<span>Part of the lands' end business model includes purchasing products and then selling them again without any reprocessing. Lands' end is operating in the reseller market.
This company doesn't use the goods it has bought - it just sells it again to another company so as to get some profit.
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Answer:
Instructions are listed below
Explanation:
Giving the following information:
The owner thinks that 10,000 pizzas could be sold per month by cutting the selling price per pizza from $ 5.50 a pizza to $ 5.00.
Total revenues – Total costs = Monthly profit 5,000 pizzas 13750 – 8000 =
I will assume that at $5.50 the total sales in units are 5000. And that the variable cost per unit is $2.75 ($13750/5000) and fixed cost are $8000
Actual profit= (5000*5.5- 5000*2.75) - 8000= $5750
New price profit= (10000*5 - 10000*2.75) - 8000= $14500
Answer:
a. $58,400
Explanation:
A discounted note, will make the person receive a lesser amount than the amount due at maturity. This way the person who grants the note is receiving interest for borrowing.
<em><u>Calculations</u></em>
principal x discount rate x time = discount
<em><u>Where</u></em> rate and time should be expressed in the same metric IE if the rate is annual express time in portion of years if it is monthly, in months.
60,000 x 0.08 x 120/360 = 1,600
Now, we subtract this amount form the nominal:
nominal - discount = net
60,000 - 1,600 = <u>58,400</u>
Answer:
the present value is $4,316.35
Explanation:
The computation of the present value of given cash flows is shown below:
Present value is
= Cash flows at year 1 ÷ (1 + rate of interest) + Cash flows at year 2 ÷ (1 + rate of interest)^2 + Cash flows at year 3 ÷ (1 + rate of interest)^3 + Cash flows at year 4 ÷ (1 + rate of interest)^4
= $880 ÷ 1.08 + $1,250 ÷ 1.08^2 + $1,510 ÷ 1.08^3 + $1,675 ÷ 1..08^4
= $4,316.35
Hence, the present value is $4,316.35
