Answer:
a. 22.51
Explanation:
The value of the stock is in the money as if the value of stock goes up twice then the new value of the stock will be $60 * 10% * 2 = $72.6
The value of the option is in the money as the new value of the option is greater than the current price.
Answer:
The correct answer is d. relatively smaller shortages in the short run than in the long run because supply and demand tend to be more inelastic in the short run than in the long run.
Explanation:
Rent control laws set limits on how much landlords can charge rent. The rent control laws specify:
- What types of properties qualify for rent control.
- How often rent limits can be adjusted.
- How rent limits can be adjusted. Most rent control laws link increases in rental limits to an annual percentage of inflation in a local consumer price index.
- The conditions when a property is "out of control."
- Restrictions on the eviction of the tenant with rent control.
There are no federal rent control laws since the US Supreme Court. UU. He ruled that rent regulation is a state issue. Most states do not have rent control laws regulated. Only some cities and communities in some states continue to apply them.
In the United States, rent control laws were adopted during World War II when the country was experiencing a housing shortage. President Richard Nixon then passed the wage and price laws that influenced the modern rent control laws that are still being applied today. This is why most rent control laws usually apply to older properties built before 1980.
Answer:
Accounting profit = $60000
Economic profit = $38000
Explanation:
Accounting profit is the net income of a company, it is the difference between revenue and expenses. This expenses are wages, transportation cost, cost of raw materials and so on. It makes use of only explicit cost.
Economic profit makes use of both implicit cost (opportunity) and explicit costs. It does not only considers expenses but also considers opportunity costs for making one decision instead of the other
Given that revenue = $350000
Explicit cost = Administrative cost + Feed + Equipment and maintenance + Labor + Transportation + Miscellaneous + owners salary = $35,000 + $40,000 + $55,000 + $90,000 + $20,000 + $35,000 + $15000 = $290000
Implicit cost = opportunity cost = Cost of her daughter’s time that helps on weekends + Foregone rent for the land used for cattle grazing = $18000 + $4000 = $22000
Accounting profit = Revenue - Explicit cost = $350000 - $290000 = $60000
Economic profit = Revenue - Explicit cost - Implicit profit = $350000 - $290000 - $22000 = $38000