Answer: A. Par
Explanation:
While US Government bonds are usually sold at auction which means a price different from Par, Federal Agency bonds operate much like Corporate Bonds in their selling procedure. They engage a group of Underwriters called a Selling group which can be made up of large banks and brokers.
These underwriters will then handle everything that have to do with the sale and sell it to the public. Like a Corporate listing, they get a commission from this.
Because of this direct sale by the Underwriter to the public, the Public is most likely to get the offering at Par.
Answer:
a. $840
b. $140
Explanation:
a. The calculation of the average price per season ticket is shown below:-
Average price per season ticket = Total price of season tickets ÷ Sitting capacity
= $93,660,000 ÷ 111,500
= $840
b. The calculation of average price per individual game ticket sold is shown below:-
Average price per individual game ticket sold = Average price per season ticket ÷ Six home games
= $840 ÷ 6
= $140
Therefore we simply applied the above formula for computing the average price per season ticket and average price per individual game ticket sold.
A much greater marginal cost than marginal benefit.
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Explanation:</u></h3>
Marginal cost refers to the cost that is added by the production of one additional unit of any product or service.The costs that are included in the various levels of production will be encapsulated in the Marginal cost. For instance consider that a company decides to build a new plant in producing goods and services in addition.
The cost associated with the construction of this new plant is the marginal cost. In many cases the complete elimination of the externality would be involving A much greater marginal cost than marginal benefit.
Answer:
Break-even point in dollars= $36,364
Explanation:
Giving the following information:
A firm is selling two products, chairs and bar stools, each at $50 per unit. Chairs have a variable cost of $25, and bar stools $20. The fixed cost for the firm is $20,000.
To calculate the break-even point in dollars for the firm, we need to use the following formula:
Break-even point (dollars)= Total fixed costs / [(weighted average selling price - weighted average variable expense)/ weighted average selling price]
weighted average selling price= (selling price* weighted sales participation)= $50
weighted average variable cost= (variable cost* weighted sales participation)
weighted average variable cost= (25*0.5 + 20*0.50)= $22.5
Break-even point in dollars= 20,000/ [(50 - 22.5)/ 50]= $36,364
Answer:
Explanation:
Dividends through year 1 to 5:
D1 = 2.15*(1+0.30)^1 = 2.80
D2 = 2.15*(1+0.30)^2 = 3.63
D3 = 2.15*(1+0.30)^2 * (1+0.18)^1 = 4.29
D4 = 2.15*(1+0.30)^2 * (1+0.18)^2 = 8.58
D5 = 2.15*(1+0.30)^2 * (1+0.18)^3 = 12.86
PV (D1) = 2.80
PV (D2) = 3.63 *PVIF = 3.63 * 0.87719 = 3.19
PV (D3) = 4.29 * 0.76947 = 3.30
PV (D4) = 8.58 * 0.67497 = 5.79
PV (D5) = 12.86 * 0.59208 = 7.62
Total of all PV's = 22.69
