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maks197457 [2]
3 years ago
15

Hotco oil burners, designed to be used in asphalt plants, are so efficient that Hotco will sell one to the Clifton Asphalt plant

for no payment other than the cost savings between the total amount the asphalt plant actually paid for oil using its former burner during the last two years and the total amount it will pay for oil using the Hotco burner during the next two years. On installation, the plant will make an estimated payment, which will be adjusted after two years to equal the actual cost savings.
Which of the following, if it occurred, would constitute a disadvantage for Hotco of the plan described above?
A) Another manufacturer’s introduction to the market of a similarly efficient burner
B) The Clifton Asphalt plant’s need for more than one new burner
C) Very poor efficiency in the Clifton Asphalt plant’s old burner
D) A decrease in the demand for asphalt
E) A steady increase in the price of oil beginning soon after the new burner is installed
Business
1 answer:
dlinn [17]3 years ago
5 0

Answer:

Hotco

If it occurred, this would constitute a disadvantage for Hotco of the plan described above:

E) A steady increase in the price of oil beginning soon after the new burner is installed.

Explanation:

A steady oil price increase commencing soon after the new burner is installed will obliterate the actual cost savings from which Clifton Asphalt would be paying Hotco for the oil burners.

This is buttressed by the fact of the payment terms that totally depends on the cost savings.

Even the adjustment after two years may not benefit Hotco if the steady increase in the price of oil persists.

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kvv77 [185]

The three functions of business which MIS infrastructure supports includes;

1. Support information change.

2. Business continuity planning.

3. Change.

MIS means that Management Information System. There are MIS infrastructure components which are sustainable.

For example, Virtualization, Grid computing, and cloud computing.

7 0
3 years ago
Read 2 more answers
When aggregate demand is high enough to drive unemployment below the natural rate:_________
ad-work [718]

Answer:

e. there is downward pressure on the price level, and the government may want to conduct expansionary fiscal policy.

Explanation:

At the time of boom in the economy, the unemployment rate is beneath than the rate i.e. natural also it gives rise to the growth of the economy, along with it the expenditures, consumer spending also increased that ultimately increased the disposable income.

This results in the upward movement in terms of pressure on the aggregate demand that leads to a rise in the level of price and the real GDP also rises which reduced the unemployment

But when the aggregate demand is less so there is a downward pressure on the price as the level of price declines so that the aggregate demand increased and it is requirement made by the government for an  expansionary fiscal policy that give increased in government spending or taxes decreased in order to raise the aggregate demand

6 0
3 years ago
at a world price of $5 with free and open trade, country b must import calculators. if country a has a domestic quantity demande
jeka57 [31]

In the given case, when if country b has a domestic quantity demand of 55 calculators and a domestic supply of 60 calculators country b is likely to import 5 calculators.

<h3>What are import and export?</h3>

Exports are items that are sent to be sold in other nations, whereas imports are things that are bought from other nations owing to a lack of resources or lack of understanding of how they were made.

In the given case, if country a has a domestic quantity demanded of 55 calculators and a domestic supply of 60 calculators, they have the remaining 5 calculators which they are most likely to import after fulfilling domestic needs.

Learn more about import  and export, here:

brainly.com/question/26428996

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3 0
2 years ago
Suppose that the Federal Reserve decides to increase the money supply with a $300 purchases of Treasury bills. Complete the tabl
shutvik [7]

A $ 300

B $ 300

C $ -300

D $ 300

Treasury bills are assets and the monetary base is a liability.

<u>Explanation:</u>

To increase the money supply in the economy, the federal reserve should buy the treasury bills and this will increase the money supply in the economy, leading to more demand in the economy and therefore there will be growth and development of the economy.

With the increase in the purchase of the treasury bills by the federal reserve, the money supply will increase by $300.

4 0
3 years ago
Indicate which component of GDP will be affected by each of the following transactions involving the Ford Motor Company. a. You
BabaBlast [244]

Answer:

A) The new SUV will increase the CONSUMPTION expenditure

B) A used SUV is NOT INCLUDED

C) Car parts are intermediate goods, are NOT INCLUDED

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