The type of cover letter written in response to a posted job opening:

A perfectly competitive firm initially is earning a normal profit. Then, a decrease in demand for the firm's product occurs. Of

Natali [406]

Answer:

Exit the market.

Explanation:

Suppose there are X firms in a competitive market and they are all making normal profits. If the demand for their products decreases, some of the firms will start to sell less, which will result in lower profits or even losses. In the long run, those firms that experience lower sales resulting in lower profits or losses, will exit the market. Once these firms exit the market, the quantity supplied should decrease, which will result in a price increase.

4 0

3 years ago

Wilson Wonders's bonds have 12 years remaining to maturity. Interest is paid annu- ally, the bonds have a S1,000 par value, and

MAXImum [283]

Answer:

approximate YTM = 12.16%.

Explanation:

the approximate yield to maturity = {coupon + [(face value - market value) / n]} / [(face value + market value) / 2]

approximate yield to maturity = {100 + [(1,000 - 850) / 12]} / [(1,000 + 850) / 2] = 112.5 / 925 = 0.1216 = 12.16%

An investor that purchases this bond at $850 can expect to earn a 12.16% return.

3 0

3 years ago

Permian Underground Machines & Pipes Co. (PUMP) is in the oil and gas equipment and services industry. It is considering a n

AVprozaik [17]

Answer:

Option A is correct.

The required rate of return for the bond that PUMP managers are considering is <u>1.46%</u>

Explanation:

Required rate of return for the bond that PUMP managers are considering is 1.46%. Because, currently, the yield on a U.S. Treasury bond with about 10 years to maturity is 1.46%. same type of bond yielding is 1.46%.

3 0

3 years ago

A common bracket can be purchased in large quantities for $0.67. The company can make the bracket at a variable cost of $0.41 by

Dominik [7]

Answer:

we recommnend to buy this bracket

Explanation:

The computation is shown below:

Given tyhat

Buying cost of the machine = $33,000 = x

x_1 = $0.67

And, x_2 = $0.41

Now the break even point is

X = x ÷ (x_1 - x_2)

= $33,000 ÷ ($0.67 - $0.41)

= 126,923 units

Therefore

Probability (Demand > Break even point)

= 1 - $\phi$ ($126,923 - 100,000) ÷ 10,000

= 1 - $\phi$ (2.69)

= 0.36%

where

$\phi$ = function of cumulative distribution of N (0,1)

Therefore the probability is that it makes economically the items would be lesser

Thus, we recommnend to buy this bracket

6 0

3 years ago

During the first two years, Supplies, Inc. drove the company truck 15,000 and 22,000 miles, respectively, to deliver merchandise

Mnenie [13.5K]

Answer:

option (A) $11,000

Explanation:

Given;

Miles drove in first year = 15,000

Miles drove in second year = 22,000

Cost of the truck = $175,000

Residual value = $25,000

Estimated life = 10 years or 300,000 miles

Now,

using the activity based method

Rate of depreciation per mile driven = $\frac{\textup{Cost of truck - Residual value}}{\textup{Estimated life}}$

or

Rate of depreciation per mile driven = $\frac{\textup{175,000 - 25,000}}{\textup{300,000}}$

or

= $0.5 per mile

also,

Number of miles driven in second year = 22,000 miles

Hence,

Depreciation for the second year

= Depreciation rate × Number of miles driven in second year

= 0.5 × 22,000

= $11,000

Hence,

The correct answer is option (A) $11,000

6 0

3 years ago