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Inessa [10]
3 years ago
12

Osion Electronics Inc. incurs a cost of $350 to produce one unit of a cell phone. The company's management has priced the produc

t at $600 in the market. Considering the technological advancement of the cell phone, customers perceive its value to be around $800. What is the economic value created in this scenario
Business
1 answer:
Vsevolod [243]3 years ago
7 0

Answer:

The economic value establish in this case is $450

Explanation:

Economic value is the term which is defined as the computation of the profits an asset has either manufactured or might produce in the future. It is that measure of the product or service benefit provide the economic agent.

For computing the economic value as:

EV (Economic value) = (Actual rate of return - Cost of Capital) × Net Investment

where

Actual rate of return is $800

Cost of capital is $350

Net Investment is nil

Putting the values above:

EV = $800 - $350

EV = $450

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bulgar [2K]

Answer:

$9,3

Explanation:

                             COST    RETAIL    RATIO

Inventory, May 1 $10,440        $14,500 .72

Purchases           31,550            42,900

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Purchase discounts

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Net markdowns                           (1,300)

Totals excluding beginning inventory

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Goods available $43,740          59,500

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Estimated inventory, May 31

($13,000 × .72) $ 9,360

3 0
3 years ago
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ELEN [110]

Answer:

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Answer: positive

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This is the method used in order to being Jennifer back on track and.make her productive again.

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