Answer:
Fixed cost
Explanation:
Variable costs are costs that change with change in the quantity of the goods or services produced by the business. For example the cost of raw materials.
Fixed costs are costs that do not change with change in the quantity of the goods or services produced by the business. For example interest payments.
In the given question, payment of $10 per pound has to be made no matter what the production level for the year, so this is an example of <u>fixed cost</u>
Answer:
Option A is the better choice of the two given any positive rate of return.
Explanation:
Answer:
Zero-cupon bond= $376,889.48
Explanation:
Giving the following formula:
Face value= $1,000,000
Mature= 10*2= 20 semesters
Market rate= 0.1/2= 0.05
<u>To calculate the price of the bond, we need to use the following formula:</u>
Zero-cupon bond= [face value/(1+i)^n]
Zero-cupon bond= [1,000,000 / (1.05^20)]
Zero-cupon bond= $376,889.48
Answer:
The correct answer is B. Bieber and Rihanna will each break the agreement. Both singers' profits will decrease.
Explanation:
Most likely, their earnings will decrease, because they will have to do their job independently. In the same way, the public will not hire or accept them in the same way as before. You need to get used to this new decision in order to have a better approval.
Answer:
The correct answer is option A.
Explanation:
Liquidity preference theory was given by J.M Keynes. He states that money is demanded by people because it holds certain liquidity.
There are various motives involved for which people prefer liquidity. These motive are precautionary, transactionary and speculative motives respectively.
When the demand for money is more than supply, it means there is excessive demand. This excess demand will lead to increase in the interest level. At higher interest, the quantity of money demanded will fall.
