a strategy tool that guideline resources allocation on the basis of market share and growth rate of single business units is

A reserve price is a minimum price set by the auctioneer. If no bidder is willing to pay the reserve price, the item is unsold a

Marina86 [1]

Answer:

Reserve price = $55

Expected revenue with a reserve price = $55

Expected revenue without a reserve price = $55

Explanation:

The auctioneer should set the reserve price siguiente:

Reserve price = ($30x0.5) + ($80x0.5) = $15 + $40 = $55

In the case of the expected revenue with the reserve price, only the bidder who has set a $80 value will pay the reservation fee, then the expected revenue will be the reserve fee of $55.

In the case of the expected revenue without the reserve price, both of the bidders will enter the auction for the item. Since the values are equally probable the expected profit without the reservation fee is equally $55.

Hope this helps!

8 0

3 years ago

The Importance of Starting Early.

Inessa05 [86]

Answer:

1. Lulu started saving $200/month in a 401(k) earning 6% interest compounded monthly when she was 45 years old. How much will be in her account when she retires at age 65?

Lulu made 12 x 20 = 240 payments

to calculate how much she earned we can use the future value of ordinary annuity formula:

FV annuity = payment x {[(1 + r)ⁿ - 1] / i} = $200 x {[(1 + 0.5%)²⁴⁰ - 1] / 0.5%} = $200 x 462.04 = $92,408.18

2. How much money did Lulu deposit into her account over the course of the 20 years?

240 x $200 = $48,000

3. What dollar amount of interest did her account earn?

$92,408.18 - $48,000 = $44,408.18

4. Murphy started putting $100/month into his 401(k) earning 6% APR when he was 25 years old. How much will be in his account when he retires at age 65, if interest is compounded monthly?

480 payments, again we use the same formula as in (1):

FV annuity = $100 x {[(1 + 0.5%)⁴⁸⁰ - 1] / 0.5%} = $100 x 1,991.49 = $199,149.07

5. How much money did Murphy deposit into his account over the course of the 40 years?

480 x $100 = $48,000

6. What dollar amount of interest did his account earn?

$199,149.07 - $48,000 = $151,149.07

7. Murphy's account earned how much more interest than Lulu's account?

$151,149.07 - $44,408.18 = $106,740.89

7 0

3 years ago

What happens to the individual demand curve as the price of an item increases?

grin007 [14]

Answer:

b. An individual demand for an item will decrease causing a downward slope.

Explanation:

The law of demand states that when other factors are held constant, the price and demand have inverse relationship, which means that as one increases, the other one decreases. So in the case of the of your problem, as the price of an item increases, the demand will decrease (the opposite would be true as well).

So when you put it in a graph, the demand curve would be sloping downwards.

3 0

4 years ago

Suppose that a country’s annual growth rates over a 10-year period are as follows: Year Growth Rate 1 5% 2 3 3 4 4 – 1 5 – 2 6 2

mamaluj [8]

Answer:

a. 2.7%

b. From 6 to 9 years

Explanation:

a. The country’s trend rate of growth over this period is computed below:

= Total of growth rate ÷ time period

where,

Total of growth rate is

= 5% + 3% + 4% -1% -2% +2% + 3% + 4% + 6% + 3%

= 27%

And, the time period is 10 years

So, the trend growth rate is

= 27% ÷ 10 years

= 2.7%

b. The expansionary phase of the business cycle is from 6 years to 9 years as the growth rate is increased over this time period plus the growth rate is positive

3 0

3 years ago

The 2 main componets of local tax is?

Goshia [24]

Property and sales taxes

3 0

3 years ago