Answer:
7.5 Years
Explanation:
The computation of the payback period of the given machine is shown below:
<u>Year Initial outflow Cash flow Cumulative cash flow</u>
(52000)
1 10,000 10,000
2 10,000 20,000
3 10,000 30,000
4 8,000 38,000
5 8,000 46,000
6 2,000 48,000
7 2,000 50,000
8 4,000 54000
9 4,000 58000
10 4,000 62000
Now the Payback period is
= Completed years+ required cash ÷ annual cash inflow
= 7 years + 2000 ÷ 4000
= 7.5 Years
Answer
a. 200 million
b. 30 million
The answer and procedures of the exercise are attached in the image below.
Explanation
Please consider the data provided by the exercise. If you have any question please write me back. All the exercises are solved in a single sheet with the formulas indications.
Answer:
if the price increases by 1 percent, the quantity demanded will decrease by 2 percent.
Explanation:
As we know that
Price elasticity of demand = (Percentage change in quantity demanded) ÷ (percentage change in price)
Since the price elasticity of demand is -2 that means the price is increased and the quantity demanded is decreased
The price would be increased by 1% and the quantity demanded would be decreased by 2% because of this, the price elasticity would be negative
Assessing how customers in the target market evaluate price is the <u><em>second </em></u>stage in the pricing process.
A company's pricing process is the amount it asks for its goods or services. As a result, the profitability of a business is directly related to the pricing decisions it makes. A product's pricing is determined by several variables, including its cost to produce, the intensity of competition, the state of the market, and the level of quality it offers. When determining the prices of its goods and services, a company should keep in mind the requirement to recover both the direct and indirect expenses associated with production and a reasonable profit. If the selling price of a product is below the company's operating expenses, the company will go bankrupt.
When setting prices for its wares, a company employs a variety of strategies and procedures. An efficient pricing strategy is one that maximises the surplus between the producer and the customer. A company's pricing plan should be practical, adaptable, and profitable.
To know more about pricing refer to:
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Answer:
The capacity utilization rate for month of October is 72.83%.
Explanation:
FORMULA FOR CALCULATING CAPACITY UTILIZATION RATE -
= ACTUAL CAPACITY / MOST EFFICIENT CAPACITY
GIVEN INFORMATION -
Actual capacity for month of October - $10,925
Most efficient capacity - $15,000
Putting these values in formula -
= $10,925 / $15,000
= .7283
Now multiplying it by 100 to convert it in to percentage
= .7283 x 100
= 72.83%
