1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
lozanna [386]
3 years ago
6

Oscar is thinking of quitting his job and buying a business. He thinks he will earn $100,000 in the first year. He currently wor

ks for a firm and earns a salary of $50,000 / year.
What is Oscar's opportunity cost for buying the business?
Business
1 answer:
zepelin [54]3 years ago
7 0
Oscars opportunity cost for buying the business is 50,000
You might be interested in
One year ago, Alpha Supply issued 15-year bonds at par. The bonds have a coupon rate of 6.5 percent, paid semiannually, and a fa
Masja [62]

Answer:

option (C) - 6.11%

Explanation:

Data provided :

Coupon rate one year ago = 6.5% = 0.065

Semiannual coupon rate = \frac{0.065}{2} = 0.0325

Face value = $1,000

Present market yield = 7.2% = 0.072

Semiannual Present market yield, r = \frac{0.072}{2} = 0.036

Now,

With semiannual coupon rate bond price one year ago, C

= 0.0325 × $1,000

= $32.5

Total period in 15 years = 15 year - 1 year = 14 year

or

n = 14 × 2 = 28 semiannual periods

Therefore,

The present value = C\times[\frac{(1-(1+r)^{-n})}{r}]+FV(1+r)^{-n}

= \$32.5\times[\frac{(1-(1+0.036)^{-28})}{0.036}]+\$1,000\times(1+0.036)^{-28}

or

= $32.5 × 17.4591 + $1,000 × 0.37147

= $567.42 + $371.47

= $938.89

Hence,

The percent change in bond price = \frac{\textup{Final price - Initial price}}{\textup{Initial price}}\times100\%

= \frac{\textup{938.89-1,000}}{\textup{1,000}}

= - 6.11%

therefore,

the correct answer is option (C) - 6.11%

4 0
3 years ago
​business-to-business marketers will sometimes promote their goods directly to consumers. this is because business demand is​ __
MrMuchimi
The request ought to be Derived Demand. This is a term utilized as a part of the financial investigation that portrays the request put on one great or administration because of changes in the cost for some other related great or administration. It is an interest for some physical or immaterial thing where a market exists for both related products and ventures being referred to. The determined request can significantly affect the inferred great's market cost.
3 0
3 years ago
Which of the following currencies is not/are not a hard currency?* Euro O CHF RMB O CDS GBP Both b and c Both c and d​
cestrela7 [59]
Examples of some of the most prominent hard currencies are listed below: The U.S. dollar (USD) The euro (EUR) ... The Australian dollar (AUD)
6 0
3 years ago
If you wanted to build a structure on a river bank, you should build the structure __________ to maximize its lifetime.
Marina CMI [18]

Answer:

Above the point bar

Explanation:

channelization

Straightened sections of the river channel are lined with concrete to increase the rate of flow and reduce bank collapse

Advantages of channelization

Improves rate of flow

Benefits transportation

Reduces bank collapse

6 0
3 years ago
Baker Corp. is required by a debt agreement to maintain a current ratio of at least​ 2.5, and​ Baker's current ratio now is 3. B
Orlov [11]

Answer:

$1.67 Million

Explanation:

Current asset = 15 Million    

Current liabiltiy = 15 Million/3

                          = 5 Million    

Let the inventory X can be purchased with short term debt without violation

per current ratio requirement    

(15 + x)/5+x = 2.5    

       15 + x  = 12.5 + 2.5x    

            2.5 = 1.5x    

               x = $1.67 Million

Therefore, $1.67 Million inventory can Baker purchase without violating its debt agreement if their total current assets equal​ $15 million

7 0
3 years ago
Other questions:
  • Micro Advantage issued a $5,250,000 par value, 15-year bond a year ago at 94 (i.e., 94% of par value) with a stated rate of 10%.
    9·1 answer
  • Why do cats have such small incisors?
    8·2 answers
  • The BRAC anti-poverty program in Bangladesh gave poor families training on how to raise livestock, a savings account, and help w
    13·1 answer
  • The daily demand of an item is 1600 units. The average processing time is 30 seconds per unit. Containers (carrying 240 items) o
    14·1 answer
  • Suppose you consider buying a bond promising to pay you $25 one year from now and then the same amount every year through the fi
    10·1 answer
  • According to the growth accounting studies, if you lived in a country where illiteracy was high and 40% of the children left sch
    5·1 answer
  • How much money did he save by paying
    10·1 answer
  • Monotheism
    15·1 answer
  • when your colleague says, "i’ll go along with whatever is best for you" she is showing what interpersonal conflict management st
    7·1 answer
  • Question 1 of 15.<br> #1. Objective A: Left Turn<br> True False<br> Mark for follow up
    10·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!