<span>The company is using market-penetration pricing.</span>
Answer:
differential cost of producing product C = $24 per pound
Explanation:
given data
B currently selling = $30 per pound
produce cost = $28 per pound
C would sell = $60 per pound
produce additional cost = $24 per pound
to find out
What is the differential cost of producing Product C
solution
we get differential cost of producing product C is express as
differential cost of producing product C = cost of (B+C) - cost of B .............1
put here value we get
differential cost of producing product C = (28+24) - 28
differential cost of producing product C = $24 per pound
If the internal rate of return is used as the discount rate in the net present value calculations, the net present value will be equal to zero. The internal rate of return (IRR) is a financial analysis metric used to estimate the profitability of potential investments.
The IRR calculations use the same formula as NPV calculations. Keep in mind that the IRR is not the project's actual the dollar value. The annual return is what brings the NPV to zero. The IRR is calculated in the same way as net present value (NPV), except that it sets NPV to zero.
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The trade union acts as AN INTEREST GROUP. An interest group refers to a group of people that seeks to influence public policy on the basis of a specific common concern or interest. An interest group can fall under one of two categories which are economic and non-economic interest groups.
Answer and Explanation:
The computation of the maturity of the bond is as follows;
When the bond sales at par that means the future value is equivalent to the present value. Also the par value is considered as a future value and we assume the par value be $1,000. Also the coupon rate and the market rate is the same i.e. 10%
Now
Present value = $1,000
Future value = $1,000
PMT = 10% of $1,000 = $100
RATE = 10%
The formula is shown below:
= NPER(RATE;PMT;-PV;FV;TYPE)
The present value comes in negative
After applying the above formula, the maturity would be
As it shows #VALUE so it is not able to find therefore the maturity would be equal to the par value i.e. $1,000