<span>Producers of wood pulp often forward integrate into the production of paper in order to exploit technical economies. By also owning paper making plants they can avoid costs of removing waste, and better use it in order to make even more profits.</span>
Answer:
c. $4,000
Explanation:
The computation of the depreciation expense for year 2 under straight-line method is shown below:
= (Original cost - residual value) ÷ (useful life)
= ($25,000 - $5,000) ÷ (5 years)
= ($20,000) ÷ (5 years)
= $4,000
In this method, the depreciation is same for all the remaining useful life i.e $4,000 is charged for remaining three years
Answer:
$98.02
Explanation:
Data provided in the question:
Value of contract = $1,330
Maximum value = $86
Minimum value = $65
Exercise price = $78
Risk-free rate = 3%
Now,
Current value of stock = ![(\frac{\text{Maximum value-Minimum value}}{\text{Maximum value-Exercise price}}\times\text{Call price})+(\frac{\text{Maximum value }}{\text{1+Risk-free rate}})](https://tex.z-dn.net/?f=%28%5Cfrac%7B%5Ctext%7BMaximum%20value-Minimum%20value%7D%7D%7B%5Ctext%7BMaximum%20value-Exercise%20price%7D%7D%5Ctimes%5Ctext%7BCall%20price%7D%29%2B%28%5Cfrac%7B%5Ctext%7BMaximum%20value%20%7D%7D%7B%5Ctext%7B1%2BRisk-free%20rate%7D%7D%29)
also,
a standard contract has 100 shares
thus,
Call price = Value of contract ÷ 100 shares
or
Call price = $1,330 ÷ 100 = $13.30
Thus,
Current value of stock = ![(\frac{\text{86-65}}{\text{86-78}}\times\text{13.30})+(\frac{\text{86}}{\text{1+0.03}})](https://tex.z-dn.net/?f=%28%5Cfrac%7B%5Ctext%7B86-65%7D%7D%7B%5Ctext%7B86-78%7D%7D%5Ctimes%5Ctext%7B13.30%7D%29%2B%28%5Cfrac%7B%5Ctext%7B86%7D%7D%7B%5Ctext%7B1%2B0.03%7D%7D%29)
or
Current value of stock = ( 2.625 × $13.30 ) + $63.1068
= $98.0193 ≈ $98.02
Answer:
You want to learn about the Ferris–wheel riding habits of people, so you ask those leaving a theme park, “How many times did you ride the Ferris wheel today?”
Is the question a statistical question? Explain why or why not.
Explanation:
Trade credit
Small firms may be able to get finance in the form of trade credit from their suppliers. Suppliers enable the company to obtain the products and services it requires and pay for them later or in installments.
<h3>What is the meaning of trade credit?</h3>
A business-to-business (B2B) agreement known as trade credit allows customers to make purchases of goods without paying in cash upfront and to make payments to suppliers at a later date. Businesses that use trade credits typically give customers 30, 60, or 90 days to make payment, with the transaction being documented by an invoice.
Trade credit can be compared to a form of 0% financing because it increases an organization's assets while deferring payment for a certain amount of products or services to the future and requires no interest payments throughout the repayment period.
Learn more about trade credit here:
brainly.com/question/4503841
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