Answer
D. A sunk cost is any cost that was expended in the past but can be recovered if the firm decides not to go forward with the project.
Explanation:
As per the data given in the question,
Option (D) is correct among the given statements. A sunk cost is that cost which was occurred and expended in the past and if firm decides to do not go ahead, it can not be recovered.
For illustration - Think about the cost incurred to find out the feasibility of the project. Though in past firm was agree with the project but now even if the firm decides not to the project, this cost can not be recovered.
Answer:
Leave the price alone. Although it may lack some of the features that competitors’ models have, the Boss brand is well-recognized and well-respected in the market
Explanation:
You chose to lower the price to $359.That was the best choice.During the maturity stage of the product life cycle, increased competition eventually forces price cutting, and market share leadership may outweigh profit as a pricing objective, so this is a good option. However, it would take some research to determine whether the company can still make a profit at this price.
Answer:
The answer to the question is B I51,753 bonds
Explanation:
The present price of the bond and the total amount to be raised of $170m were used in arriving at the number of bonds to be issued.
n 20
Coupon 6.60%
YTM 7.7%*1000=77
FV 1000
PV ($1,120.25)
The current price of the bond $1,120.25
Total amount to be raised $170,000,000
Number of bonds to be issued=total amount /bond price 151,752 approx...151753
Find attached spreadsheet with formulas so as to be able to follow through.
Answer:
Explanation:
Cost of advertising the product - Selling & Administrative Cost
Fabric used to make the umbrellas -Direct Materials Cost
Maintenance of cutting machines used to cut the umbrella fabric so it will fit the umbrella frame -Manufacturing overhead Cost
Wages of workers who assemble the product - Direct labour Cost
President's salary - Selling & Administrative Cost
The salary of the supervisor of the people who assemble the product - Selling & Administrative Cost
Wages of the product tester who stands in a shower to make sure the umbrellas do not leak - Direct labour Cost
Cost of market research survey - Selling & Administrative Cost
Salary of the company's sales managers - Selling & Administrative Cost
Depreciation of administrative office building - Selling & Administrative Cost
Answer:
8.3% - 60%
Explanation:
Unemployment rate is the total of unemployed divided by the total workforce. As the question says, there is 1 million of unemployed and the people able to work is 12 million (1 million unemployed plus 11 employed). So the unemployment rate is 1/12... which is 8.3%
The participation rate is the employed plus the people that have no job but are actively seeking for a job, divided by the population that is in working age. The people who has no job, is in working age and available to work and is actively looking for work is the unemployed (ILO definition of unemployment). So we have 1 million plus the 11 million of employed, we have a total of 12 million. So the participation rate is 12/20... which gives us 60%
