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suter [353]
2 years ago
10

In margin buying you borrow shares to sell now and buy back the shares later and return those. True or False

Business
1 answer:
kotegsom [21]2 years ago
7 0

Answer:

False

Explanation:

When you buy on margin you are borrowing money from your broker in order to purchase securities. The advantage of buying on margin is that you can purchasing a larger amount of stocks, but that also increases the risk of your investment as well as the potential returns.

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Suppose that Verizon Wireless has hired you as a consultant to determine what price it should set for calling services. Suppose
goldfiish [28.3K]

Answer:

The two optimal two part price that would be suggested to Verizon is Unit per Fee = $1 and Lump Sum fee or fixed fee = $99

Explanation:

Solution

For us fully maximize profit under two part price It should gives  that amount of wireless service at which P = MC and and also charge Lump sum fee or fixed fee equals to the consumers surplus that consumer will have.

Now,

marginal cost= MC  = 1 and P = 100 - 25Q.

Thus,

P = MC => 100 - 25Q = 1 => Q = 2

Then,

The Consumer surplus is the above area Price of  line which is (iP = 1) and below is the curve of demand

Now,

P = 100, When Q = 0 The Consumer surplus = (1/2)*base*height

= (1/2)*(100 - 1)*2 = 99

Therefore, Fixed fee or The Lump Sum fee = 99

However, the  Optimal two part pricing is denoted by:

The Unit per Fee = $1 and Lump Sum fee or fixed fee = $99

4 0
3 years ago
EcoAthlete determines that the target market for its running shoes is people who are environmentally conscious. It uses only env
Whitepunk [10]

Answer:

C) Lifestyle and Behavior

Explanation:

The reason is that Eco-Athlete is using its customer behavior and lifestyles to target a particular market segment which has common thinking and opinion about a particular item. In this case, Eco-Athlete is using Eco-friendly items because its customer are environmentally conscious which is their behavior that effects their lifestyle. So the company Eco-Athlete is basically using lifestyle and behavior dimension of market segmentation.

3 0
3 years ago
​coca-cola is superior to its competitors in its distribution of products. this is an example of​ _____ competency.
hichkok12 [17]

The fact that Coca-Cola is superior to its competitors in its distribution of products is an example of​ distinctive competency. Coca Cola as a company has practices, technical skills, technologies and resources that increase its competitiveness with comparison to other companies.  Distinctive competencies are the competencies that differentiates the brand from competitors.

3 0
2 years ago
alculate the difference between the present value of $200 per year cash payments for the next 40 years and the present value of
Pani-rosa [81]

Answer:

Present value of annuity = PV(8%,40,-200,0,0)

Present value of annuity = $2,384.93

Present value of Perpetuity = 200/ 8%

Present value of Perpetuity = 200 / 0.08

Present value of Perpetuity = 2500

The difference between the Present value = $2,500 - $2,384.93 = $115.07

However, both does not equal as time value has to be considered.

8 0
3 years ago
Classify Costs Following is a list of various costs incurred in producing replacement automobile parts. With respect to the prod
fenix001 [56]

Answer:

1. Cost of labor for hourly workers - Variable cost

2. Factory cleaning costs - Fixed costs

3. Hourly wages of machine operators - Variable cost

4. Computer Chips purchased - Variable cost

5. Electricity costs - Variable cost

6. Metal - Variable cost

7. Salary of plant manager - Fixed cost

8. Property Taxes - Fixed cost

9. Plastic - Variable cost

10. Oil used in manufacturing equipment - Variable cost

11. Rent on Warehouse - Mixed cost

12. Property insurance - Mixed cost

13. Fixed cost

14. Pension cost - Variable cost

15. Packaging - Variable cost

Explanation:

The classification can be explained as follows. Costs that vary per activity level are examples of variable cost, even materials that are purchased to produce products. Example; the more a hourly employee works the higher his labor cost will be. The more products that are needed to be produced, the more material will be used. This the activity level of the cost driver influences the total cost.

Fixed costs are cost that remain the same despite a change in activity level. Thus the salary manager will be paid the same amount every month and the amount will not change. Other examples of fixed costs are contract costs agreed upon etc.

Mixed costs are cost that have both a variable and fixed component. The property insurance has a variable component ( each dollar value that exceeds 1200000 ) and a fixed component namely the monthly 3600 cost. Thus it is classified as a mixed cost.

6 0
3 years ago
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