Answer:
selling price of this car is $22700
Explanation:
given data
zero interest = 72 months
monthly payment = $350
market interest rate = 3.5% per year = 0.2917 % per month
time = 6 year = 72 months
solution
we get here present value of annuity that is
present value annuity = ( 0.2917 % per month , 72 months )
present value annuity = 64.8568
so here selling price of car is
selling price = monthly payment × present value annuity ............1
selling price = $350 × 64.8568
selling price = $22700
so selling price of this car is $22700
Answer:
d. $25,050.
Explanation:
The computation of the acquisition cost is shown below:
= Cash price of equipment + sales tax + Insurance during transit + Installation and testing
= $22,500 + $1,800 + $320 + $430
= $25,050
To find out the acquisition cost, we have to consider all that cost which is related to the purchase of equipment. Since, all the costs are related, so we have to take all costs which are mentioned in the question.
If an interviewee ask questions at the end of an interview they are showing interest in the job.
Answer:
standardized good, full information, no transactions costs, participants are price takers.
Explanation:
Perfectly competitive markets are theoretical, because even commodities' markets (e.g. corn, oil, etc.) do not comply 100% with all the characteristics of a perfectly competitive market, but are close enough to consider them as such.
The 5 characteristics of perfectly competitive markets are:
- Many participants (many buyers and sellers)
- Standardized goods or services
- Zero transaction costs
- No barriers to entry
- All participants can access perfect information
As I said before, no market complies 100% with these requirements, but some commodities' markets get close enough, but even there:
- commodity traders charge a transaction fee
- capital is a great barrier to entry that cannot be eliminated, e.g. it costs millions to drill and sell oil
- not all participants will be able to access perfect information