It is a finance lease , because Jamal purchased a financial equity, which is the stock, with the cooperative and he moved to one of its units, therefore, the risk and rewards are transferred to Jamal and it is considered to be a finance lease.
Answer:
Final Value= $370,481.13
Explanation:
Giving the following information:
Amy's contribution, plus that of her employer, amounts to $2,150 per year starting at age 23. Amy expects this amount to increase by 3% each year until she retires at the age of 57 (there will be 35 EOY payments). Interest rate= 5%.
<u>First, we will add the growth of the deposits to the interest rate:</u>
Interest rate= 0.03 + 0.05= 0.08
Now, to calculate the final value, we need to use the following formula:
FV= {A*[(1+i)^n-1]}/i
A= annual deposit= 2,150
i= 0.08
n= 35
FV= {2,150*[(1.08^35)-1]}/ 0.08= $370,481.13
Answer:
$2,593,000
Explanation:
The computation of consolidated net income is shown below:-
cancellation of excess of Interest expenses over Income = Interest expense - Interest income
= $80,000 - $37,000
= $43,000
Consolidated net income = Parent company Income + Subsidiary Income + cancellation of excess of Interest expenses over Income
= $1,850,000 + $700,000 + $43,000
= $2,593,000
So, for computing the consolidated net income we simply applied the above formula.
Answer:
The correct answer is letter "B": corporation.
Explanation:
A Corporation is an organization -usually a large business- with specific characteristics. Under the law, corporations are deemed separate legal entities from their owners. This means that <em>corporations themselves, not the owners, are legally liable for their actions and debts.</em>
Answer:
<h2>The answers in this case would be options A. B. and D.</h2>
Explanation:
- In Microeconomics or Production Economics,economies of scale refers to a phenomenon under which any firm or company is able to reduce or control its per unit cost of production or the average cost of production and increase the overall production or output level simultaneously.
- Natural monopolies can arise due to consistent economies of scale.As any firm or company is able to consistently reduce or control its average cost of production as the production or output level expands,it can obtain a significant competitive or cost advantage in the market over its market counterparts or rivals.Hence,successful and consistent exploitation of economies of scale can eventually give rise to natural monopolies.
- Any monopoly firm or company produces the output level at which the marginal revenue or the additional or incremental revenue obtained from selling one more unit of the output is equal to the additional or incremental cost incurred to produce that 1 more unit of output or the marginal cost.This output level is the profit maximizing output of any monopoly.Therefore,natural monopolies also produce the output level and charge per unit output price which correspond to the equality between marginal revenue and marginal cost of production.
