Answer: $2.60
Explanation:
Based on the information given in the question, the maximum amount that the Cologne Division would be willing to pay for each bottle transferred would be the amount that the company can purchase the containers in the external market which is given in the question as $2.60.
That's the highest amount that they can but the containers for. Therefore, the answer is $2.60
~ The tendency to seek out information that reaffirms past choices and to discount information that contradicts past judgments is known as •Confirmation Bias•.
Answer:
Books Shirts
4 0
3 3
2 6
1 9
0 12
Explanation: At combination E, the economy is producing 0 books and 12 shirts. Since the opportunity cost of 1 book is 3 shirts, moving from point E to point D (gaining 1 book) requires this economy to produce 3 fewer shirts. Thus, the number of shirts in combination D must be 12 shirts−3 shirts=9 shirts. The rest of the combinations can be calculated in a similar fashion, with the answers summarized in the following table.
A 4 3−3=0
B 3 6−3=3
C 2 9−3=6
D 1 12−3=9
E 0 12
Answer: II and III
Explanation:
From the question, we are informed that a customer has a fully paid options position and is long marginable stock and that subsequently he receives a margin call on his long stock position.
The statements that are true are that the customer cannot borrow against the long options contracts to satisfy the margin call and the long option contracts have a loan value of 0%.
Therefore, option C is the right answer.
