Answer:
present value of perpetuity = $29615.93
Explanation:
given data
pay = $300 per year
interest rate = 3%
solution
we get here present value payment after 5 year is
present value = 
...........1
present value = 
present value = $862.60
and
now we get present value on purchase date
present value = 
......2
present value = 
present value = $28753.33
and
present value of perpetuity is
present value of perpetuity = $862.60 + $28753.33
present value of perpetuity = $29615.93
Answer:
B. business format franchise
Explanation:
Under the business format model, the franchisee adopts the entire business operating systems of the franchisor. It means that the franchisee uses the franchisor's trademark, plans, and procedures. Goods and services offered by the franchisee will be identical and will bear the same prices as those of the franchisor.
Joseph plans to operate a business format model of a franchise. The franchisee will have to meet Joseph's standards of operations. For that to happen, Joseph must provide the following.
- Initial training
- Standardize build-out plans
- Operations manuals
- Continuous support
- Point-of-sale system education
- Key functionalities
Joseph has a responsibility to ensure the franchisee adhere to the standards agreement. It means he will have a supervisory role in management for the franchisee.
In return, Joseph will be earning commissions from each franchisee based on the income of each of them.
4. As it is not the finance departments job to keep up with reputation and how they look.
Answer:
Option B.
Explanation:
Employing internal based resources gives a better competitive edge to an organisation as those resources are already in place. This eliminates extra cost of getting new funding or resources as in option A.
