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3 years ago

Business can handle risks through which of the following

Business

2 answers:

lana [24]3 years ago

5 0

Answer:

offering a wide range of products

Explanation:

SIZIF [17.4K]3 years ago

4 0

Businesses handle international risks through offering a wide range of products. Also if you don't mind can you mark me as brainliest?? I need just one more to move up and become virtuoso on this site. Thank you!!

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Richland’s real GDP per person is $10,000, and Poorland’s real GDP per person is $5,000. However, Richland’s real GDP per person

dangina [55]

Answer:

It will take approximately 36 Years to Poorland to catch up to Richland.

Explanation:

Given data:

The GDP increase in Poorland per year = 1 %

The GDP increase in Richland per year = 3 %

Calculations:

Step 1: For Richland:

The formula for calculating the per year GDP increase for Richland is:

GDP = 10,000 + (10,000 x (1/100)) ---- (1)

GDP for first Year = 10,100$

GDP for second Year = 10,201 $

Similarly using the formula (1) we calculated the values for 10 and 20 years

GDP for 10th Year = 11046.2$

GDP for 20th Year = 12201.9$

Step 2: For Poorland:

The formula for calculating the per year GDP increase for Poorland is:

GDP = 5,000 + (5,000 x (3/100)) ---- (1)

GDP for first Year = 5,150$

GDP for second Year = 5,304.5 $

Similarly using the formula (1) we calculated the values for 10 and 20 years

GDP for 10th Year = 6719.6$

GDP for 20th Year = 9030.6$

Step 3: When will Poorland catch up to Richland:

By calculating values using the above formulas, we have found that for 38th year, Poorland will catch upto Richland and will have more GDP.

Poorland GDP for 36th Year = 14491.4$

Richland GDP for 36th Year = 14307.7$

6 0

3 years ago

An author just signed a lucrative contract with a publisher that offers to pay her the amount of $500 at the end of year 9 when

solong [7]

Answer:

Ans. The annuity that will be equivalent to the publisher´s advance would be $26.40 per year, for 9 years at 7% interest rate.

Explanation:

Hi, first, let´s bring that $500 to be paid in 9 years to present value, we need to use the following formula.

$PresentValue=\frac{FutureValue}{(1+r)^{n} }$

Where: r is our discount rate (7%) and n the periods from now when she will receive that $500 amount. This should look like this.

$PresentValue=\frac{500}{(1+0.07)^{9} } =271.97$

Ok, so the equivalent amount of money today of those $500 in nine years is $271.97, but the author wants $100 today so the remaining amount has to be used to find the equal annual payments to be made in order to be equivalent to re remaining balance ($171.97). We now need to use the following equation.

$Present Value=\frac{A((1+r)^{n}-1 )}{r(1+r)^{n} }$

And we solve for "A" like this

$171.97=\frac{A((1+0.07)^{9}-1 )}{0.07(1+0.07)^{9} }$

$171.97=\frac{A(0.838459212 )}{0.128692145}$

$171.97=A(6.515232249)$

$A=\frac{171.97}{6.515232249} = 26.40$

Therefore, the equivalent amount of money of $500 in 9 years is $100 today and $26.40 every year, at the end of the year, for nine years.

Best of luck.

4 0

3 years ago

Kate's Diner offers one breakfast item, a breakfast special. The market price for this meal is $5. At her profit-maximizing leve

bazaltina [42]

Answer:

keep producing in the short run but exit the industry or go out of business in the long run

Explanation:

A perfect competition is characterised by many buyers and sellers of homogeneous goods and services. Market prices are set by the forces of demand and supply. There are no barriers to entry or exit of firms into the industry.

In the long run, firms earn zero economic profit. If in the short run firms are earning economic profit, in the long run firms would enter into the industry. This would drive economic profit to zero.

Also, if in the short run, firms are earning economic loss, in the long run, firms would exit the industry until economic profit falls to zero.

A firm should shut down in the short run if price is less than average variable cost. But since the diner's price is greater than average variable cost, it should continue production.

A firm should exit the industry in the long run if price is less than average total cost. the diner's price is less than average total cost, so it should shut down in the long run

6 0

3 years ago

Last year's asset turnover ratio was 2.0. Sales have increased by 25% and total assets have increased by 10% since that time. Wh

Dmitriy789 [7]

Answer: d. 2.27

Explanation:

Asset Turnover = Total sales / Average Assets

Last years turnover ratio was 2.0 so assume Sales were $20 and Assets were $10 which would give the turnover of 2.0

The new turnover would be;

= (20 * 1.25)/(10 * 1.1)

= 25/11

= 2.27