Answer:
allows a consumer to transfer risk to a company.
Explanation:
Answer:
the amount of cash received from customers is $97 million.
Explanation:
The cash received from customers can be determined by opening a Total Receivables T-Account.
Total Receivables T-Account
<u>Debit :</u>
Beginning Balance $6 million
Sales $100 million
Totals $106 million
<u>Credit </u>:
Ending Balance $9 million
Cash Received from Customers (Balancing figure) $97 million
Totals $106 million
Answer:
The PV is 125,000
Explanation:
We need to solve for the present value of a perpetuity:
The yearly amounts are 10,000
while the current interest rate is 8% = 8/100 = 0.08
10,000 / 0.08 = 125,000
the perpetuity is worth 125,000 dollars
Note, when the market rate changes the value of the perpetuity also changes as the constant cash flow is dividend over a larger or lower rate generating smaller or higher amounts, respectively
Answer:
maturity stage
Explanation:
At the maturity stage of the product's life cycle, the remaining companies will see their profits rise since the product is well accepted and its demand is high. The businesses will focus more on retaining their market share, since competition may between the remaining companies may increase. At this stage the main product should be improved or constantly modified to keep customers' preference and stand out over the competition.
Answer:
$ 474000
Explanation:
Market value added = V - K where V is the market value of the firm plus its equity and debts = (55000 × $ 11) + $ 107000 = $ 712000
K is the capital invested which in this case represent the total assets = $ 238000
Market value added = $ 712000 - $ 238000 = $ 474000