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VikaD [51]
3 years ago
10

A successful lease agreement is created so that both the lessee and lessor reap some benefits. Tax and depreciation write-offs a

re some critical reasons for leasing, but there are several other qualitative reasons for leasing. Below are two situations in which a firm must decide whether to lease or to buy a particular asset. Based on your understanding of the advantages to leasing from a qualitative perspective, what is the firm likely to do in each situation—lease or buy? Assume all other quantitative factors remain constant.
Compnay #1:
Win Jet Corp. is a private-jet charter company. Due to increased demand during the summer, it needs to add three more jets to its fleet. Win Jet is more likely to ___________
Compnay #2:
Kiran owns a medium-sized printing business. She owns three one-color (black) printers and needs a color printer for volume print production. She wants to keep the operating expenses related to the color printer low, so she should ____________ a color printer.
Business
1 answer:
Alexeev081 [22]3 years ago
4 0

Answer:

Company 1 : Lease new jets.

Company 2 : Buy a color printer.

Explanation:

Lease and buy are both options available to a business for acquiring an equipment. Lease option is best suited to company 1 where the demand for private jet charter has increased in summer. The demand will not remain constant in other seasons so leasing the jets for summer season is best and less costly than buying them.

For company 2, it is better to purchase color printer rather than leasing it as the demand for volume print stays throughout the year and she wants to keep her cost at minimum. Leasing the printer will be an additional monthly expense while buying the printer is one time expense.

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An increase in the change in supply shifts the supply curve to the right, while a decrease in the change in supply shifts the supply curve left....

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Which section of the business plan should come first but be written last? A. Competitive Analysis B. Goals and Strategy C. Execu
Alja [10]

The answer is B. Executive summary. A management summary, or executive summary, is a short article or section of a document, produced for business purposes, that condenses a longer report or proposal or a group of related reports in such a way that readers can rapidly become familiar with a large body of material without having to read it all.

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nirvana33 [79]

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7 0
3 years ago
When frank sells a pie to jean instead of sarah, the economic value created in society is lower because of the difference in:.
Free_Kalibri [48]

When frank sells a pie to jean instead of sarah, the economic value created in society is lower because of the difference in consumer surplus.

What is consumer surplus?

Consumer surplus occurs when a consumer pays a price that is lesser for a goods than the actual price they are willing to pay for a product.

Difference in consumer surplus occurs because Frank now has more customers and he can now sell at a price lower than the consumer would pay.

Therefore, Frank sells a pie to jean instead of sarah,when the economic value created in society is lower because of the difference in consumer surplus.

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