Answer:
The correct answer is letter "B": cost-benefit assessment.
Explanation:
Cost-benefit assessment implies analyzing what the costs and benefits of engaging in business are. The approach aims to minimize losses and maximize benefits. It does not necessarily imply there are not going to be losses during the business cycle but could reduce them as much as possible.
Answer:
D. John
Explanation:
John has an annual income of $100,000 which is equivalent to a monthly salary of $ 8,334.00 ($100,000 divide by 12 months)
Applying the 28/36 borrowing rule, Mr. John cannot exceed 36 percent of his monthly income to service debts. It means that John has $ 3000 available every month to service his loans.
John intends to take a loan of $ 10,000. This amount is within his ability to pay. Even if he has other debts, he only needs months to clear the loan plus interest.
If we apply the same rule to Paul, his monthly salary is $2, 084.00. He has $ 750.00 available to pay the loan every month. A loan of $ 50,000 with interest will take about seven years to clear. Considering he may want to take other loans in that period and the value of the car by then, Paul is likely to default.
Eileen will have $720 available for repayments per month and annually $ 8640.00 to repay $400,000.00; she will need about 47 years. Considering her age, it's not viable.
Answer: d. A price near $60
Explanation:
The Preferred Stock was selling at $56 then a notice was circulated that RMO would be calling the stock at a price of $60.
This $60 is more than the current $56 and so this will need to reflect in the price of the stock. The adjustment will cause the Preferred stock to start trading near $60 as traders will seek to take advantage of the impending call by buying at a lower price and thus making a bit of profit when the stock is called at $60. The market will adjust to this because the Preferred stock will be perceived as undervalued. A price closer to the Call price will therefore become the new price to properly value the stock.
eBay has an algorithm where they take 9% of what you make until that gets up to $50 which in this case doesnt' really matter. They would take 9% of every order so if you sold your item for $10 you would actually get like $9.10 or something similar.
Answer:
A. $1,300 units
Explanation:
Data provided
Fixed expenses = $212,290
Product price = $230.00
Variable cost = $66.70 per unit
The calculation of break-even in monthly unit sales is shown below:-
Unit sales to break even = Fixed expenses ÷ Unit Contribution Margin
= $212,290 ÷ ($230.00 per unit - $66.70 per unit)
= $212,290 ÷ $163.30 per unit
= $1,300 units
Therefore for computing the units sales to break even we simply applied the above formula.