1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
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.

You might be interested in
Give an example of an output contract associated<br> with school.
Damm [24]

Answer:

one party agrees to purchase the entire production that the other party supplies.

3 0
2 years ago
What is a good sport or activity to do in high school that looks good on your college application?
nekit [7.7K]

Answer:

football,volleyball,tennis, basketball or

singing,dancing e.t.c

3 0
3 years ago
Accounts Receivable Analysis A company reports the following: Sales $1,500,000 Average accounts receivable (net) 100,000 Determi
Fudgin [204]

Answer:

A) The account receivables turnover is 15, and B) the number of days sales in receivables is 24.3 days.

Explanation:

A) FORMULA FOR ACCOUNT RECEIVABLES TURNOVER =

NET SALES   /   AVERAGE ACCOUNT RECEIVABLES

Given information -

Net sales = $1500,000

Average account receivables = $100,000

Putting the values in formula -

= $1500,000  /   $100,000

= 15

B) FORMULA FOR NUMBER OF DAYS SALES IN RECEIVABLES =

365 / ACCOUNT RECEIVABLES TURNOVER

= 365 / 15

= 24.3 DAYS

8 0
3 years ago
Identify the choice that best completes the statement or answers the question. The law of comparative advantage states that a na
ipn [44]

Answer:

By producing a product with a lower opportunity cost

Explanation:

Given that the law of comparative advantage states that a nation is better off when it produces goods and services for which it has a comparative advantage.

To obtain a comparative advantage means "By producing a product with a lower opportunity cost."

This implies that while many nations can produce the same products, a particular nation will have the comparative advantage over other nations if its opportunity cost of producing that specific product is quite lower compared to other nations that ks capable of producing the same product.

5 0
2 years ago
What item should you look for when adjusting your check register?
Varvara68 [4.7K]

Answer:

The payment and the Deposit

Explanation:

The check register is adjusted using the item: payment and the Deposit and from the point of view of the bank statement the item is the withdrawal and deposit.

8 0
3 years ago
Read 2 more answers
Other questions:
  • Which of the following is the primary measure of a nation’s income and output?
    6·1 answer
  • You are the decision maker for purchasing office equipment in your organization. One sales representative privately offers you s
    10·1 answer
  • Select all the items that describe the role of a producer. a) You want to charge a price that earns profits. b) You want to char
    8·1 answer
  • Use the following information to answer the question: Cost of car: $26,000 Residual value: $6,000 Life: 5 years Using the given
    13·1 answer
  • A card which requires the cardholder to pay a sum of money equal to the credit limit is called a
    5·1 answer
  • Financial Math
    12·1 answer
  • Susan makes a purchase of $175 and is charged 7.75% for sales tax. What is the total cost of the purchase if Susan charges it on
    6·1 answer
  • Your friend, Caitlyn, does not think it is important to review her monthly credit card statement. Instead, she just sets up an a
    11·1 answer
  • You are involved in a car accident and a stranger contacts you offering a quick cash settlement and doesn’t want to deal with th
    12·1 answer
  • when hilton hotels hired ross klein and amar lalvani from starwood hotels, klein and lalvani took many electronic documents with
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!