Crusoe's opportunity cost for producing a pound of berries would be 0.4 pounds of fish.
<h3>What is the opportunity cost of the fish?</h3>
This can be found as:
= Change in quantity of fish / Change in quantity of berries
Solving gives:
= (30 - 26) / 52 - 42
= 4 / 10
= 0.4 pounds of fish
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Answer:
Cash flow from assets = $51,800
Explanation:
Cash flow from assets = Cash flow to Creditors + Cash flow to Shareholders
Cash flow to creditors = Interest Paid – (New loans taken – Paid Loans)
= $28,311 - ($0 - $21,000)
= $28,311 + $21,000
= $49,311
Cash flow to shareholders = Dividends paid – Net new equity
= $27,500 – $25,000
= $2,500
Cash flow from assets = $49,311 + $2,500 = $51,811
Answer:
b. Buy £1,000,000 forward for $1.50/£.
Explanation:
Let's say for instance, we agree to make purchase of €1,000,000 and then forward for $1.50/€ and we assume that the price turns out to become $1.62/€ in three months time, the expected profit will be $12,000 = €1,000,000 ($1.62 - $1.50)As we can see, answer d looks convincing from an accounting standpoint, but it is wrong because the question asks us to make money with a forward contract, not by holding a particular spot. The correct option should be option b.
As indicated in the Preliminary Scope Statement, some of the potential risks associated with the fishing expedition are:
- Risk of Water damage to equipment;
- Risk of drowning
- Risk of potential loss of fishing equipment. etc.
<h3>What is a Preliminary Scope Statement?</h3>
A Preliminary Scope Statement is a written or documented statement that highlights the significance and level of a project as well as its objectives.
When writing a Preliminary Scope Statement, the goals or objectives have to be itemized in a manner that is:
- Easy to understand
- Actionable; and
- Measurable.
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The answer is that the given statement is True.
When firm has achieved greatest creation limit, firm should make extra speculation to extend generation plants and to accomplish this , firm should build the costs of the item which will influence the supply versatility.
