom paid $23.54 while his cousin spent $18.72. Tom spent more on tax $.082 more than his cousin.
Explanation:
Tom
Cost of shirt = $22
Sales tax = 7%
Total amount paid = 22 + (7% × 22)
= 22 + 1.54
= $23.54
Tom's cousin
Cost of shirt = $18
Sales tax = 4%
Total amount paid = 18 + (4% × 18)
= 18 + 0.72
= $18.72
Tom spent more on tax as he spent $1.54 as against his cousin's $0.72.
We can use different parts of a landscape to represent different stages of its evolution this strategy is called trading location for <u>time</u>
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<h3>Definition of evolution</h3>
The term "evolution" is one that most of us first hear in a science class, although the idea has application in a variety of fields, including biology, technology, and behavior.
When we discuss business evolution, we're talking about adapting to market dynamics, client demand, and evolving technologies to assure relevance and advancement.
According to Paul Salnikow, who makes this argument, "We have seen the rise of shifts in business habits, with global travel, The emergence of the internet, and really global communication. People now view marketplaces on a regional or even global level rather than as a country or city, and in order to reach their markets, they relocate.
Learn more about evolution
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