Answer:
Deep South should not buy the equipment as the cash flows in three years would be $172,400 which is less than the price of the sound equipment and therefore they will not be able to pay the loan.
Explanation:
This is known as a Cartel
''A formal agreement between many companies to limit production and artificially increase the demand and price of their products to make more profits''
Cartels are illegal in almost every country, but that has not stopped many large companies from taking part in such activities.
They exist because it is extremely difficult to legally prove that a group of companies is acting as a Cartel.
Cartels can have a devastating long-term impact on the local and national economy.
Answer:
Break-even point (in units) 1300 units
Break-even point (in dollar) $650,000
Explanation:
The break-even point is the level of sales that is required to cover all fixed costs of the firm and the break-even point in units can be computed thus:
break-even point in units=fixed costs/contribution margin per unit
fixed costs=$260,000
contribution margin per unit=selling price-variable cost
contribution margin per unit=$500-$300
contribution margin per unit=$200
break-even point in units=$260,000/$200
break-even point in units=1,300 units
units Break-even point (in dollar) $=break-even point in units*selling price
break-even point in units=1300*$500
break-even point in units=$650,000
Answer:
Litigation is the process of taking legal action.
Mediation is intervention in a dispute in order to resolve it.
Arbitration is the use of an arbitrator to settle a dispute.
Answer:
The equation for Edmund's budget line is 6C - 24G = 48
Explanation:
A budget line shows all possible combinations of two commodities that a consumer can buy at a given income level and at given market prices of commodities. The equation of the budget line is as follows.
M = (Px).X + {Py).Y where
M = Income
Px = Price of commodity X
X = Units of commodity X purchased
Py = Price of commodity Y
Y = Units of commodity Y purchased
In this question, Edmund's income is $48. Let C represent the units of punk rock video cassettes that he buys. Each one costs $6.
In addition, rather than spending on another commodity, he earns $24 per sack for accepting garbage. Let G represent the number of garbage sacks he accepts. Putting these values in the above equation, we have:
48 = 6C - 24G
Rearranging the equation, we have the final answer, which is:
6C - 24G = 48
