The law suit that The customers are going to give here is based on the product liability.
<h3>What is a product liability?</h3>
This is a suit that is made against a company due to the fact that they allowed a defective good to be bought by a consumer.
The company is being sued due to the fact that the customers are injured fron the defective bicycle.
Read more on product liability here: brainly.com/question/25754997
Answer: option C
Explanation: THIS CAN BE REPRESENTED AS FOLLOWS :-
If we eliminate the product there would be no sales, no variable expenses and therefore, no contribution.
sales = nil
-variable expenses= <u>nil</u>
contribution = nil
- fixed expenses = <u>56,000</u>
NET LOSS = <u> (56000)</u>
.
NOTE :-
Fixed expense = (140,000)*(40%)= 56,000
.
.
Thus increase in loss would be 56000- 50,000=6000
Answer:
The seller may reject the offer and choose to provide a counteroffer.
Explanation:
In a free-market environment, a seller has the option to accept or decline an offer for what he is selling, in this case, a house. Furthermore, he can propose a counteroffer to see if the buyer is able and willing to pay more for that house. Taking this simple rules into account, the seller may reject Kelly’s offer if he wants and can choose to make a counteroffer.
Answer:
a) $3
b) $2
c) 1449
Explanation:
Given:
The cost for a carton of milk = $3
Selling price for a carton of milk = $5
Salvage value = $0 [since When the milk expires, it is thrown out ]3
Mean of historical monthly demand = 1,500
Standard deviation = 200
Now,
a) cost of overstocking = Cost for a carton of milk - Salvage value
= $3 - $0
= $3
cost of under-stocking = Selling price - cost for a carton of milk
= $5 - $3
= $2
b) critical ratio = 
or
critical ratio = 
or
critical ratio = 0.4
c) optimal quantity of milk cartons = Mean + ( z × standard deviation )
here, z is the z-score for the critical ration of 0.4
we know
z-score(0.4) = -0.253
thus,
optimal quantity of milk cartons = 1,500 + ( -0.253 × 200 )
= 1500 - 50.6
= 1449.4 ≈ 1449 units
Answer:
1.27%
Explanation:
Rate of return = [(1+real risk free rate)/(1+inflation rate)]-1
real risk free rate = 3.5%
inflation rate = 2.20%
Therefore Rate of return = [(1+ 3.5%)/(1+2.20%)]-1
=1.27%
