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3 years ago

List several measures that describe the size of the construction industry.

2 answers:

7 0

Hello there.

List several measures that describe the size of the construction industry.
the average budget of projects
the productivity and performance
the efficiency and stability
the area/coverage of the market
the type of project

Degger [83]3 years ago

6 0

The size of the construction industry is measured by
the average budget of projects (small, medium, big)
the productivity and performance
the efficiency and stability
the area/coverage of the market (local, multinational, international)
the type of project (residential, commercial, industrial)

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3 years ago

A firm's current profits are $400,000. These profits are expected to grow indefinitely at a constant annual rate of 4 percent. I

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Answer:

A. $21,200,000

B. $20,800,000

Explanation:

A. Calculation to determine The instant before it pays out current profits as dividends

Value of the firm =[(Current profits) × (1 +Opportunity cost of funds)} ÷ (Opportunity cost of funds - Constant growth annual rate)

Let plug in the formula

Value of the firm= [($400,000) × (1 + 0.06)]÷ (0.06 - 0.04)

Value of the firm= [($400,000) × (1.06)]÷0.02

Value of the firm= $424,000 ÷ 0.02

Value of the firm= $21,200,000

Therefore The instant before it pays out current profits as dividends will be $21,200,000

B. Calculation to determine The instant after it pays out current profits as dividends

Using this formula

Value of the firm =[(Current profits) × (1 +Constant growth annual rate)} ÷ (Opportunity cost of funds - Constant growth annual rate)

Let plug in the formula

Value of the firm= [($400,000) × (1 + 0.04)] ÷ (0.06 - 0.04)

Value of the firm= [($400,000) × (1.04)] ÷ (0.06 - 0.04)

Value of the firm= $416,000 ÷ 0.02

Value of the firm= $20,800,000

Therefore The instant after it pays out current profits as dividends will be $20,800,000

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3 years ago

firm purchased copper pipes a few years ago at $10 per pipe and stored them, using them only as the need arises. The firm coul

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Answer:

The opportunity cost of each pipe and what is the sunk cost is $77 and $67 per pipe respectively.

Explanation:

Opportunity cost: The opportunity cost is that cost which is incurred to choose the best options with the available options.

Sunk cost: The sunk cost is that cost which is not recovered in the future. Its other name is the past cost. It does not help to make future decisions as if it is incurred then it cannot be recovered again

So, the opportunity would be the current price i.e $77

And, the sunk cost is $67 per pipe ($77 - $10)

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2 years ago

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3 years ago

The government of Happyland collects $100 million in taxes each year and currently has a public debt of $1.2 billion, which it f

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Annual interest payment for debt = 0.08*1.2B = $96 million

Only the interest payment is about 96% of government revenue, so its not manageable.

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