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"Boeing Company was scheduled to deliver several of its 747-400 jumbo jetliners to Northwest Airlines by December 31, 1988. Nort

MAXImum [283]

Answer: NO, Northwest

Airlines can not recover lost credit tax, it has been forfeited.

Explanation:

What is a CREDIT TAX, this are grants given by government which is therefore used in replacing OLD APPLIANCES, and help tax payer reduce their total cost of housing unit.

As a result when due and over a year or more of request, it would be termed as unrecoverable.

The BOEING company, is an aviation company that manufactures Airplanes, jets and other airline Gadget, which are considered fast and reliable.

Boeing company airplanes and jetliners can fly 416 passenger within the range of 13,450kilometer, (8,360) miles.

The NORTHWEST AIRLINES, are in business with Boeing company and made several orders.

Due to the high expectance of getting a credit tax, on the investment they made on the JUMBO JETLINERS, from the boeing company, they put up a deadline, with an investment of $16 million

Now, due to TAX BREAK given to airlines and credits tax, the northwest wanted to use this medium to offset their cost and mitigate their future revenue and profit.

Since, the Boeing company failed in meeting up with the deadline made by the Northwest airlines which was to be as at DEC, 31st 1988.

Northwest airlines lost the credit tax they were to receive, on the planes they were expecting, and therefore decided to recover those lost credit tax from the Boeing company.

This is where the north airlines would request for a discount on the cost of the airplanes they invested on, or requiring a total refund because they couldn't meet their target.

Boeing company will definitely be at loss, due to the cost over head they encountered during production process, which they definitely won't agree to.

The credit tax has been forfeit, because its exceed more than a year of request and cannot be demanded for anytime in future.

5 0

3 years ago

Read 2 more answers

Because Coca-Cola, Nestlé, and PepsiCo all sell a product (bottled water) that is essentially the same and all three giant compa

garik1379 [7]

Answer:

standard-cycle market.

Explanation:

Standard-cycle market are those where a business's competitive advantage is protected from imitation by othe companies and the imitation will be moderately costly.

In this instance the three big companies Coca-Cola, Nestlé, and PepsiCo all sell bottled water. The product is basically the same.

They engage in battles for market share using incremental changes in their products and seeking loyalty to brand names.

This is a form of standard cycle market.

6 0

3 years ago

A company currently pays a dividend of $2.8 per share (D0 = $2.8). It is estimated that the company's dividend will grow at a ra

Vinil7 [7]

Answer:

Intrinsic value: 53.41 dollars

Explanation:

First, we use the CAPM model to know the value of the stock

$Ke= r_f + \beta (r_m-r_f)$

risk free 0.085

premium market =(market rate - risk free) = 0.045

beta(non diversifiable risk) 1.3

$Ke= 0.085 + 1.3 (0.045)$

Ke 0.14350

Now we need to know the present value of the future dividends:

D0 = 2.8

D1 = D0 x (1+g) = 2.8 * 1.23 = 3.444

D2 3.444 x 1.23 = 4.2361200

The next dividends, which are at perpetuity will we solve using the dividned grow model:

$\frac{divends}{return-growth} = Intrinsic \: Value$

In this case dividends will be:

4.23612 x 1.07 = 4.5326484

return will be how return given by CAPM and g = 7%

plug this into the Dividend grow model.

$\frac{4.5326484}{0.1435 - 0.07} = Intrinsic \: Value$

value of the dividends at perpetity: 61.6686857

FInally is important to note this values are calculate in their current year. We must bring them to present day using the present value of a lump sum:

$\frac{Principal}{(1 + rate)^{time} } = PV$

$\frac{3.444}{(1 + 0.1435)^{1} } = PV$

3.011805859

$\frac{4.23612}{(1 + 0.1435)^{2} } = PV$

3.239633762

$\frac{61.6686857}{(1 + 0.1435)^{2}} = PV$

47.16201531

We add them and get the value of the stock:

53.413455

5 0

3 years ago

The _____ stage of the response process refers to a receiver's feelings for a particular brand and includes stronger levels of d

kari74 [83]

Answer:

Affective Stage

Explanation:

Affective stage is the most important stage for the market that helps in understanding the customer feeling that how much customer has been attached for a particular brand and from this the market always check that the customer requirement with some strong levels i.e. price, quantity, and quality, etc. for a particular product from which the customer has been attached since long.

4 0

3 years ago

Which of the following statements about advertising is most accurate? Advertising is the least costly form of promotion because

jek_recluse [69]

Answer:

The correct answer is letter "E": Through advertising, a company can control, to some extent, to whom the message is sent.

Explanation:

Advertising is the main key to Marketing by which companies promote their goods or services in an attempt to attract a target population. However, the process of determining what advertising technique a firm will use is not that simple. A series of psychological approaches are used to reach consumers strategically.

<em>Companies at a certain level, manage their marketing audience. Though, different mediums of communication allow people of all kinds, not necessarily the company's target population, to be aware of the promotion somehow.</em>

8 0

2 years ago