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3 years ago

What is penetration pricing?

Business

1 answer:

Sophie [7]3 years ago

5 0

Explanation:

Penetration pricing is a marketing strategy used by businesses to attract customers to a new product or service by offering a lower price during its initial offering.

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You’ve just joined the investment banking firm of Dewey, Cheatum, and Howe. They’ve offered you two different salary arrangement

rodikova [14]

Answer:

The correct answer for 1st option is $158,206.95 and for 2nd option is $157,733.11.

Explanation:

According to the scenario, the given data are as follows:

1st option

Payment ( PMT ) = $85,000

Interest rate (I) = 7%

Time (N) = 2 years

So, the effective rate of interest can be calculated as :

R = $((\frac{1+\frac{7}{100} }{12})^{12} -1)$

R = 7.2290%

Present value can be calculated by using following formula:

P = PMT x (((1-(1 + r) ^- n)) / i)

Hence, present value of 1st option can be calculated as:

PV = 85000×((1-(1 + 7.229%) ^- 2) / 7%)

PV = $158,206.95

Now, present value of 2nd option can be calculated as:

Payment = $74,000

Bonus = $20,000

So, PV = 74000×((1-(1 + 7.229%) ^- 2) / 7%)

PV = 137,733.11

Bonus (add) = $20,000

Total PV = $157,733.11

Hence, the present value for 1st option is $158,206.95 and for 2nd option is $157,733.11.

4 0

4 years ago

Nova water Factory produces purified water. It uses process costing system with the FIFO system. The following information is ob

Neporo4naja [7]

Answer:

Trial balance ledger book

5 0

2 years ago

Each of the following is included in the amount ultimately paid for borrowing money except:

erastovalidia [21]

Answer:

annual tax payment

Explanation:I

I took the quiz and got it right trust me its correct.

7 0

3 years ago

Read 2 more answers

The causes of frictional unemployment include:

RideAnS [48]

Answer:

The answer to your question is B - Changes of economic structure.

5 0

3 years ago

The marginal benefit Bob gets from purchasing a third pair of gloves is Select one:_____.

babymother [125]

Answer:

d. the total benefit he gets from purchasing four pairs of gloves minus the total benefit he gets from purchasing three pairs of gloves.

Explanation:

Marginal benefits refer to the additional gains obtained by the sales, purchase, or manufacture of an extra unit. It the advantage associated with buying or selling one more unit. Marginal benefit is compared with the marginal cost to determine if continuous production is profitable.

Since marginal benefits are associated with an extra item, obtaining the value of the additional items must exclude the previous units. In this case, getting the marginal benefit of the fourth item can be calculated by adding up the gains of all the four gloves then subtracting the gains of the first three.

6 0

4 years ago