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snow_tiger [21]
3 years ago
11

Seymour owns 3 acres of beautiful waterfront property on a large inland lake. In his will, Seymour donates the land to the state

with the understanding that the land will be used as a state beach. Seymour wants an efficient way to prevent overcrowding at the beach, so he should require
a) that all beach visitors pay the same entry fee regardless of the day of the week or time of the year.
b) that the beach limit the number of visitors to 500 per day, without an entry fee.
c) an entry fee be charged on summer weekend days when many people tend to visit the beach.
d) that only local residents be admitted to the beach
Business
1 answer:
Kruka [31]3 years ago
6 0

Answer:

c) an entry fee be charged on summer weekend days when many people tend to visit the beach.

Explanation:

Since Seymour's goal is to prevent overcrowding, then it is wise to require payment of an entry fee, on certain days when a lot of people tend visit the beach more. On other days when not so many people visit the beach, then there can be free entry for all who do.

This would be an efficient way to make sure the beach is not overcrowded.

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Sun City issues $50 million of bonds on January 1, 2021 that pay interest semiannually on June 30 and December 31. A Portion of
inna [77]

Answer:

1. Bonds are issued at a premium.

2. $55,338,768.

3. $50,000,000

4. 8%

5. 7%

6. $74,661,232

Explanation:

The well arranged table is as below for clarity:

Date              Cash Paid   Interest     Decrease in      Carrying Value

                                          Expense  Carrying Value

01/01/2021                                                                       $55,338,768

06/30/2021 $2,000,000 $1,936,857      $63,143          55,275,625

12/31/2021   2,000,000      1,936,857      65,353            55,210,272

1. Face Value of Bonds = $50,000,000

Issue Value of Bonds = $55,338,768

Issue value of bonds is higher than its face amount; therefore, bonds are issued at a premium.

2. Original issue value of bonds is $55,338,768.

3. Face amount of the bonds is $50,000,000.

4.   Semiannual interest rate = Cash paid / Face value of bonds

Stated semiannual interest rate = $2,000,000 / $50,000,000  = 0.04 =4%

Stated annual interest rate = 4%  × 2 = 8%

The stated annual interest rate is 8%

5. Market semiannual interest rate = Interest expense on 6/30/21 / Carrying value on 1/1/2021

Market semiannual interest rate = $1,936,857 / $55,338,768

Market semiannual interest rate = 0.035 = 3.50%

Market annual interest rate = 2 × Market semiannual interest rate

Market annual interest rate = 2 × 0.035 = 7%

The market annual interest rate is 7%

6. Tenure of bonds = 20 years

Number of semiannual payment = 2 * Life of bonds  = 2×20 = 40

Total cash paid = Number of semiannual payment × Semiannual interest payment + Maturity value of bonds

Total cash paid = 40 × $2,000,000 + $50,000,000

Total cash paid = $130,000,000

Total cash paid for interest = Total cash paid - Issue value of bonds

Total cash paid for interest = $130,000,000 - $55,338,768

Total cash paid for interest = $74,661,232

The total cash paid for interest assuming the bonds mature in 20 years is $74,661,232.

6 0
3 years ago
If the reserve ratio increased from 5 percent to 10 percent, then the money multiplier would a. ​rise from 5 to 10. b. ​fall fro
dezoksy [38]

Answer:

c. ​fall from 20 to 10.

Explanation:

The formula for the money multiplier is 1/reserve ratio,this means that the lower the reserve ratio the higher the multiplier, the reason for this is when the reserve ratio is lower banks can loan out a higher proportion of money therefore more money is created thus the multiplier and reserve ratio have an inverse relationship.

when the reserve ratio is 5% the multiplier is 1/0.05=20

When the reserve ratio is changed to 10% the multiplier is 1/0.1= 10

So the multiplier changes from 20 to 10.

4 0
4 years ago
Assume that a "leader country" has real gdp per capita of $40,000, whereas a "follower country" has real gdp per capita of $20,0
Anna11 [10]
Check the attached file for the solution. The answer is 10 years.

6 0
3 years ago
To improve customer service in its overseas call center, jansen electronics decided to investigate the call center practices of
stepan [7]

This illustrates <u>"benchmarking".</u>

Benchmarking is a procedure of estimating the execution of an organization's items, administrations, or procedures against those of another business thought to be the best in the business, otherwise known as "best in class." The purpose of benchmarking is to distinguish interior open doors for development. By considering organizations with unrivaled execution, separating what makes such prevalent execution conceivable, and after that contrasting those procedures with how your business works, you can actualize changes that will yield huge upgrades.  

8 0
4 years ago
Garland induces Jules to enter into a contract for the purchase of a Chef’s Burger House restaurant. Garland knowingly misrepres
jeka94

Answer:

Jules can rescind the contract on the basis of fraud.

Explanation:

Since Garland misrepresented the material facts about the restaurant, that constitutes fraud.

When a party involved in a contract is purposefully dishonest with the other parties while making or performing a contract, it is called contract fraud. Contract fraud also occurs when a party intentionally misrepresents the material facts concerning the contract.

4 0
3 years ago
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