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Sergio [31]
3 years ago
5

Clark manufactured housing company charges $500 for deliveries within 50 miles and $800 for deliveries 51 to 100 miles away from

their factory. the company is using a ____________ pricing tactic.
Business
1 answer:
Afina-wow [57]3 years ago
4 0
This situation is an example of Psychology Pricing. Psychology Pricing refers to an approach of the businessman to encourage the marketers to react on emotional levels rather than logical ones. Like with this problem, the marketers usually attracted to the first number of a price than the last.
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Bill Darby started Darby Company on January 1, Year 1. The company experienced the following events during its first year of ope
Anettt [7]

Answer:

Darby Company

The amount of interest payable at December 31, Year 1 is:

$76.67

Explanation:

a) Data and Calculations:

Cash Revenue = $1,300

Bank Note Payable = $2,300

Interest rate on Bank Note = 10%

Issue date of bank note = September 1, Year 1

Term of bank note = 1 year

Amount of interest payable on December 31, Year 1:

= $2,300 * 10% * 4/12 = $76.67

b) The amount of interest payable on the loan totals $230 ($2,300 * 10%).  However for Year 1, the interest payable is reduced to 4 months (September 1 to December 31, Year 1), amounting to $76.67.  This implies that the remaining interest ($153.33) will be payable in the period between January 1 and August 31 in Year 2.  In accordance with the accrual and matching principles of generally accepted accounting principles, interest expense must be accrued to the period when the expense is incurred and matched to the revenue it has generated.

4 0
3 years ago
Addison company will issue a zero-coupon bond this coming month. The projected yield for the bond is 7%. If the par value of the
horsena [70]

Answer:

If the bond is zero coupon then there only be one lump sum payment at the end of the bond period and we will have to discount is back using the yield of the  bond to find its present value or price. Because the convention is semi annual we will divide interest by 2 to find the semi annual interest rate and to number of periods we will multiply years by 2 because of semi annual convention.

Yield= 7/2= 3.5%

a. the maturity is 20 years

We have to discount 1,000 20 years back which means 40 periods back as 20*2= 40

1,000/1.035^40=252.5725

The present value of a zero coupon $1000 bond will be $252.5725 when the yield is 7% and maturity is 20 years.

b. the maturity is 30 years

We have to discount 1,000 30 years back which means 60 periods back as 30*2= 60

1000/1.035^60=126.93

The present value of a zero coupon $1000 bond will be 126.93 when the yield is 7% and maturity is 30 years.

c. the maturity is 50 years

We have to discount 1,000 50 years back which means 100 periods back as 50*2= 100

1000/1.035^100= 32.06

The present value of a zero coupon $1000 bond will be $32.06 when the yield is 7% and maturity is 50 years.

d. the maturity is 100 years

We have to discount 1,000 100 years back which means 200 periods back as 50*2= 200

1000/1.035^200= 1.02

The present value of a zero coupon $1000 bond will be $1.02 when the yield is 7% and maturity is 100 years.

Explanation:

3 0
3 years ago
In order to price discriminate, a firm must
Andreyy89

Answer:

A. have permission from the government.

B. face a downward-sloping demand curve.

C. set price equal to marginal cost.

D. be sure the price-marginal cost ratio is the same for all its submarkets.

Explanation:

8 0
3 years ago
Three years ago, Vincent Chow completed his degree in accounting. The economy was in a depressed state at the time, and Vincent
m_a_m_a [10]

Answer:

Prerequisite 1  

There are three nonexclusive serious techniques:  

Cost Leadership - target showcase exceptionally broad, point is to have the most minimal cost. Items not specific, attempt to speak to shoppers because of their low costs.  

Separation - items or administrations gave elite highlights that clients need, commonly an increasingly devoted specialty. Ready to charge more significant expenses because of these additional highlights.  

Center Strategy - either a cost authority or a separation methodology, yet focused for a tight, engaged market.  

Vincent's business utilizes a Focus Strategy. The Cappuccino Express was made with the conviction that because of individuals' evolving schedules, comfort would be vital – giving speedy and advantageous espresso to occupied individuals.  

Prerequisite 2  

Basic Success Factors are the vital money related and non-monetary proportions of achievement. To be increasingly explicit Critical Success Factors are features of the association's exhibition that are essential to its upper hand.  

The Cappuccino Express Critical Success Factors :  

Quality and cost of existing items  

Areas specific..near Malls , schools , workplaces and so forth.  

Devise new items at customary interims  

Client Turnover – capacity to keep lines short, vehicles traveling through line  

Keeping Loyal clients with quality items along these lines diminishing ad costs  

Giving incredible client support  

Improving Profitability  

The greater part of these Vincent will have the option to show some power about whether it is adjusting costs, items, guiding various areas or making preparing programs. Then again, if Vincent's essential supposition never again remains constant, regardless of what he does he will most likely be unable to equal the initial investment, not to mention turn a benefit.  

Prerequisite 2  

Vincent needs to leave on numerous assignments in dealing with The Cappuccino Express. To start with, Vincent must blueprint a statement of purpose, objectives, and destinations. As supervisor, Vincent must do statistical surveying. He should get some answers concerning his rivals, clients, and the economy. Additionally, he should utilize a workforce and train them. He should isolate the expenses into assembling costs (direct materials, direct work, and assembling overhead) and non producing costs (selling and managerial expenses). This will take into account monetary observing and precise gauges of benefits, stock, and expenses. Vincent ought to assess both of his areas and conclude whether to remain in business or grow. Additionally, Vincent ought to evaluate his item contributions, administrations, and quality. He can choose which sorts of publicizing (advancements and limits) to offer.

8 0
3 years ago
The City of Ruth has been awarded a $1,000,000 federal expenditure-driven grant to improve bike trails. The federal government a
lidiya [134]

Answer:

correct option is a) $182,000

Explanation:

given data

federal expenditure = $1,000,000

advanced the city =  $600,000

city incurred qualifying expenditures = $418,000

solution

we get here Ruth recognize as unearned revenue for its fiscal year ending that is express as

Amount to be recognized unearned revenue = advanced the city  - city incurred qualifying expenditures   .......................1

put here value

Amount to be recognized unearned revenue = $600,000-$418,000

Amount to be recognized unearned revenue = $182,000

so correct option is a) $182,000

5 0
3 years ago
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