Which of the following best describes a player's role in any game?

Diamond Machine Technology has invested $250,000 in developing a sharpener. Each sharpener costs $3 to make. In addition, fixed

makkiz [27]

Answer:

Diamond Machine Technology

a) Markup price = $4.03

b) Target return price = $3.60

Explanation:

Investment = $250,000

Cost of each sharpener = $3

Additional fixed costs = $10,000

Quantity of sharpeners to sell for the year= 100,000

Markup on sales = 30%

Return on Investment (ROI) = 20%

Markup price = (($3 * 100,000) + $10,000))* 1.3

= $403,000 /100,000 = $4.03

Return on Investment:

Profit for the year = 100,000($4.03 - $3) - $10,000 = $93,000

ROI = $93,000/$250,000 * 100 = 37.2%

Target revenue = (20% of $250,000) + $310,000 = $360,000

Target return price = $360,000/100,000 = $3.60

5 0

3 years ago

The spot price of oil is $50 per barrel and the cost of storing a barrel of oil for one year is $3, payable at the end of the ye

zalisa [80]

Answer: $55.56

Explanation:

Given the following ;

Spot price per barrel = $50

Storage cost = $3 per barrel

Interest rate(i) = 5% (continously compounded)

Period (t) = 1

Upper bound future price.

Upper bound future price = spot price per barrel + storage cost

Storage cost per barrel = $3, compounded at 5 % per annum for one year.

5÷100 = 0.05

Mathematically, present value of storage cost per barrel =

3e^-(i × t) = 3e^-(0.05×1)

3e^-(0.05) = 2.854

Upper bound for one year future price

($50+$2.854)e^0.05×1

52.854e^0.05 = $55.56

8 0

3 years ago

Read 2 more answers

Elburn Supply Co. has the following transactions related to notes receivable during the last 2 months of 2017. The company does

maria [59]

Answer:

November 1

Loaned $18,600 cash to Manny Lopez on a 12-month, 10% note.

Dr Notes receivable 18,600
Cr Cash 18,600

December 11

Sold goods to Ralph Kremer, Inc., receiving a $47,250, 90-day, 8% note.

Dr Notes receivable 47,250
Cr Sales revenue 47,250

December 16

Received a $58,200, 180 day, 9% note in exchange for Joe Fernetti’s outstanding accounts receivable.

Dr Notes receivable 58,200
Cr Accounts receivable 58,200

December 31

Accrued interest revenue on all notes receivable.

Dr Interest receivable 728.25
Cr Interest revenue 728.25

How to calculate interest:

Lopez: $18,600 x 10% x 2/12 = $300

Kremer: $47,250 x 8% x 20/360 = $210 (using a 360-day year; 20 days)

Fernetti: $58,200 x 9% x 15/360 = $218.25 (using a 360-day year; 15 days)

Total $728.25

4 0

3 years ago

1. The language of price controls Suppose that, in a competitive market without government regulations, the equilibrium price of

Scilla [17]

Answer:

Government legal minimum price $4.50 : Price Floor [Binding]
Government maximum set price $4.50 : Price Ceiling [Non Binding]

Explanation:

Price Ceiling is the maximum mandated price by the government , at which a commodity can be sold in the market. It is binding if price ceiling is set below the free market equilibrium price level. It is usually set to protect interests of buyers.

Price Floor is the minimum mandated price by the government, at which a commodity can be sold in the market. It is binding if price floor is set above the free market equilibrium price level. It is usually set to protect interest of sellers.

'The government has instituted a legal minimum price of $4.50 per gallon for gasoline' is an example of Price Floor. As floor price 4.50 > equilibrium price 4 , it is binding.

'The government prohibits gas stations from selling gasoline for more than $4.50 per gallon' is an example of Price Ceiling. As price ceil 4.50 > equilibrium price 4 , it is non binding.

4 0

3 years ago

Imagine that David is preparing his will and is trying to decide how to divide his assets between his two grown children. His da

san4es73 [151]

Answer:

Fairness of Equal Outcomes: Split his wealth evenly between Terry and Tonya, Leave his money to charity instead.

Fairness of Equal Opportunity: Leave Terry his entire wealth to offset the gap between him and his sister.

Fairness of Process: Tell his kids he will leave the money to whoever does the most to take care of him in his old age.

Fairness of what is deserved or earned: Leave his money to the child whom he thinks deserves the most money.

8 0

3 years ago