Answer:
Possible transportation modes are discussed below in detail.
Explanation:
• Purchase Request: 12 - 25 days
• Process buy request abroad: 10 - 20 days.
• Manufacturing process: 60 days
• Transport from plant to port: 1-14 days
• Paperwork: 5 - 10 days
• Wait for the container: 1 - 7 days*
• Load compartments: 3 - 6 days
• Ship days: 28 days
• Custom clearance: 7 – 14 days
• Warehouse transportation: 1-3 days
Delivery time is around 136 minimum days and 191 maximum days. Likewise, the average delivery time is 163 days. Companies such as international trade specialist, trade logistics companies and Internet exchanges can help the company to reduce the delivery time by facilitating the trade channels. These intermediate channels can help to attain objectives in timely manner.
Answer:
Option (D) is correct.
Explanation:
Asymmetric information occurs in a situation in which one of the two parties involved in a particular transaction have more information than the other party. This problem mostly occurs in a health insurance market where the a person to be insured have more information about his health than the insurance company.
Asymmetric information will result in two problems are as follows:
(i) Adverse selection
(ii) Moral hazard
Answer: $73.33
Explanation:
Dividend discount model can be used to calculate the value of the shares:
= Earnings paid out / (Cost of equity - growth rate)
Earnings to be paid out:
= 60% * 5,500,000
= $3,300,000
Value of shares:
= 3,300,000 / ( 9% - 6%)
= $110,000,000
Share price:
= Value of shares / Number of shares outstanding
= 110,000,000 / 1,500,000
= $73.33
