Answer:
d.borrow $375,000
Explanation:
Given that
Amount available to invest = $500,000
Risk free rate = 8%
Return on the risky portfolio = 16%
Now the computation is shown below:
The interest rate should be
Interest amount on borrowings = $375,000 × 8% = $30,000
So, the total amount available to invest is
= $500,000 + $375,000
= $875,000
Now the total inflow is
= $140,000 - $30,000
= $110,000
The $140,000 is come from
= $875,000 × 16%
So the 22% is come from
= $110,000 ÷ $500,000
Answer:
Ending balance of assets is $ 857,100
Explanation:
Computation of total assets of Kirk Corporation
Opening Assets $ 851,000
Purchase of equipment $ 6,100
Purchase of supplies for cash $ 0
Sale of land at cost $ 0
Agreement for storage space <u>$ 0</u>
Ending balance Assets $ 857,100
Purchase of equipment on credit increases assets
Purchase of supplies for cash is neutral. Supplies ( considered as included in inventory) is paid in cash asset increases and decreases
Sale of land at cost is also neutral for asset purposes
Agreement to rent storage space is not an executed transaction
Answer:
the answer is yes or true
Explanation:
you can understand it by Pricing strategy is the overarching approach used to set pricing for a company's products and services. It doesn't define actual price points, but the pricing structure is a consequence of the strategy, and it's where you set the price customers see
Answer:
cyclical unemployment.
Explanation:
Unemployment that results because the number of jobs available in some labor markets may be insufficient to give a job to everyone who wants one is called cyclical unemployment.
Answer:
False.
Explanation:
The total cost of ownership can be defined as the acquisition cost of an asset and the cost of it's operation. It takes into account the total value of the asset. Before making a decision on the asset one wants to purchase, the total cost of ownership should be assessed. Most buyers make the mistake of only considering the purchase cost of an item without considering other operational and maintenance cost over the items useful life. For example, one might decide to pick a cheap alternative based on it's low purchase cost and later realize very hefty operation and maintenance cost. It is therefor prudent for buyers to consider not only the short-term cost which is the price but also the long-term cost that will be incurred over the item's useful life.
Most companies in business that want to purchase an equipment usually consider the total cost of ownership to determine the best alternative in terms of long-term value. By doing a total cost of ownership analysis, the company tends to have a holistic view of all the direct and indirect costs.
