Answer:
D) Sell - because differential income is $1,500 if Bulls sells rather than leases
Explanation:
Differential revenues and costs equal the difference in revenues or costs resulting from choosing one alternative course of action. This concept is very similar to opportunity costs analysis, since it compares what would happen if one decision is taken versus taking another alternative decision.
If Bull sells the machine, they will receive = $90,000 - 5% = $85,500
If Bulls lease the machine, they will receive = ($24,000 - $3,000) x 4 years = $84,000
Differential revenue = $85,500 - $84,000 = $1,500
Answer:
The correct answer is C: More firms could enter the industry
Explanation:
Fat's Meats control the Kielbasa industry and hence they would feel they are stable. A decrease in the demand would not bring instability as they would still be in control. Increase in cost will also not cause instability because they would increase their price and since they control the industry, customers will have no choice than to buy. The existence of non-price competition would have made them unstable, but since there is no non-price competition. However the entrance of more firms into the industry would definitely destabilize Fat's Meat because an organization can come with more influence, money, and better product and become the leader in the industry.
Answer:
$1,099,203.00
Explanation:
In this question we have to find out the future value that is shown in the attachment below:
Provided that
Present value = $0
Rate of interest = 8% ÷ 2 = 4%
NPER = 25 years × 2 = 50 years
PMT = $1,200 × 6 months = $7,200
The formula is shown below:
= -FV(Rate;NPER;PMT;PV;type)
So, after solving this, the future value is $1,099,203.00
Answer:
The shareholder's dividend income = fair market value - mortgage value = $246,000 - $74,415 = $171,585
The shareholder's basis in the property received = fair market value = $246,000
Explanation:
Even though Global has enough earnings and profits to distribute dividends (it cannot distribute dividends if it didn't make a profit or doesn't have retained earnings), it might not have enough cash available to do so. This way the company is fulfilling its obligations with its shareholder while not using its cash reserves.
A polymorphic virus is the answer