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kherson [118]
3 years ago
6

Flaherty is considering an investment that, if paid for immediately, is expected to return $140,000 five years from now. If Flah

erty demands a 9% return, how much is she willing to pay for this investment? (PV of $1, FV of $1, PVA of $1, and FVA of $1)
Business
1 answer:
makkiz [27]3 years ago
7 0

Answer:

PV= $90,990.39

Explanation:

Giving the following information:

Future value= $140,000

Number of periods= 5 years

Rate of return= 9%

<u>To calculate the price to pay today, we need to calculate the present value. We will use the following formula:</u>

PV= FV/(1+i)^n

PV= 140,000 / (1.09^5)

PV= $90,990.39

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When the utility function for a risk-neutral decision maker is graphed (with monetary value on the horizontal axis and utility o
andreev551 [17]

Answer:

The correct answer is letter "D": straight line.

Explanation:

Utility represents the satisfaction a person receives from the use of a good or service. In case there is a risk-neutral decision-maker, that individual is unlikely to vary the value he or she provides to the use of products to remain in a comfort zone. However, the utility could vary according to satisfaction the good or service provides in different situations.

Thus, if plotted in a graph, <em>the value representing the horizontal axis and the utility the vertical axis, there will be a straight line departing from the horizontal axis parallel to the vertical axis.</em>

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3 years ago
Crandle Manufacturers Inc. is approached by a potential customer to fulfill a one-time-only special order for a product similar
Kruka [31]

Answer:

$400

Explanation:

Calculation to determine the minimum acceptable price of this special order

Using this formula

Minimum acceptable price=Direct materials+ Direct labor+ Manufacturing support +Marketing costs

Let plug in the formula

Minimum acceptable price=$140 + $100 + $105 + $55

Minimum acceptable price=$400

Therefore the minimum acceptable price of this special order is $400

7 0
3 years ago
If there is always a 4-for-1 tradeoff between producing good X and good Y, it follows that the opportunity cost of X (in terms o
Finger [1]

Answer:Is always the same; a straight line

Explanation:

If there is always a 4-for-1 tradeoff between producing good X and good Y, it follows that the opportunity cost of X (in terms of Y) is always the same and the PPF for these two goods is a straight line

PPF Production Possibility Frontier plays an important role in that It is used to demonstrate the point that any nation's economy reaches its greatest efficiency level. This happens when it manufactures only what it is qualified to manufacture and trades with other nations for the rest of what it needs.

Also called transformation curve, It is a decision making tool That supports that manufacturing of one commodity may increase only if the manufacturing of the other commodity decreases.

6 0
3 years ago
A laborer wears a special back brace when loading trucks, a freight inspector wears goggles when conducting tests, and a distrib
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<span>A laborer wears a special back brace when loading trucks, a freight inspector wears goggles when conducting tests, and a distribution manager wears earplugs while overseeing shipments. In which workplace do these Transportation and Logistics employees most likely work? Warehouses. Based on that equipment needed while working it seems as if warehouses is the most logical place they are working. 

</span>Yukio is a Brownfield Redevelopment Specialist. Which best describes his job?  O<span>rganizes the cleaning and redevelopment of areas contaminated by pollution or waste. When you redevelop land, you are removing things that make the land not usable to be able to reuse the land again. By doing this, you can make sure the land is able to be reused before spending more time trying to develop the land again or purchasing new land. </span>
5 0
3 years ago
Ralph, a regional sales manager, was asked to analyze whether his company should launch a marketing effort to become Right Foods
podryga [215]

Answer:

Switching cost

Explanation:

Switching cost is defined as the cost that is incurred in the course of changing from one supplier to another.Switching cost can be in monetary terms like compensation and termination fees and also in non monetary terms like time , effort and psychological stress.

In the given scenario , the defined activities of Right foods and the intention of Ralph clearly point out the process of potential switch of suppliers , even as the potential switching cost of $0.5 million for termination and $100,000 for replacing of software and retraining of staff are apparent.

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3 years ago
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