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svetlana [45]
3 years ago
9

A company planning to market a new model of motor scooter analyzes the effect of changes in the selling price of the motor​ scoo

ter, the number of units that will be​ sold, the cost of making the motor​ scooter, the effect on Net Working​ Capital, and the cost of capital for the project. They predict that the breakminuseven point for sales price for the motor scooter is​ $2,480. What does this​ mean?
Business
1 answer:
Andrew [12]3 years ago
3 0

Answer:

A. If the motor scooter is sold for $2.480, then the net present value (NPV) for the product will be zero.

Explanation:

As we believe that The break even point is the point where the organization has no income gained and no loss incurred While the present net value is the value that determines whether or not the projects will be approved after considering the discounted cost.  

It means that if the original investment is less than the present value then the proposal is otherwise refused, the break even point is where the net present value is zero

Hence, the first option is correct

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I got 1000 point \<br> now I got 990 lol
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Who wants to trade on rocket league
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The first step a domestic firm takes when entering an international arena is usually to create an international division.
vodomira [7]

Answer:

The answer is: False

Explanation:

Whenever a company wants to go international it has a lot work to do before creating an international division. Several things must be done before, mostly research, for example:

  • Research if your product is know overseas, is there any possible market for it, are there any restraints for your products in those new markets.
  • Any legal constraint or logistical problem you have to consider.
  • Any local competition you have to worry about.
  • Does your product fit in a new culture.
  • And very many etceteras.

That should all be done before considering spending money on creating an international division.

Probably when the internet didn´t exist, communications were scarce, no Tv existed, people in one country didn´t know anything about other cultures, etc., a comp nay would have first created an international division to scout foreign markets but right now it doesn´t make sense.  

4 0
3 years ago
Determine if the people in the example have benefited (i.e., are winners) or have been harmed (i.e., are losers) by unexpected i
nevsk [136]

Answer:

Winners

  • 3rd National, a bank that loaned many people money for home purchases.

Losers

  • Karen, a retired school teacher that relies upon her fixed pension to pay for her expenses.
  • Herb, who keeps his savings in an old coffee can.
  • Joy, who has borrowed $40,000 to pay her college education.
  • The US federal government which had almost $15 trillion in debt in 2011.

Explanation:

When unexpected inflation occurs, the usual plan to by Monetary Institutions of a country is raising the interest rates.

By doing that, they want to stop it or slowly decelerate it.

So that it becomes more expensive to take a loan, the idea is to reduce consumption.

In Economics, it's a bad scenario after all. Few winners. Many losers.

So, let's examine them

Winners

  • 3rd National, a bank that loaned many people money for home purchases.

At first, The 3rd National is going to be winning since the value of the debt will rise, depending on the type of contract and an increase in the interest rate will demand corrections on the monthly payments. But on the other hand, the number of default clients and overdue installments will raise for sure.

Losers

  • Karen, a retired school teacher that relies upon her fixed pension to pay for her expenses.

Inflation reduces the real buying value of her checks. And her pension can't grow otherwise this will feed the inflation too.

  • Herb, who keeps his savings in an old coffee can.

Since his money is not invested then He's not having any earning that might give him some compensation. So his money is even more devalued.

  • Joy, who has borrowed $40,000 to pay her college education.

Depending on the contract Joy might be sleepless. Either her monthly payments will become more expensive or She may experience difficulties because of the weekly growing prices.

  • The US federal government had almost $15 trillion in debt in 2011.

Certainly, the president and his secretary will have to address the fact that due to inflation and the chosen medicine make the nation's debt up to the sky. They must renegotiate the payment deadlines.

7 0
3 years ago
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