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3 years ago

Is this correct? Thank you!

Business

2 answers:

Nastasia [14]3 years ago

7 0

Answer:

yes it is correct

Equilibrium can only occur at one price .

olganol [36]3 years ago

4 0

Answer:

2 prices

Explanation:

There are two things you are looking at when finding the Equilibrium:

1) Supply & Quantity: Everything has a finite number, and there is a limit to the amount that can be produced and selled at a given time.

2) Demand: This is in terms of the amount of potential customers. Most products are sold to a certain group, which can vary in size.

The first price that can affect the Equilibrium is the cost of the item. If the item is high quality/cost more, it would generally cost more as a product, for the producer is trying to turn a profit. The next price to look at is the selling price. The price must be high enough to turn a profit, yet low enough for there too be a large customer base. Of course, this does not apply to all items, as there are some that are created for only a certain group of people.

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At the end of the fiscal year, the usual adjusting entry to prepaid insurance to record expired insurance was omitted. Which of

mixer [17]

Answer:

The correct answer is letter "D": net income for the year will be overstated.

Explanation:

Net Income is an important measure of how profitable the company is over a period of time. Net income is calculated by taking the total revenue and subtracting the business expenses which results in the earnings before tax. After taxes are deducted, the amount obtained will be the firm's net income.

Prepaid insurances are considered expenses of a company. Thus, if the payment of the prepaid insurance was not recorded, the net income of the firm will be overstated.

5 0

3 years ago

A print advertisement must have

harkovskaia [24]

B. If it is a print ad you do not need Music, Enunciation, or Action

8 0

3 years ago

You want to buy a new sports coupe for $84,500, and the finance office at the dealership has quoted you an APR of 5.2 percent fo

just olya [345]

Answer:

Ans. Your monthly payments will be $1,602.37 ; The effective annual rate is 5.33%

Explanation:

Hi, first, we need to convert this APR rate into an effective monthly rate, that is, dividing 0.052/12 =0.00433 (or 0.4333%). Then we need to use the following equation and solve for A.

$PresentValue=\frac{A((1+r)^{n}-1) }{r(1+r)^{n} }$

Where:

PresentValue= 84,500

A = periodic payments (the monthly payments that you need to make)

r = 0.004333333

n=60 months

So, let´s solve for A.

$84,500=\frac{A((1+0.004333333)^{60}-1) }{0.004333333(1+0.004333333)^{60} }$

$84,500=\frac{0.296201791}{0.005616874} A$

$84,500=A(52.73427328)$

$A= 1,602.37$

Now, in order to find the effective annual rate, we need to use the following equation.

$r(EffectiveAnnual)=((1+r(EffectiveMonthly))^{12} -1$

Notice that to find an effective rate you have to start with another effective rate, otherwise it won´t work. So everything should look like this.

$r(EffectiveAnnual)=((1+0.004333333))^{12} -1=0.0533$

Meaning that the equivalent effective annual rate to 5.2% APR is 5.33% effective annual.

Best of luck.

6 0

3 years ago

Decision #2: Planning for Retirement Erich and Mallory are 22, newly married, and ready to embark on the journey of life. They b

Wittaler [7]

Answer:

The second investment will provide the highest amount of money.

Explanation:

Giving the following information:

Option A:

They had been thinking that they would wait at least 10 years and then start investing $3000 per year to prepare for retirement, 35 years later.

Option B:

They put $3000 per year away for the next 10 years - and then simply let that money sit for the next 35 years without any additional payments.

We will assume an interest rate of 10%.

For option A, we need to use the following formula:

FV= {A*[(1+i)^n-1]}/i

A= annual deposit

FV= {3000*[(1.10^35)-1]}/0.10= $813,073.11

For option B, first, we need to determine the 10 years investment:

FV= {3000*[(1.10^10)-1]}/0.10= 47,812.27

Now, we calculate the 35-year investment with the following formula:

FV= PV*(1+i)^n

FV= 47,812.27*(1.10^35)= $1,343,641.30

7 0

3 years ago

(a) Write down 5 projects you think will lend themselves well to a Cost Benefit Analysis. Include for each of them, reasons as t

kati45 [8]

Answer:

Food chain project, Tech startup, Road construction , expansion of clothing line, construction of dams

Investment in stocks, National economic planning , Railway construction , Employee housing, Investment in Insurance

C) The food chain project

D) Investment in stocks

Explanation:

A) 5 projects that will lend themselves well to a cost benefit analysis

Food chain project ; A food chain project can lend itself properly to cost benefit analysis, The owner or Financier of the project can estimate the exact costs to be incurred in adding various delicacies to the Food chain project and he can also evaluate the revenue that each delicacy can generate at a given time based on the demand hence cost benefit analysis can be applied here
A tech startup : A tech startup can effectively implement cost benefit analysis by evaluating the cost of employing programmers based on their input and the revenue expected to be generated from the Tech startup products.
Road construction project : A road construction project is usually broken down into different project phases and this phases help the project coordinator to have an overview of the cost benefit of the project.
Expansion of a clothing line : In The expansion of a clothing line Cost Benefit Analysis can be applied, I.e. the cost of setting up clothing stores in various regions will be calculated first and then the expected profits from those outlets can be determine within a period
construction of dams : The cost benefit analysis will compare the cost of building and the benefit / revenue to be generated in the long run

B) 5 projects that do not lend themselves to cost benefit analysis

Investment in stocks : The cost benefit analysis cannot be properly carried out in this can of project because some uncertainties associated with stocks
National economic planning project; Cost benefit analysis can not be properly implemented her because the sole aim of National economic planning is to sustain the economy and some uncertainties can erupt which was not included in the economic plan
Railway project : Due to the terrain of some areas the exact cost benefit analysis can not be properly implemented and also the scope of railway construction is broad in general.
Employee housing project : Cost benefit analysis cannot be implemented here because the housing project does not benefit the company that owns the building but just the employees
Investment in Insurance : The cost benefit analysis can not be properly implemented due to the uncertainties that life brings

C) In part A The best project for me is

The food chain project and this is due to is simplicity in analysis via the cost benefit analysis

D) In part B the Least project for me is

Investment in stocks and this is due to the Volatility and uncertainty surrounding stock investment and trading

5 0

3 years ago