Consider the following production and cost data for two products, L and C: Product L Product C Contribution margin per unit $ 12
1 answer:
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Answer:
cash will you have from the sale once you pay off the mortgage is $ 510194.55
Explanation:
given data
sold your house = $1000000
time t = 30 year = 360 month
initial balance P = $750,000
mortgage currently exactly = 18½ years = 138 months
interest rate r = 7.75 % = 0.646% per month
solution
we get here monthly loan payment that is
C = P ÷ ...............1
Putting values in formula we get
C = 750,000 ÷
C = $5374.12
so monthly payment is $5374.12
and here Balance after 18.5 year will be
Balance after 18.5 year = $5374.12 × ×
Balance after 18.5 year = $489805.45
and
we received here $1000,000 excess cash received is
cash received = 1000,000 - 489805.45
cash received = $ 510194.55
Answer:
no surplus or shortage
Explanation:
Equilibrium price is the price at which quantity demand equal quantity supplied. Above equilibrium price there is a surplus - quantity supplied exceeds quantity demanded.
Below equilibrium price there is a shortage - quantity demanded exceeds quantity supplied
If demamd increases by 100, new equilibrium is 40
Thus, ceiling price equal equilibrium
Price ceiling is when the government or an agency of the government sets the maximum price for a product. It is binding when it is set below equilibrium price.
Effects of a binding price ceiling
It leads to shortages
it leads to the development of black markets
it prevents producers from raising price beyond a certain price
It lowers the price consumers pay for a product. This increases consumer surplus
