Answer:
$24
Explanation:
Calculation to determine What will the estimated intrinsic value of the Shoe Barn Inc.'s stock
Using this formula
Estimated intrinsic value = Earnings * P/E Ratio for the industry
Where,
EPS = $2
Industry P/E = 12
Let plug in the formula
Estimated intrinsic value= $2 * 12
Estimated intrinsic value= $24
Therefore the estimated intrinsic value of the Shoe Barn Inc.'s stock is $24
Answer:
a. $16,500
Explanation:
The computation of the total amount of fixed manufacturing cost is shown below;
= Number of units sold & produced × fixed manufacturing overhead per unit
= 5,000 units × $3.30
= $16,500
Hence, the correct option is a.
Answer:
Ensuring products are well below the going market rate.
Quality of products offered.
Efforts to improve the lives of members.
Explanation:
Answer:
B) diminishing marginal utility
Explanation:
The law of Diminishing marginal utility states that utility falls as consumption increases.
The law of demand states that the higher the price, the lower the quantity demanded and the lower the price, the higher the quantity demanded.
Because of diminishing marginal utility, consumption can be encouraged by reducing price.
As utility falls, consumers would be unwilling to buy more goods at the same price, therefore it would be reasonable to reduce price to encourage consumption.
Exactly, when someone buys an insurance policy that person is making sure that whatever happens to him/her, there is the policy to compensate for something that will be lost. He/she is transferring the risk away and pass it on to the insurance company for safekeeping.