Answer:
the firm should have sold less output in the local market, and more output on the internet auction site.
Explanation:
Based on the scenario being described within the question it can be said that in order to maximize profits the firm should have sold less output in the local market, and more output on the internet auction site. This is because marginal revenue indicates the additional revenue that will be generated by increasing product sales by one unit. Therefore since the internet auction site's marginal revenue is higher than the local store, it means that selling more units in the internet site will lead to more profit than the local market.
Answer:
Year 2= $4,687.5
Explanation:
Giving the following information:
Purchase price= $34,000
Useful life= 8 years
Salvage value= $9,000
<u>To calculate the depreciation expense under the double-declining-balance, we need to use the following formula:</u>
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Annual depreciation= 2*[(book value)/estimated life (years)]
Year 1= [(34,000 - 9,000)/8]*2= $6,250
Year 2= [(25,000 - 6,250)/8]*2= $4,687.5
Answer:
=2.98%
Explanation:
Use CAPM to find the required return of the stock;
CAPM: r = risk free + beta(market return - risk free)
risk free = 4.5% or 0.045 as a decimal
beta = -0.4
market return = 8.3% or 0.083 as a decimal
Next, plug in the numbers into the CAPM formula;
r = 0.045 -0.4(0.083 - 0.045)
r = 0.045 -0.0152
r = 0.0298 or 2.98%
Therefore the required return is 2.98%
Answer:We use the Large Function. the general formula is =LARGE(first cell:last cell,3) .Please refer to the explanation section for details
Explanation:
Let us assume
A 1 = $1,250, A 2 = $1,090, A 3 = $985, A 4 = $985, A 5 = $880, A 6 = $756, A 7 = $675, A 78= $650, and A 9 =$600
Using the Large function on excel to return the third largest value, on the formula bar we have the following formula;
=LARGE(A1:A2,3)
