Deregulation in the banking industry in 2007 was mainly intended to lead to ____

Key Company is considering the addition of a new product to its current product lines. The expected cost and revenue data for th

Naddik [55]

Answer:

Effect on income= $135,000 increase

Explanation:

Giving the following information:

The expected cost and revenue data for the new product are as follows:

Annual sales= 2,500 units

Selling price per unit= $304

Variable costs per unit:

Production= $125

Selling= $49

Avoidable fixed costs per year:

Production= $50,000

Selling= $75,000

Allocated common corporate costs per year= $55,000

If the new product is added, the combined contribution margin of the other, existing product lines is expected to drop $65,000 per year. Total common corporate costs would be unaffected by the decision of whether to add the new product.

Effect on income= (2,500*304) - (2,500* 174) - 125,000 - 65,000= $135,000

7 0

4 years ago

Bill Dukes has $100,000 invested in a 2-stock portfolio. $50,000 is invested in Stock X and the remainder is invested in Stock Y

ohaa [14]

Answer:

the portfolio´s beta is 1.65

Explanation:

when the individual calculation of beta has been given, is possible to aggregate them as a weigthed average, so it is possible to apply te next formula

$Beta Portfolio=w_{1} *\beta _{1}+ w_{2} *\beta _{2} + .... + w_{n} *\beta _{n}$

where w is the weigthed value for each asset, in this particular case we have:

$Beta Portfolio = \frac{50.000}{100.000}*1.50 +\frac{50.000}{100.000}*1.70$

so with this result we get 1.65

8 0

3 years ago

PLEASE ANSWER

rewona [7]

Global value chain

Explanation:

8 0

3 years ago

Recent regulation such as the Riegle-Neal Act of 1994 has removed some of the federal banking laws that formerly constrained pro

PIT_PIT [208]

Answer:

The correct answer is diversify geographically.

Explanation:

Diversification is one of the strategies most used by companies when it comes to expanding their market horizon. In this sense, diversifying is synonymous with expansion, growth, investment and openness.

In general, companies that are committed to diversification seek new market niches or commercial possibilities. This may be motivated by several reasons, ranging from corporate growth opportunities to the implementation of internal restructuring plans.

7 0

3 years ago

Gains from trade

Sergeeva-Olga [200]

Answer:

Contente's opportunity cost of producing 1 bushel of rye is 0.5 of jeans, and Dolorium's opportunity cost of producing 1 bushel of rye is 0.25 of jeans. Therefore, DOLORIUM has a comparative advantage in the production of rye, and CONTENTE has a comparative advantage in the production of jeans.

Suppose that each country completely specializes in the production of the good in which it has a comparative advantage, producing only that good. In this case, the country that produces rye will produce 64 million bushels per month, and the country that produces jeans will produce 24 million pairs per month.

Suppose the country that produces rye trades 54 million bushels of rye to the other country in exchange for 18 million pairs of jeans.

Dolorium:

Export 54 million bushels of rye

Consume 10 million bushels of rye

Import 18 million pairs of jeans

Contente:

Export 18 million pairs of jeans

Consume 6 million pairs of jeans

Import 54 million bushels of rye

Before specialization, the total production of rye = 36 + 16 = 52 million bushels, and the total production of jeans = 6 + 12 = 18 million pairs.

Because of specialization, the total production of rye has increased by 12 million bushels per month, and the total production of jeans has increased by 6 million pairs per month.

Calculate the gains from trade—that is, the amount by which each country has increased its consumption of each good relative to the first row of the table.

Contente:

Before specialization and trade, produced and consumed 6 million pairs of jeans and 36 million bushels of rye.

After specialization and trade, consumed 54 million bushels of rye and 6 million pairs of jeans.

Gain from trade is 18 million bushels of rye.

Dolorium:

Before specialization and trade, produced and consumed 12 million pairs of jeans and 16 million bushels of rye.

After specialization and trade, consumed 10 million bushels of rye and 18 million pairs of jeans.

Gain from trade is -2 million bushels of rye and 6 million pairs of jeans.

Explanation:

There is a mistake in the question, since Contente's production of jeans must be 6 per hour and its production of rye should be 12 bushels per hour. That is the only way that it can produce 6 million pairs of jeans and 36 million bushels of rye. Something similar happens with Dolorium, it must be able to produce 16 bushels of rye per hour and 4 pairs of jeans per hour in order to produce 12 million pairs of jeans and 16 million bushels of rye.

Country Rye Jeans

Contente 12 6

Dolorium 16 4

Contente's opportunity cost of producing rye = 6 / 12 = 0.5 pairs of jeans.

Dolorium's opportunity cost of producing rye = 4 / 16 = 0.25 pairs of jeans.

Dolorium's production of rye = 16 bushels x 4,000,000 labor hours = 64,000,000 bushels of rye.

Contente's production of jeans = 6 pairs x 4,000,000 labor hours = 24,000,000 pairs of jeans

8 0

4 years ago

Deregulation in the banking industry in 2007 was mainly intended to lead to _____. (Select all that apply.)