Answer:
Profit = $125,000
Explanation:
We know,
Profit = Sales revenue - Expense
Given,
Sales revenue = Number of seats available × Ticket price per person
Sales revenue = (1,000 seats × $150) + (500 seats × $50)
Sales revenue = ($150,000 + $25,000)
Sales revenue = $175,000
Expense = $50,000
Putting the values to the formula, we will get
Profit = Sales revenue - Expense
Profit = $175,000 - $50,000
Profit = $125,000
Answer:
a. True
An increase in interest rate on bond will affect intel's decision, as the bonds, market provides firms an opportunity to borrow money.
If Intel has enough of its own funds to build the new factory without borrowing, an increase in interest rates still affects Intel’s decision about whether to build the factory
a. True
Even if Intel can raise it's own resources to build the new factory without borrowing, the increase in the rates of bond will still affects it's decision, as the increase in the rates of bond will make the market more attractive.
Explanation:
a. True
An increase in interest rate on bond will affect intel's decision, as the bonds, market provides firms an opportunity to borrow money.
If Intel has enough of its own funds to build the new factory without borrowing, an increase in interest rates still affects Intel’s decision about whether to build the factory
a. True
Even if Intel can raise it's own resources to build the new factory without borrowing, the increase in the rates of bond will still affects it's decision, as the increase in the rates of bond will make the market more attractive.
Answer:
$1,061.28
Explanation:
We need to calculate the present value of the bond using the minimum effective rate of 7.1225%
First we calcualte the present value of an annuity of $80 for 10 years
PV = $558.72
Then we calculate the $1,000 in 10 years present value
PV = $502.57
Then we add both values
$502.57 + $558.72 = $1,061.28
This will be the present value AKA market price which yields the minimun rate of 7.1225%
Answer: Forward pricing
Explanation:
Forward pricing is a policy in the mutual funds industry where by companies that are investing are mandated to buy or sell orders based on the end net asset value for the day. It is a policy developed by SEC (Securities and Exchange Commission) supported by Rule 22(C) (1) also known as Forward pricing rule. This rule helps to lessen the severity of dilution on shareholders and also help mutual funds operations to run efficiently
The topic referred to above is Positive Economics.
Positive economics: It is the study of economics through an objective and analytical perspective. Most economists enumerate their future predictions on their past and present experiences i.e. what has already happened and what is happening in a particular economy. This investigation process is economically very advantageous.
Advantages of Positive Economics:
Policymakers can use positive economic theory to execute normative value judgments.
To learn more about Positive Economics, visit the following link:
brainly.com/question/14300080
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