The required capacity for our warehouses are: Denver 80 cars, New York 130 cars.
This approach will require $10,000 in shipping expenses overall per week. A total of $10,000 would be spent each week on manufacture and delivery (200 automobiles would be created at a cost of $10,000 apiece + $10,000for shipping). With this strategy, all of the product produced in Detroit will be delivered to warehouses, satisfying client demand in all three cities. Atlanta will have 40 automobiles in the warehouse that are surplus to requirements if production is at the desired rate of 100 cars per week. Finding new consumers for the additional 40 cars is preferable to producing only 60 cars in Atlanta.
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a bond pays semiannual interest payments of $27.55. what is the coupon rate if the par value is $1,000?
coupon rate is equal to (annual interest/par value) x 100, where the annual interest is $27.55 x 2 = $55.10, or (55.10/1000) x 100 = 5.51 percent.
How does a coupon work?
The amount of money an investor can anticipate earning annually while holding a particular bond is known as the coupon rate.It is determined by dividing the sum of the annual coupon payments by the par value, which is fixed at the time the bond is issued.
Which coupon rate is 5%?
If an investor buys a $1,000 ABC Company coupon bond with a coupon rate of 5%, the issuer pays the investor 5% annually.This indicates that the investor will receive $50 annually, which is the bond's face value calculated by multiplying $1,000 by 0.05.
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one year ago, your company purchased a machine used in manufacturing for$120,000. you have learned that a new machine is available that offers manyadvantages; you can purchase it for $200,000 today. it will be depreciated on astraight-line basis over 5 years, after which it has no salvage value. you expect thatthe new machine will produce ebitda (earnings before interest, taxes, depreciation,and amortization) of $100,000 per year for the next 5 years. the current machine isexpected to produce ebitda of $45,000 per year. the current machine is beingdepreciated on a straight-line basis over a useful life of 6 years, after which it willhave no salvage value, so depreciation expense for the current machine is $20,000 peryear. all other expenses of the two machines are identical. the market value today ofthe current machine is $80,000. your company’s tax rate is 45%, and the opportunitycost of capital for this type of equipment is 12%. is it profitable to replace the year-old machine?
By the use of incremental net present value under capital budgeting decision for the company it is profitable to opt for new machine instead of continuing old machine because it is positive.
What is capital budgeting decision?A capital budgeting decision entails both an investment and a financial commitment. The corporation commits money to a project, but it also invests in its long-term strategy, which will probably have an impact on initiatives it considers in the future.
By using incremental net present value mechanism the project investment decision under capital budgeting would be ascertain by following manner:
A) Incremental Present value of Initial Outlay = Cost of New machine - Opportunity market value of old asset - tax benefit on loss of sale of old machine.
⇒ $200,000 - $80,000 - {(120000-80000)×45%} = $102,000
B) Incremental Present value of Annual Cash Inflows = Cash flow after tax (CFAT) of new machine in next five years and cash flow after tax of old machine in next 6 years
∵ CFAT ⇒ EBITDA - Depreciation - Corporate tax expense + Depreciation
a) New machine = $100,000-$40,000-$27,000+$40,000 = $73000
b) Old Machine = $45,000-$20,000-$11,250+$20,000 = $33750
Now using the present value annuity factor for 5 years and six years respectively at discounting rate 12%;
c) PVAF-12% for 5 Years = 3.60
d) PVAF-12% for 6 Years = 4.11
Compute present value of CFAT:
e) = a) × c) = $73,000 × 3.60 = $262,800.00
f) = b) × d) = $33,750 × 4.11 = $138,712.50
∴ g) Incremental Annual CFAT = $124087.50
C) Incremental Net Present Value = Inflow - Outflow (A -B)
⇒ $124087.50 - $102,000
⇒ $22087.50
Thus the incremental NPV is positive hence the it is viable to acquire the new asset
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figure 14-2 above represents the four approaches to selecting an appropriate price level. box a represents which approach?
figure 14-2 above represents the four approaches to selecting an appropriate price level. box a represents a profit-oriented approach.
a visual approach is an method to a runway at an airport carried out beneath instrument flight rules (IFR) however in which the pilot proceeds by means of visual reference and clean of clouds to the airport. The pilot need to at all times have either the airport or the preceding plane in sight. This technique should be authorized and below the control of an appropriate air traffic manipulation (ATC) facility.[1] The international Civil Aviation business enterprise (ICAO) definition provides that the visual approach can commence whilst "both part or all of an tool approach is not finished", varying best slightly from the Federal Aviation administration regulation and is basically same.
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katrina could not afford expensive furnishings but wanted a stylish home. after researching many options, she went to a local target to purchase the trendy lamps, pillows, and art featured on its ads and website. as a consumer, which retailing challenge was katrina likely responding to?
As a consumer, Katrina was likely responding to the brand image consistency retailing challenge.
What is brand image consistency?By maintaining brand consistency across all of your marketing channels, you can ensure that your consumers and potential buyers consistently see the same picture and message about your business. According to research findings, the eight elements of brand attitude, brand awareness, brand familiarity, pricing perception, and risk perception were defined.
They all have an impact on the decision to choose the brand of the retail chain. A brand image will draw new clients to your business. Introducing new items becomes simpler. Additionally, it often leads to improved client relationships. It also aids in customer retention by boosting the level of trust among current clients.
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question content area top part 1 npv and maximum return a firm can purchase new equipment for a $39,000 initial investment. the equipment generates an annual after-tax cash inflow of $9,000 for 8 years. a. determine the net present value (npv) of the asset, assuming that the firm has a cost of capital of 10%. is the project acceptable?
The net present value (npv) of the asset is $90.90.
A technique for balancing initial capital investment against the current worth of all future cash flows generated by a project is called net present value (NPV).
What is the example's NPV formula?Example of NPV calculation: You anticipate a 10% return on your total investment each year, or $100. Divide the year one profits ($1001) by 1 plus the return to determine the net present value (NPV) of your cash flow (earnings) at the end of year one (so t = 1). (0.10). Rt/(1 + i)t = $1001/(1+1.10)1 = $90.90; NPV = Rt/(1 + i)t
How are capital costs determined?One typical approach is to tally up your company's annual interest costs for all debts and divide them by the entire amount of debt.
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The asset has a $90.90 net present value (NPV). Net present value is a method for weighing the initial capital expenditure against the current value of all upcoming cash flows produced by a project.
Capital is what?In the world of business, capital refers to the total sum of financial resources needed to make things or provide services. These funds could be used to launch operations, pay ongoing expenses, or grow and expand the business.
What sources of funding are there?A number of the following sources and capital providers could be used to raise capital: Bank financing, bonds Credit union funding. Money and people are the two most common forms of capital in the both business and finance.
Briefing:NPV = Rt/(1 + i)t
= (0.10). Rt/(1 + i)t
= $1001 / (1+1.10)1
NPV = $90.90.
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publicity is information about a company, a product, or an event transmitted by the general mass media to attract public attention. true or false
Publicity is information about a company, a product, or an event transmitted by the general mass media to attract public attention. true
A company is a legal entity formed via a group of individuals to interact in and operate a business—commercial or business—corporation. A corporation can be organized in diverse ways for tax and economic liability functions relying on the corporate regulation of its jurisdiction.
An enterprise is known as a company due to its people's will to provide value. The record of “to provide” is Latin, deriving from product: to lead forth, or deliver ahead. The records of “employer” are antique French, which means Compagnie, or companionship. And the history of “commercial enterprise” is old English, combining busy and -ness.
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what factors could cause a firm to invest more or less at any given level of the interest ratre? that is, what could cause the investment demand curve to shift (increase or decrease)?
Economic growth, and Technological developments are the factors that could cause a firm to invest more or less at any given level of the interest rate.
Technological Development means that any invention, discovery, composition, creation, improvement, technology, advancement, know-how, process, device, article, machine, material, software, system or the other data, as well as any development protectable by patent, copyright, or alternative protection below the law.
Economic growth describes a rise within the amount and quality of the economic merchandise and services that a society produces and consumes. whereas the definition of economic process is simple, it's extraordinarily tough to live it. Statisticians conventionally live such growth because the % rate of increase within the real gross domestic product, or real gross domestic product.
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operating leverage. natural bodyworks (nb) produces the popular ab stretcher that they sell for $200 per unit. nb’s total fixed costs (fixed operating costs depreciation) for the ab stretcher are $200,000.their variable costs are $30 per unit. they are financed entirely by equity and face a 21% corporate tax rate. if sales increase from 4,000 units to 5,000 units, what is the percentage increase in noi
The net operating income at 4000 units is $480,000.
What is net operating income?The profitability of real estate investments that produce income is evaluated using a calculation known as net operating income (NOI). NOI is the total revenue from the asset less all operating costs that are deemed to be absolutely necessary. On a property's income and cash flow statement, the term "net operating income" (NOI) refers to a before-tax figure that excludes loan principal and interest payments, capital expenses, depreciation, and amortization. Along with rental income, a property may also make money from extras like parking garages, vending machines, and laundry facilities. The costs of running and maintaining the building are referred to as operating expenses and include things like insurance premiums, janitorial services, legal fees, utilities, property taxes, and repair costs.
Sales revenue(4000×200) =$800,000
Less variable costs(4000×30)=$120,000
Fixed costs =$200,000
NOI =$480,000
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When using an outside expert, a complete _____ should indicate funding for the project and the process by which the organization will determine its level of satisfaction.
A. cohabitation agreement
B. letter of intent
C. certificate of occupancy
D. articles of incorporation
E. request for proposal
When using an outside expert, a complete _E. request for proposal_ should indicate funding for the project and the process by which the organization will determine its level of satisfaction.
What does "request for proposal" mean?
An RFP is a business document that outlines a project, requests proposals for its completion from qualified contractors, and announces the project. The majority of organizations, including many governments, favor using RFPs to start projects.
When using an RFP, the organization asking for bids is in charge of assessing the viability of the bids submitted, the financial standing of the companies submitting bids, and each bidder's capacity to carry out the project.
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what type of money is a u.s. $100 bill? group of answer choices fiat money virtual money commodity money polymer money
Answer: fiat money
Explanation:
why would a marketer identify and analyze the target audience before defining the advertising objectives when developing an advertising campaign?
The marketer would identify and analyze the target audience before defining the advertising objectives when developing an advertising campaign because Identification of a target market would help the marketers to focus on those most likely to purchase the product.
What is a target audience ?In advertising the target audience can be refered to as the group of people defined by certain demographics and behavior howver the businesses do make use what they know about their target audience so that they can form user personas because the personas guide will help them greatly in their decisions on marketing campaigns.
In conclusion the target audience serves as the intended audience or readership of a publication as well as the advertisement, wich is been used in the process of catering specifically to said intended audience.
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encouraged therapists to foster the growth of their client by exhibiting genuineness, acceptance, and empathy. t/f
Carl Rogers urged therapists to stimulate growth by demonstrating sincerity, acceptance, and understanding. Thus, the correct choice is genuineness, acceptance, and empathy.
What exactly are acceptance and empathy?In human psychology, acceptance is defined as a person's acquiescence to the reality of a situation, acknowledging a process or condition (typically a bad or unpleasant circumstance) without seeking to modify or resist it. Acquiescence, coming from the Latin acquiescence, has a similar connotation.
The true meaning of empathy was considerably more subtle than "reflection of sentiments." Rogers defined empathy as the ability to grasp another person's world experience as if you were that person, without ever losing the "as if" sensibility.
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Organic Farms Company contracts to buy two tracts of land from Prime Bottomland, Inc. Both parties believe that the two tracts are adjacent, but in fact they are not. Prime Bottomland is still willing to sell the land, but under these circumstances the deal would adversely affect Organic Farms.
Refer to Fact Pattern 15-B2. The parties' belief about the adjacency of the property is
The parties' opinion that the properties are adjacent was voidable. Organic Farms Company as well as Prime Bottomland sign an agreement for the purchase of two land tracts.
What is purpose of a contract?A legally enforceable arrangement among two or more individuals is referred to as a contract. Once this contract is signed, each party promises to uphold the rights and obligations outlined in it. In essence, every contract is built around a promise.
Why are contracts so important?Legally binding agreements are practical tools for maintaining an effective business. Contracts providing business services provide the essential legal protections you need for any operation. In addition to lowering risk, contracts also protect you and your company by outlining your rights and duties in each agreement.
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x-mart uses the periodic inventory system to account for its merchandise. on may 1, it sold $400 of merchandise on account with terms of 2/15, n/40. on may 3, its customer returned $50 of merchandise due to defect. on may 11, its customer paid the remaining balance due. demonstrate the required journal entry to record the receipt of payment by selecting all of the correct actions below.
The correct receipt of payment is as follows credit merchandise inventory is $7, debit accounts payable is $350 and credit cash is $343.
The cost of finished goods (COGS) that a retailer or wholesaler has on hand to sell to its clients during a specific accounting period is called merchandise inventory.
The price of the books or periodicals a bookshop offers for sale would be considered as part of its merchandise inventory. The balance sheet account which shows the total cost of goods that have not yet been sold is called merchandise inventory.
Merchandise inventory serves as a holding account for an inventory that is awaiting sale as a current asset. The ending inventory for products should be entered in the Balance Sheet Debit column.
When recording unearned revenue, place the revenue account in the income statement credit column and the unearned revenue account in the balance sheet credit column.
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economists conclude that country a is overheated and the output is about to fall. which of the business cycle phases is referred here? (2 points)
economists conclude that country a is overheated and the output is about to fall. The expansion phase of the business cycle is referred to.
Business CycleBusiness cycles are a sort of variation observed in a country's aggregate economic activity – a cycle that consists of widespread expansions happening at roughly the same time in many economic activities, followed by equally general contractions (recessions).
In essence, business cycles are distinguished by the alternating of expansion and contraction phases in aggregate economic activity, as well as the comovement of economic variables in each phase of the cycle. Not only does real (inflation-adjusted) GDP indicate aggregate economic activity. A recession's severity is determined by the three Ds: depth, diffusion, and duration. The extent of the peak-to-trough decrease in broad indices of output, employment, income, and sales determines the severity of a recession.
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if market share for five cell phone service companies are 5%, 10%, 12%, 22%, and 51%, the four firm concentration ratio would be .
The market shares of the top four firms in the cell phone service companies 23%, 20%, 19%, and 15%. To find the four-firm concentration ratio, add 25%+10%+12%+22%+51%=120%.
One metric for assessing the level of market rivalry is the ratio of four firms. It is figured out by adding the market shares, or the proportion of total sales, of the four biggest companies in the industry. Each of the four largest companies in your chosen industry's revenue totals should be added up. Next, divide that amount by the industry's whole revenues. The four-firm concentration ratio is the outcome when you convert it to a percentage. the proportion of sales value that the four biggest companies in the sector accounted for. The concentration ratio can range anywhere between almost zero for ideal competition and 100% for monopoly. A ratio higher than 40% is a sign of oligopoly.
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suppose a certain project scheduled for completion today had a budget of $1500. as of today, $1350 has been spent and the project is estimated to be 2/3 complete. calculate the cost and schedule variance measures.
Salaries payable will be credited with $2800
Since salaries payable is liability so it should be reported in the liability side of balance sheet.
A liability is some thing a person or company owes, normally a amount of money. Liabilities are settled over time via the transfer of financial benefits together with money, goods, or offerings.
Cash is a cutting-edge asset and is the first line-item on a business enterprise's balance sheet. Cash is the maximum liquid sort of asset and may be used to easily buy different property. Liquidity is the benefit with which an asset can be converted into coins.
Liabilities constitute an vital component of deliver and demand in the economic system. Manufacturers deliver merchandise and the client enters right into a legal responsibility settlement to pay for the goods. This results in an open glide of cash and a continuous cycle of sales.
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Which one of the following statements about the process of identifying and incorporating best practices is false?
a. Because using best practice methodology to perform an activity produces superior outcomes, those outcomes serve as a benchmark or standard for determining how well a particular organization performs that activity.
b. A company can make giant strides toward good or even excellent strategy execution by adopting a best-practices mindset and successfully implementing the use of best practices across more and more of its value chain activities.
c. Benchmarking involves identifying which company or organization is the best performer of an activity and then trying to imitate its approach.
d. A best practice can evolve over time as improvements are discovered.
e. To the extent that a company is able to successfully adapt a best practice methodology pioneered elsewhere to fit its circumstances, it is likely to improve its performance of the activity, perhaps dramatically--an outcome that promotes better strategy execution.
Answer: c
The one out of the following statements about the process of identifying and incorporating best practices that is false is option C. Benchmarking involves identifying which company or organization is the best performer of an activity and then trying to imitate its approach.
What is benchmarking in business?Benchmarking is a process that concerns determining the performance of one's business against a competitor in the same market. This will afford one a better understanding of one's business performance and potential opportunities available.
Therefore, the correct answer is as given above. Benchmarking, consequently, is not a means or a process of identifying and incorporating best practices.
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chapter 11 states that a $74 million film must earn around $111 million before earning a profit. what is the primary reason for this?\
The high cost of marketing and distribution is the reason that a $74 million film must earn around $111 million before earning a profit.
Typically, advertising, promotion, and public relations budget include marketing expenses. Each sum varies according to the size of the company, its yearly sales, and how much the rivals advertise. Marketing budgets can range from less than 1% of sales to more than 30%, depending on the industry.
Costs incurred to deliver your product from the production unit to the final customer are referred to as distribution costs (also known as distribution expenses).
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Consider an asset with a beta of 1.2, a risk-free rate of 5%, and a market return of 13%.
What is the reward-to-risk ratio in equilibrium?
What is the expected return on the asset?
The (expected) needed market return is 12%, whereas the risk-free rate is 4%.
Given its risk, an asset's expected return can be calculated using the following formula:
Expected return on investment, or ER I is equal to R f plus I (ER m R f).
Risk-free rate is R f.
I = the investment's beta (ER m R f ) = the market risk premium
Expected rate of return equals (Beta * Market Risk Premium) times the risk free rate.
Return anticipated equals 2% + (1.2 x 3%)
Return rate anticipated is 4%.
Investors anticipate receiving compensation for the time value of money and risk. The time value of money is taken into consideration by the risk-free rate in the CAPM formula. The other elements of the CAPM formula take the investor's increased risk into account.
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9) Which of the following is not traded in the securities markets?
A) stocks
B) bonds
C) derivatives
D) real estate
Real estate is not traded in the securities markets. Thus, Option D) is the correct answer.
Real estate includes both the land and any permanent, whether natural or man-made, structures or improvements affixed to the surface. A type of real property is real estate. It contrasts with personal property, such as cars, yachts, jewels, furniture, and farm equipment, which is not permanently affixed to the land.
A financial instrument that is fungible and negotiable and has some kind of monetary worth is referred to as a "security." Security can reflect rights to ownership as specified by an option, ownership of a bond issued by a government agency or corporation that represents a corporation, or ownership of stock that represents ownership in a corporation.
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On January 1, 2021, Twister Enterprises, a manufacturer of a variety of transportable spin rides, issues $430,000 of 6% bonds, due in 20 years, with interest payable semiannually on June 30 and December 31 each year.
3. If the market interest rate is 5%, the bonds will issue at $483,971. Record the bond issue on January 1, 2021, and the first two semiannual interest payments on June 30, 2021, and December 31, 2021. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Round your answers to the nearest dollar amount.)
$12900 is the Amortization If the market interest rate is 5%, the bonds will issue at $483,971.
Amortization Schedule
Date January 1 2021 June 30,2021 December 31,2021
Cash Paid 12900 12900
Interest expense 12099 12079
Premium Amortized 801 821
Carrying value 483971 483170 482350
Issue Entry
Record the Bond Issue
General Journal
Cash 483971
Premium on Bonds Payable 53971
To Bonds Payable 430000
(Record the Issue of the Bond with Premium)
2. Record the interest Payment and Amortization
Date
June 30,2021
General Journal
Interest Expenses. 12099
Premium on Bonds Payable 801
To Cash 12900
(Record the interest Payment and Amortization)
3. Record interest Payment and Amortization
Date
December 31, 2021
General Journal
Interest Expenses 12079
Premium on Bonds Payable 821
To Cash 12900
(Record the interest Payment Amortization)
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tory manages marketing for a hotel franchise with a thousand locations worldwide. each hotel location has its own landing page. if tory wanted to quickly generate search ads for every location, which ad type would be most beneficial?
As Tory manages marketing for a hotel franchise in which each hotel has its own landing page. If he wants to quickly generate search ads for every location, the ad type that would be most beneficial is universal search ads. The Option C is correct.
What is an Universal search ads?An Universal search ads refers to an automated ad type in Go-ogle Ads that help the advertisers generate more app installs and/or drive in-app conversions. The advertiser achieve their aim by using a machine learning to identify its best performing ads and show them to the most relevant users.
Missing options "Dynamic Search Ads, Responsive Search Ads, Universal Search Ads, Programmatic Search Ads"
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what is the customer service dimension that refers to a salesperson's desire to work with and properly service customers on a daily basis?
Service standards are rules that staff members must abide by when engaging with clients. Avoid making them excessively severe or inflexible because not all standards will be applicable.
What three aspects of customer service are there?Effectiveness: Customers value your services because you enable them to carry out the task they came for. Customers expect an experience that is simple, straightforward, and free of unnecessary stages. Emotion: Customers leave with the pleased mood they anticipated.
What kinds of customer service are there?Although each channel might be thought of as providing a different kind of customer service, your company can actually only provide proactive and reactive customer service. This article will discuss numerous customer service models, ranging from varied support.
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sabrina, the engineering manager at robin tech, takes an eight-week unpaid leave to go on a tour to promote a book she wrote. she does so in accordance with robin tech’s policy for leaves without pay. in what sense could this unpaid leave be an employee benefit for sabrina? group of answer choices she uses her paid time off for the leave. her leave is based on length of service, so it accumulates over time. her time off is an example of personal days. she retains her seniority and benefits during the leave. the family and medical leave act requires the employer to grant unpaid time off.
One such unpaid leave that could be a benefit to Sabrina would be for her to retain her seniority and benefits during the leave.
What is unpaid leave?It corresponds to a leave policy that guarantees that the employee continues with his employment duties while he is absent from his work for some force majeure reason. In this type of leave, the employee does not receive compensation, as this has exceeded the benefits of the leave whose remuneration is mandatory by law.
Some types of paid leave are:
VacationPaid time offSick leaveTherefore, an unpaid leave is a legal way for the employee to leave for more days if necessary, not compromising their duties and not impacting the company's compensation plan.
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if the fed lowers the discount rate, the money supply multiple choice question. does not change increases decreases
Banks are able to provide more discount loans when the Federal Reserve lowers the reserve ratio, which reduces the amount of cash they must store in reserves.
What happens to the money supply when the Fed lowers the discount rate?Lowering the discount rate is one way the Federal Reserve can expand the money supply. Depository institutions have more incentive to borrow when the discount rate is lower, which boosts their reserves and lending activities.
What happens if the Fed lowers the discount rate while raising it?The Fed can affect the money supply, which can support economic activity or assist in containing inflationary pressures, by raising or lowering the discount rate. If the Fed lowers the discount rate, banks are encouraged to increase lending.
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based on the first graph, susan invested $50,000 and bill invested $150,000. why did susan have a higher balance at the age of 65?
Susan invested $50,000 and Bill invested $150,000. Susan had a better stability on the age of 65 due to the fact she invested in advance than him.
The required details for Bill in given paragraph
An bill, bill or tab is a commercial record issued via way of means of a seller to a purchaser referring to a sale transaction and indicating the merchandise, quantities, and agreed-upon prices for merchandise or offerings the vendor had furnished the purchaser. Payment terms are commonly said at the bill. These may also specify that the purchaser has a most range of days to pay and is once in a while presented a reduction if paid earlier than the due date. The purchaser ought to have already paid for the goods or offerings indexed at the bill. To keep away from confusion and consequent pointless communications from purchaser to seller, a few dealers surely kingdom in big and capital letters on an bill whether or not it has already been paid. From a seller's factor of view, an bill is a income bill. From a purchaser's factor of view, an bill is a buy bill. The record shows the purchaser and seller, however the term bill shows cash is owed or owing.
Within the European Union, an bill is more often than not legally described via way of means of the EU VAT directive as an accounting voucher (to confirm tax and VAT reporting) and secondly as a Civil law (not unusual place law) record.
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linda wants to prepare a rebuttal to the board of directors and is looking for all of the positive things the company is doing. she does not want the report to include any of the negatives because she feels that they hurt the company's image. how should you respond to such a request?
Justifying the negative information in the message by giving a reason.
In mathematics, a terrible range represents the opposite.[1] within the real quantity device, a bad variety is a variety of this is much less than zero. poor numbers are frequently used to represent the significance of a loss or deficiency. A debt this is owed may be notion of as a negative asset. If a quantity, including the rate on an electron, may have either of opposite senses, then one may also pick to differentiate between the ones senses—perhaps arbitrarily—as positive and bad. poor numbers are used to describe values on a scale that goes below 0, which include the Celsius and Fahrenheit scales for temperature.
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the 100,000 cars in your city experience unrecoverable losses of $40,000,000 per year from theft, collisions, etc. if 25% of premiums are used to cover business expenses, what premium must be charged to car owners?
Premiums are used to cover business expenses, what premium must be charged.The automobile costs $ 16615 after the $90 premium.Given that the monthly premium for a $12,000 automobile is $65 Scot's monthly auto insurance payment is $90.
In general, the term "proportion" refers to a part, share, or amount that is compared to a whole. According to the definition of proportion, two ratios are in proportion when they are equal. Two ratios or fractions are equal when an equation or a declaration to that effect is utilised.Let's say the premium is $90 and the cost of the car is x. Now, 12000:65::x:90.X=108000O/65 = 12000 x 90 = 65 x x 1080000.Let's say the premium is $90 and the cost of the car is x. At this point, 12000: 65:: x:90 12000 x 90 = 65 x x 1080000 = 65x X=1080000/65 X=16615.38 = 16615 .The price of the automobile with the premium is therefore $ 16615.
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The relationship between the prices of the underlying stock, a call option, a put option, and a riskless asset is referred to as the _____ relationship.
A. put-call parity
B. covered call
C. protective put
D. straddle
E. strangle
A. put-call parity
The relationship between the prices of the underlying stock, a call option, a put option, and a risk-less asset is referred to as the A. put-call parity relationship.
What presumption underlies the put-call parity?The following presumptions underlie how the put-call parity principle operates. The interest rate is constant and does not vary over time. The underlying stock's dividend payments are known and assured. There are no transfer restrictions and the underlying stock is liquid.
How are parities determined?A convertible security's current value is divided by the conversion ratio, or the number of shares it can be converted into, to arrive at the conversion parity price.
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