Answer:
Demand for luxury cars will decrease massively today.
Explanation:
Demand for Luxury items is highly Elastic (>1). This means that quantity demanded will respond proportionately higher to price change.
Future Expectations about price also determine demand.
- If prices are expected to fall in future, demand will decrease today (postponed at future lower prices). If prices are expected to rise in future, demand will increase today (reduced at future higher prices).
- However its important that these are not necessity goods, whose consumption urgency makes their demand inelastic i.e less respondent to price.
So : Luxury Cars having Elastic Demand, coupled with future lower prices & better credit facilities - will reduce their demand massively today, as it's expected to be highly demanded in future period rather than current period
They would do this because the market for this demands that many different advertisers use different networks to engage users. The third party would use one ad instead of multiple, and then communicate with each network behind the scene to inform advertisers which data come from which network
Sidewinder, Inc., has sales of $670,000, costs of $337,000, depreciation expense of $82,000, interest expense of $47,000, and a
Pani-rosa [81]
Answer:
Additions to Retained earnings $78,040
Explanation:
The additions to the retained earnings of Sidewinder, Inc can be calculated as follows
Sales $670,000
Costs ($337,000)
Depreciation expense ($82,000)
Interest expense ($47,000)
Profit before tax $204,000
[email protected]% ($48,960)
Profit after tax $155,040
Less:Dividends ($77,000)
Additions to Retained earnings $78,040
Answer:
Allocated MOH= $2,450,000
Explanation:
Giving the following information:
The predetermined overhead rate is $10.00/DLH
Actual direct labor hours= 245,000 direct labor hours
We were provided with the predetermined overhead rate, we need to allocate overhead to the period based on actual direct labor hours:
Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base
Allocated MOH= 10*245,000
Allocated MOH= $2,450,000
Answer:
(1) $9,973.15
(2) 10.7%
Explanation:
(1) A = P(1+r)^n
A (estimated cost of the wedding) is the total amount to be saved = $52,000
r = interest rate = 3.5% = 0.035
n = duration of savings = 4 years = 4×12 = 48 months
52000 = P(1+0.035)^48
52000 P(1.035)^48
52000 = P(5.214)
P = 52000/5.214 = 9,973.15
Amount to be saved each month is $9,973.15
(2) A = P(1+r)^n
A is the total amount the coin was resold = $297,500
P is the amount the coin was purchased = $219,000
n is the duration of the investment = 3 years
297,500 = 219,000(1+r)^3
(1+r)^3 = 297,500/219,000
(1+r)^3 = 1.358
1+r = (1.358)^1/3
1+r = 1.107
r = 1.107 - 1 = 0.107 = 10.7%
