Answer:
D. participant companies do not share costs or profits.
Explanation:
A strategic alliance is the business relation that would be between two or more companies in order to accomplish their individual goals and objectives. In this, the companies would be work independently so that no one could interfere. The motive to create this is to gain a competitive advantage
So according to the given situation, the option d is correct
And, the rest of the options would be incorrect
Answer:
1. The overall goal and/or purpose
The overall goal of this analysis is to determine if you would actually save money by purchasing the extended warranty.
2. The given information
You can calculate this by determining the present value of the expected repair costs that will be covered by the warranty and determine which is higher; the warranty or the repairs
3. A time-line for the expected repair costs covered by the warranty
- initial investment -$1,800
- cash flow year 4 = $400
- cash flow year 5 = $500
- cash flow year 6 = $600
- cash flow year 7 = $800
4. The present value for each of the repair costs
the discount rate is 7%, so the present value of each repair cost is:
- PV cash flow year 4 = $400 / 1.07⁴ = $305
- PV cash flow year 5 = $500 / 1.07⁵ = $356
- PV cash flow year 6 = $600 / 1.07⁶ = $400
- PV cash flow year 7 = $800 / 1.07⁷ = $498
- total $1,559
5. The present value of the warranty and the expected profit for the warranty company
the present value of the warranty is $1,800, so the car company is making $1,800 - $1,559 = $241 in profits by selling you the warranty
6. Your conclusion
You shouldn't buy the extended warranty (negative NPV)
Answer:
$3
Explanation:
Producer surplus is the difference between the minimum acceptable price a producer is willing to receive for his product and the price he sells the product.
Producer surplus = $18 - $15 = $3
I hope my answer helps you
Answer: the intention of management for the property when the building was acquired.
Explanation:
From the question, we are informed that if a corporation buys a lot and building and then tears down the building and then uses the property as a parking lot.
It should be noted that based on the above situation, the proper accounting treatment of the cost of the building would depend on the management's intention regarding the property when they bought the building.
Answer
The answer and procedures of the exercise are attached in the following archives.
Explanation
You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.