Contracts for sale may contain sections that cause implementation of the contract to depend on the successful completion of some
1 answer:
You might be interested in
Answer:
perfect competitor
Explanation:
Given:
Firm's total revenue when 10 units are sold = $100
Firm's total revenue when 11 units are sold = $110
Average Revenue =
or
Average Revenue = = $10
and,
the marginal revenue = $110 - $100 = $10
Since,
the average revenue and the marginal revenue for the firm is equal,
therefore, the is a perfect competitor
Answer:
$1,747
Explanation:
Given:
Generate Cash flows = $20,000 per year
Salvage value = $10,000
Interest = 10% = 0.10
Computation:
Net present value = PV of cash inflows - PV of cash outflow
= [($20,000 X 6.1446) + ($10,000 X 0.3855)] - $125,000
= [$122,892 + 3855] - $125,000
= $1,747
PV factor (for salvage value)
Inflow PV factor = 6.1446