A company's competitive advantage will not endure for long when that competitive advantage can be

I am a rational and risk-averse person, and I have an option of making the following bet: I receive $500 cash, after which I rol

Tamiku [17]

Answer:

I should not accept the bet; the precise level of risk aversion does matter.

Explanation:

Risk averse person is the one who is not willing to take the risk even if he is given high returns. Risk averse person will always avoid the risks. In the given scenario the person is risk averse. If he rolls out the dice he has to pay $200 times the dice number which means he just have two chance (dice rolls 1 or dice rolls 2) for getting return otherwise he will loose the bet and he will have to pay money from the pocket.

4 0

3 years ago

Classical economist David Hume observed that as the money supply expanded after gold discoveries it took some time for prices to

Alchen [17]

Answer:

a. the prices should have risen, but production should not have changed.

Explanation:

In the case when the money supply is expanded after considering the discoveries of gold so here the prices are increased due to which the economy as the higher employment and the production level. But it is not consistent with the monetary neutrality as the prices are increased but the production level remain same or unchanged

5 0

3 years ago

The City of Lora issued $5,000,000 of general government, general obligation, 8%, 20-year bonds at 103 on April 1, 2017 20X7, to

spin [16.1K]

Answer:

$200,000

Explanation:

The value of the government obligation = $5,00,000, 8%, 20 years bonds payable at 103

Interest expenses = $5,000,000 * 8/100 * 6/12 = $200,000.

Thus, $200,000 will be reported as debt service expenses in the fiscal year 20X7.

8 0

3 years ago

In late December youâ€‹ decide, for taxâ€‹ purposes, to sell a losing position that you hold inâ€‹ Twitter, which is listed on t

sukhopar [10]

Answer:

a. The Bid/Ask spread is $0.03.

b. The statement is “False”.

c. The Bid/Ask spread at the time trade was executed is $0.02.

d. The Total Round-Trip Transaction Costs is $107.90 and the Bid/Ask spread is $0.09. It is important to have a lower commission charge. So the correct statement is “Statement C”.

Explanation:

Please check the file attached below to see the solution to given question

7 0

3 years ago

Bannister Co. is thinking about having one of its products manufactured by a subcontractor. Currently, the cost of manufacturing

ratelena [41]

Answer:

Production total cost= $104,400

It is more profitable to buy the product.

Explanation:

Giving the following information:

Production costs (1,000 units):

Direct material $ 45,000

Direct labor $30,000

Factory overhead (30% is variable) 98,000

Buy:

1,000 units from an outside supplier for $100,000.

<u>I will assume that the fixed overhead is not avoidable, therefore it should not be taken into account for the decision making.</u>

Production total cost= 45,000 + 30,000 + (98,000*0.3)

Production total cost= $104,400

It is more profitable to buy the product.

5 0

3 years ago