Answer:
Consider the following calculations
Explanation:
1. No price discrimination.The shop is not charging different price for different quantities.
2. Price discrimination as only last minute tickets can be purchased as a discounted price and are only for seats not to be sold at the performance day.
C. The company’s prospectus
Answer:
Net Present value = -$40,221
Explanation:
The net present value is the sum of the discounted cash-flows over the life of the project from t=0 to t=n.
Year Cash-flow PVIF Present Value
0 (55,500) 1.0000 (55,500)
1 2,700 0.9091 2,455
2 2,700 0.8264 2,231
3 2,700 0.7513 2,029
3 11,400 0.7513 <u>8,565 </u>
Net Present value (40,221)
The salvage value is treated as a cash-flow at the end of year 3 as that's the last year in which the project records a cash inflow. In this question, a negative net present value implies that the project is not profitable, and should therefore not be undertaken.
Answer:
Related diversification strategy
Explanation:
The related diversification is when the company enters the samilar industry like Sony enter Camera market which was similar to its television industry, it is known as related diversification. And the strategy that the company follows to generate 70% of revenue from a similar investment like its core operation, then the company is following related diversified strategy.
That's unprofessional. Unethical would be if he was a doctor and was sharing private information about his patients or decided not to treat them even though he's a doctor.
