Answer: b. increasing returns to scale.
Explanation:
With the high capital costs having enabled decreasing average costs for any conceivable level of demand, the company would be making an increasing returns to scale which means that it would be making more return per capital spent.
This will create a natural monopoly because the company will be more efficient in this particular industry and if another company tried to come in, they would have to spend a lot of money to get to a point of increasing returns to scale.
Answer:
Discount = $420
Explanation:
Inventory purchased = $22000
Defective inventory = $ 1000
to find out
amount of the purchase discount that would be available to the company is
solution
we know Inventory purchased = $22000
and return is $1000
so Net Purchases = $22000 - $1000
Net Purchases = $21000
so
discount claim for $21000 is 2%
Discount = 2% of $21000
Discount = $420
Answer:
d. $249,000
Explanation:
cost of goods available for sale
= $45,000 + $195,000 - $6,000 + $15,000
= $249000
Therefore, The cost of goods available for sale was $249000.
Answer:
. $11.98
Explanation:
D1 = D0(1+g)
D0 = Last dividend
r = Required rate of retrun
g = Growth rate
Stock price formula = D1/(r-g)
Stock price = D0(1+g)/(r-g)
Stock price = 1*(1+0.054) / (0.142-0.054)
Stock price = 1.054 / 0.088
Stock price = 11.97727273
Stock price = $11.98
Connie's next step should be
Not - go back and revisit her plan objectives
Maybe - Conduct primary research and analyze Fred's current customers.
<h3><u>
Explanation:</u></h3>
It is very essential for an entrepreneur who decides to start a new business to have a business plan that helps him in setting up the businesses in the right track and usage of funds in an effective manner. A business plan acts as a blue print of a new business and the objectives and resource utilization.
In the scenario give, Fred decides to start a new boutique and has conducted researches geographic locations and the type of boutiques supported by the demography. She must not then go back and review her plan objectives as she has decided to start it with a good plan and she may conduct a primary research about the current customers of him.