3. What does the team think Wheat’s boss should do to address this problem?

Quickbrush Paint Company is developing a linear program to determine the optimal quantities of ingredient A and ingredient B to

Sonbull [250]

Answer:

A. 0.9x + 0.3y ≤ 10,000

Explanation:

Given

$x \to$ oil based plant

$y \to$ water based plant

The data can be represented in tabular form as:

$\begin{array}{ccc}{} & {A} & {B} & {x} & {90\%} & {10\%} & {y} & {30\%} & {70\%} & {} & {10000} & {5000}\ \end{array}$

Considering only A, we have the following constraints:

$A \to 90\% * x + 30\% * y$

$A \to 0.9x + 0.3y$

Since the company currently has 10000 of A.

The above constraint implies that, the mixture cannot exceed 10000.

So, we have:

$A \to 0.9x + 0.3y \le 10000$

<em>Hence, (A) is correct</em>

4 0

2 years ago

Which incentives do interest groups engage in to overcome the free rider problem?

slava [35]

Answer:

The correct answer is letter "D": All of these are correct.

Explanation:

The Free Rider Problem refers to someone being able to gap for less or even for free what others pay more for. The problem arises when individuals are unwilling to pay their fair share for something that most others pay for. The problem is more often while talking about public goods. To avoid this issue, some sort of special must be given to consumers such as discounts, promotions for subscriptions or special information online.

6 0

2 years ago

Star, Inc., a prominent consumer products firm, is debating whether or not to convert its all-equity capital structure to one th

Dmitry_Shevchenko [17]

Answer:

Explanation:

1) The earnings per share are:

EPS = $39,100/17,000 shares

EPS = $2.30

Cash flow for the company is:

Cash flow = $2.30 X 150 shares

Cash flow = $345

2) Need to determine the EPS of the firm under the proposed capital structure. The market value of the firm is:

MV = $47*17,000 = $799,000

Under the proposed capital structure, the firm will raise new debt in the amount of D = 0.20*$799,000 = $159,800 in debt. The number of shares repurchased will be:

Shares repurchased = $159,800/$47 = 3400

Under the new capital structure, the company will have to make an interest payment on the new debt. The net income with the interest payment will be:

NI = $39,100 – 0.065*$159,800 = $39100-10,387= $28,713

EPS under the new capital structure will be:

EPS = $28,713/13,600 shares = $2.11

Shareholder cash flow = $2.11*150 shares = $316.5

3) In this case, capital structure is irrelevant because shareholders can create their own leverage or unlever the stock to create different capital structures. This has no connection with the capital structure that firm chooses.

6 0

3 years ago

______________ are enacted when discontented sellers, feeling that prices are too low,appeal to legislators to keep prices from

TEA [102]

Answer: Price Ceilings

Price Ceilings are usually controlled by the Government and their main use is to keep prices up. Sometimes a customer will switch to other goods and that person that wants there item bought the price will get lower to attract more customers. In this case, they want to keep the prices from falling - therefore, it would be Price Ceilings.

6 0

2 years ago

While there is systematic risk within a nation, it may be ______ and diversifiableoutside the country after constructing a globa

tresset_1 [31]

<span>While there is systematic risk within a nation, outside the country it may be nonsystematic and diversifiable.</span>

3 0

3 years ago