Answer: B.Sparrow inc can charge a premium price on its Automobiles.
Explanation:
Sparrow inc can charge a premium price on its Automobiles.
Economic Value is simple the amount of money an economic agent is willing to pay for a good or a service. When both companies incur same amount of costs, for a company to create higher economic value the price must be higher (premium price) or consumers (economic agents) are willing and able to pay premium price for sparrow inc automobiles
Answer:
3 years
Explanation:
Calculation to determine The payback period
Using this formula
Payback period=Capital investment/ Increase cash flows
Let plug in the formula
Payback period=$45,000/$15,000
Payback period=3 years
Therefore The payback period is 3 years
An increase from 16k to 20k is a 20%increase proportionate to production
Answer:
B) no longer applies.
Explanation:
Based on the information given the perfect tender rule will NO LONGER APPLIES because the seller which is Cattle Ranch is yet to deliver the cattle to Beef Burgers, Inc before the outbreak of the disease causes a quarantine of the ranch, which is why the perfect tender rule states that a buyer is only permitted to reject goods that is been delivered to him or her from a seller only in a situation where the seller's delivered the goods in way that are not perfect or that does not meet the contract agreement between both the buyer and the sellers or in a situation where the goods did not conform to the description which may make the buyer to legally reject the goods delivered.
Therefore based on above scenario between Beef Burgers, Inc the buyer and Cattle Ranch the perfect tender rule will NO LONGER APPLIES .
Yes it is a good idea which can increase the company's bottom line
