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Evgesh-ka [11]
3 years ago
5

John operates a boat rental business in a competitive industry. He owns 10 boats and pays $1,000 per month on the loan that he t

ook out to buy them. He rents each boat for $200 per month. The variable cost for each boat rental is $50. In the offseason, John should
Business
1 answer:
gregori [183]3 years ago
4 0

Answer:

in the off season he should operate as long as he rent one boat for one month

Explanation:

Given data:

number of boat 10

rent cost for 1 boat $200

variable cost is $50

in the off season he should operate as long as he rent one boat for one month. the reason behind this is that at this condition variable cost is less than cost for rent. As long as he rent one boat for a month the variable cost remain less than the rent cost of boat

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2 years ago
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5 0
1 year ago
Suppose you are committed to owning a $203,000 Ferrari. If you believe your mutual fund can achieve an annual rate of return of
liraira [26]

Answer:

the present value is $88,087.08

Explanation:

The computation of the present value is shown below:

As we know that

Future value = Present value × (1 + rate of interest)^number of years

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7 0
2 years ago
Suppose you win a small lottery and have the choice of two ways to be paid: You can accept the money in a lump sum or in a serie
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Answer:

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