Answer: No, johnson & johnson should not double its production capacity of their purell hand sanitizer.
Explanation: An increase in demand of hand sanitizers due to the H1N1 flue will shift the demand curve for hand sanitizers to the right. The price of hand sanitizers will increase meaning that greater production levels are profitable. The firms can take advantage of this profitability by increasing manufacturing capacity. However, capacity will be increased for many years and the H1N1 flu is a temporary phenomenon. So, once the H1N1 flu is controlled demand for hand sanitizer is likely to return to previous levels. As a result the increased capacity will then remain idle and unprofitable. So, johnson & johnson should not double its production capacity of their purell hand sanitizer.
Answer:
$1,282.80
Explanation:
The PMT formula is used for this question. The attachment is shown below:
The NPER shows the time period
Given that,
Present value = $300,000 - $30000 = $270,000
Future value = $0
Rate of interest = 4% ÷ 12 months = 0.33%
NPER = 30 years × 12 months = 360 months
The formula is shown below:
= PMT(Rate;NPER;-PV;FV;type)
The present value come in negative
So, after solving this, the answer is $1,282.80
Answer:
Explanation:
When there are more substitutes for a product, the demand for the product is more price elastic. The implication of this is that the demand of such product will drop when there is increase in it price because people can get another product which will play the same role with the previous at a lesser price. Hence, the demand for the product vis more price elastic.
The statement is True. An IPO is issued in the primary market which is smaller than the secondary market for equities.
In finance, fairness is the possession of belongings that could have debts or other liabilities connected to them. Equity is measured for accounting functions by subtracting liabilities from the price of the belongings.
Fairness is the amount of capital invested or owned with the aid of the owner of an agency. The fairness is evaluated through the difference between liabilities and assets recorded on the balance sheet of an organization. The worthiness of fairness is primarily based on the prevailing proportion fee or a cost regulated by the valuation experts or investors.
In end, stocks are known as equities because they represent possession in organizations. They let buyers gain from growth however additionally have danger when enterprise situations weaken.
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The company plays $33,500 to tear down the old buildingand $47,000 to landscapethe lot. It also pays a total of $1,540,000 in construction costs-this amount consists of $1,452,200 for the new building and $87,800 for lighting andpaving a parking areanext to the building. Prepare a single journal entry to record thesecosts incurred by Cala, all of which are paid in cash.Cost of LandPurchase price for land$280,000Purchase price for old building$110,000Demolition costs for an old building $33,500Fill and level the land$47,000Total cost of land$470,500Cost of New building and land improvementsCost of new building$1,452,200Cost of land improvements<span>$87,800</span>