1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Oxana [17]
3 years ago
10

7. Adverse selection is a problem associated with equity and debt contractsarising from​

Business
1 answer:
Goshia [24]3 years ago
6 0

Adverse selection is a problem associated with equity and debt contracts arising from. (a) the lender's relative lack of information about the borrower's potential returns and risks of his investment activities

You might be interested in
Safari Co. was organized to sell a single product that carries a 45-day warranty against defects. Engine 7% of the units sold wi
vovangra [49]

Answer:

A. $5,460

Explanation:

Expected rate of defects = 7%

Average repair cost = $70

Total sales = 1,200 units

Actual defective units = 6

Liability for product warranties (L) at month-end should be the difference between the expected warranty costs (EW) and the actual warranty (AW) costs:

EW = 0.07*1,200*\$70 = \$5880\\AW = 6*\$70 =\$420\\L = \$5880 - \$420\\L= \$5460

Liability for product warranties at month-end should be $5,460.

6 0
4 years ago
An aircraft factory manufactures airplane engines. The unit cost (the cost in dollars to make each airplane engine) depends on t
nataly862011 [7]

Answer:

Incomplete question

Complete question:

An aircraft factory manufactures airplane engines. The unite cost C ( the cost in dollars to make each airplane engine) depends on the number of engines made. If x is the number of engines made, then the unit cost is given by the function C(x)=0.8x^2-160x+26848. What is the minimum unit cost? not rounded

Answer: $18848

Explanation:

Since we have the function

C(x) = 0.8x²-160x+26,848

Firstly, we differentiate

C'(x) = 1.6x - 160

The minimum cost will occur where x = 100.

The vertex of a parabola (quadratic equation) occurs where X = -b/2a, in this case we have that

X = 160/(2×0.8) = 100

Therefore, we substitute x = 100 into the original equation

We have that

C(x) = 0.8(100)²-160(100)+26848

C(x) = 8000-16000+26848

C(x) = $18848

8 0
3 years ago
If there is no comparative advantage in the production of either of the two goods produced by countries 1 and 2, then: ________
Sav [38]

Answer:

b. there are no gains from specialization and trade between the two countries.

Explanation:

If the two countries are producing goods with the same opportunity cost, then there is no need or advantage gained from the trade of goods between these two countries.

Usually, countries trade with each other if one has a comparative advantage of producing one good over the other trading country. Then in this case is can specialize in making that good and trade the excess to the other country.

However, in the case when two countries are producing apples and oranges. And opportunity cost producing orange for country 1 is one apple and same for country 2

Opportunity cost for Country 1 : 1 Apple = 1 Orange

Opportunity cost for Country 2 : 1 Apple = 1 Orange

Then countries will gain no additional benefit from specializing in one good.

7 0
3 years ago
Business reports are often systematic compilations of complex information; therefore, the best reports are methodically develope
Oksana_A [137]

<u>Solution and Explanation:</u>

Answer 1 “Develop a scope statement.”

<u>Explanation</u>: A scope statement will define the outline of the project deliverables, identify the project constraints, assumptions, and success factors. It will clearly define the boundaries of the project

Answer 2 “What do my readers need to know about this topic?”

<u>Explanation</u>: You need to share the information which is relevant for the reader and you need to identify with all the audience requirements.

Answer 3 “It will help you identify issues to be investigated and possible solutions.”

<u>Explanation</u>: "Breaking a major issue into subproblems is a powerful tool for solving problems by breaking them into smaller and more easily solved pieces."

7 0
4 years ago
The manager of a carpet store is trying to determine the best installation crew size. he has tried various crew sizes with the r
RideAnS [48]
<span>I would recommend crews of two workers. This type of crew size is easier to manage and prevents cluster. The workers can watch each other's backs without having to worry about looking out for too many other workers. This way they can help each other without losing sight of their own work.</span>
8 0
3 years ago
Other questions:
  • Marigold Inc. has been manufacturing its own finials for its curtain rods. The company is currently operating at 100% of capacit
    10·1 answer
  • Difference between critical thinking and team working skill
    9·1 answer
  • Sarah was in a meeting where various vendors were being considered. She noticed that one of the vendors had a history of mistrea
    11·2 answers
  • Services had net income for the month of October of $ 23 comma 040. Assets as of the beginning and end of the month totaled $ 36
    12·1 answer
  • Julia bought a used car. She found out after she made the purchase that the car had previously been in an accident. What right w
    8·1 answer
  • In the context of skills of successful managers, making sacrifices to encourage and promote desired outcomes in an organization
    7·1 answer
  • Melanie is employed full-time as an accountant for a national hardware chain. She recently started a private consulting practice
    10·1 answer
  • A 20-year-old student wants to save $5 a day for her retirement. Every day she places $5 in a drawer. At the end of each year, s
    15·1 answer
  • Echo2155 STOPPP WHY DO YOU DELETE MY ANSWERS I HAD 2 BRAINIST AND YOU DELETED AN ANSWER WITH 1 WHY WHATS WRONG WITH YOU TODAY
    9·2 answers
  • If closing costs of $1,400 are associated with the refinance of reduce the monthly payment fro m $980 to $870 refinance, it woul
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!