Answer: Option D
Explanation: In simple words, short run refers to the time frame in which all the factors of production are fixed while in the long run all of them are variable.
This happens due to the fact that in the short run if the company goes for changing the level of inputs than the opportunity that were availing in that time period will be gone by then leading to losses as the total time frame is very less in short run.
On the other hand, firms tends to have greater life in the market and keeps developing themselves with the changing forces of market.
The least urgent concern if you are stranded in a remote area is that whether you have a shelter or a place that you could stay until the rescue arrives. It is because the most urgent concern that you have to deal with or prioritize first is your food and the materials you need to survive.
Answer:
The answer is d
Explanation:
PV=(AP-SP) x AQ
500u=(1-x) x 10,000
500u=10,000x
x=$0.05
SP=1-0.05
=$0.95
Hope this helps! have a great day!
Answer:
$90,000
Explanation:
We are assuming that the $210,000 paid for 70% of Pumpkin Corporation represents a fair value for their stock. The non-controlling interest is 30% of the company's stocks and we can use the value paid to determine the value of the non-controlling interest.
Non-controlling interest = ($210,000 / 70) * 30 = $90,000
The applicable formula is;
A = P(1-r)^n
Where;
A = Final purchasing power
P = Current purchasing power
r = inflation
n = Number of years when P changes to A
Confirming the first claim:
A = 1/2P (to be confirmed)
P = $3
r = 7% = 0.07
n = 10.25 years
Using the formula;
A = 3(1-0.07)^10.25 = 3(0.475) ≈ 3(0.5) = $1.5
And therefore, A = 1/2P after 10.25 years.
Now, give;
P = $9
A = 1/4P = $9/4 = $2.25
r = 6.5% = 0.065
n = ? (nearest year).
Substituting;
2.25 = 9(1-0.065)^n
2.25/9 = (1-0.065)^n
0.25 = (1-0.065)^n
ln (0.25)= n ln(1-0.065)
-1.3863 = -0.0672n
n = (-1.3863)/(-0.0672) = 20.63 years
To nearest year;
n = 21 years
Therefore, it would take approximately 21 years fro purchasing power to reduce by 4. That is, from $9 to $2.25.
