Korie wants to start her own business making custom furniture. She can purchase a factory that costs $400,000. Korie currently has $500,000 in the bank earning 3 percent interest per year.



Refer to Scenario 13-1. Suppose Korie purchases the factory using $200,000 of her own money and $200,000 borrowed from a bank at an interest rate of 6 percent. What is Korie's annual opportunity cost of purchasing the factory?

Answers

Answer 1

Answer:

the the  Korie's annual opportunity cost of purchasing the factory is $18,000

Explanation:

The computation of the  Korie's annual opportunity cost of purchasing the factory is shown below:

Opportunity cost =

foregone interest on his money + interest paid on borrowed money

 = (0.03) of ($200,000) + (0.06) of ($200,000)

= $6,000 + $12,000.

 = $18,000

Hence, the the  Korie's annual opportunity cost of purchasing the factory is $18,000

The above formula should be used  


Related Questions

does mcdonald's franshicd have the same menu as McDonald’s? Like if deal happened with McDonald’s will the franchise serve the same deal?

Answers

Answer:

Yes, the menu served at any McDonald's franchise will be exactly what you'd find in any other McDonald's outlet, franchise or not.

Explanation:

When businesses such as fast-food companies want to expand, one of the strategies available to them is the use of a Franchise method.

This involves permitting another company or individual to use its brand, intellectual properties, business system, and any other rights or properties of the parent company to trade in exchange for an initial fee as well as royalties whose sum is agreed by both parties.

The original company is usually called the franchisor and the new entrant the franchisee.

For this type of strategy to work, the franchisor must already have a strong brand, a tested business operating system that works and one that is easily replicable or scalable.

A franchise is not a franchise if it's services or operations differ from that of the parent company. So, whether it is the Franchisor or the Franchisee, the system, products, and services must look and feel the same everywhere one goes.

Cheers

Robi works in natural resources. He digs for coal, which is a fossil fuel that has weathered for many years in the rock and soil. Robi most likely works in a

greenhouse.
slaughterhouse.
mine.
laboratory.

Answers

Answer: c. mine

Explanation: just did the assignment on e2020 and got it right

Suppose the United States can produce either 90 apples and 20 oranges or 80 apples and 30 oranges. What is the opportunity cost of producing 1 apple?

Answers

Answer: The opportunity cost of producing 1 apple will be 1 orange.

Explanation:

Opportunity cost is defined as the loss or cost of another alternative when another alternative is being chosen by an economic agent.

In this scenario, the opportunity cost of producing every additional apple will be 1 orange due to the fact that as there's an increase in the production of apple from 80 to 90, there'll be a reduction in the production of orange from 30 to 20.

This indicates that for the increase of 10 apples, there's a reduction of 10 oranges which implies that an increase of 1 apple brings about a reduction by 1 orange.

In a market economy, prices are set using a cost/benefit analysis

Answers

I think false. It is based on supply and demand.

what is a trademark?

Answers

Answer:

A trademark is a type of intellectual property consisting of a recognizable sign, design, or expression which identifies products or services of a particular source from those of others, although trademarks used to identify services are usually called service marks

Explanation:

You see two students teasing a third student who you don't know well. Others are laughing and watching. How could you prevent this type of bullying from being seen as "normal?"

Answers

Answer:

You could go tell an adult or Teacher at school. Or if that's not possible try and help ig

Explanation:

The two students teasing a third student who you don't know well. Others are laughing and watching. All of the above, could you prevent this type of bullying from being seen as "normal. Thus, option (d) is correct.

What is student?

The term student refers to who are the recently studies of the career. The student is to go to the school and the college. The student is to complete the study as the forwarded to the next class. The student are the planning for the career. The student is the main motive to the studies and the sports.

If anyone notices any pupils teasing other students, this is not acceptable conduct. First and foremost, will tell the students who are teasing that their acts are inappropriate and will express my displeasure. I'm not going to join their in their laughter. Bullying is a form of youth violence that is traumatic for children (ACE).

As a result, two students teasing a third student who you don't know well. Others are laughing and watching. All of the above, could you prevent this type of bullying from being seen as "normal. Therefore, option (d) is correct.

Learn more about on student, here:

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Your question is incomplete, but most probably the full question was.

А Speak up and let the students teasing know you disagree with their actions.B Tell the student who is being teased that he can come sit with you.C Don't join in laughing.D All of the above.

Can someone help me??

Answers

Answer:

Accuracy and attention to detail, Problem solving and critical thinking skills, Knowledge of programming language .

Explanation:

Hooe it helps..

What is meant by marketing objectives?

Answers

Answer:

Marketing objectives are actionable targets designed to provide not just overall direction, but clear and specific actions. They are specific, measurable, attainable, relevant, and time-based (These are often called SMART goals, an acronym you've likely heard before!)

Question 7 of 10 What is a typical benefit of working for a non-profit organization? A. Higher job satisfaction than other industry jobs B. Higher salaries than other industry jobs C. Lower education requirements than other industry jobs D. Longer working hours than other industry jobs​

Answers

Answer: b. Higher job satisfaction than other industry jobs

Explanation:

If Alejandro wants to pay off his student loan by basing it on how much he is earning at his job after graduation, what type of repayment plan is best for him?

Graduated repayment plan

Standard repayment plan

Extended repayment plan

Income-driven repayment plan​

Answers

Answer:

Income-driven repayment plan​.

Explanation:

Federal student loans can be defined as a form of financial aid given to college or university students with varying financial means, so as to enable them gain access to higher education.

In the United States of America, the U.S Department of Education is saddled with the responsibility of administering the federal student loans.

Basically, there are four (4) types of federal student loans and these include;

1. Direct unsubsidized loans.

2. Direct subsidized loans.

3. Direct consolidation loans.

4. Direct PLUS loans.

Once a federal student loan has been selected, students are required to choose a repayment plan for the loan taken. There are four (4) main types of repayment plan and these are;

a. Standard repayment plan.

b. Extended repayment plan.

c. Graduated repayment plan.

d. Income-driven repayment plan​.

An income-driven repayment plan​ can be defined as a federal student loan repayment plan that is designed to regulate or adjust the amount of money to be paid in each month based on one's current earnings and family size. This payment plan is designed typically for college graduates and as such it's intended to be affordable based on the discretionary income of the borrower and family size.

In this scenario, Alejandro wishes to pay off his student loan based on how much he earns at his job after graduation. Thus, the type of repayment plan which is best for him is an income-driven or income-based repayment plan​.

The policy of the Japanese that most closely paralleled the conditions described in the passage was
a) forcing conquered peoples into deadly coerced labor programs
b) engaging in surprise military attacks, such as the one on Pearl Harbor
c) attempting to liberate the people of Asia from Western imperialism
d) invading Manchuria after an attack on a Japanese railway station there

Answers

Answer:

A

Explanation:

forcing conquered peoples into deadly coerced labor programs

9. The demand curve is a representation of the relationship between the quantity of a product demanded and:

Answers

Answer:

the price of the product demanded

Maurice does not know what kind of career he would like. He knows he likes animals but does not know if he would enjoy working with animals. Which of the following actions would best help him to decide if a career involving animals would be a good fit for him?
A.
volunteering at the animal shelter
B.
taking a job at the local ice cream parlor
C.
researching what education is required to work at a zoo
D.
deciding how much money he would like to make

Answers

Answer:

Option A

Explanation:

In simple words, Maurice is confused that if he should work with animals or not. Working voluntary in an animal shelter would give him a first hand experience and will definitely clarify his doubts to a very good extent.

The ice cream parlor option do not provide him with any exposure. And researching is baseless s he is not sure if he even wants to work with animals. Last question is also incorrect as the case did not given any fact about his Monterey ambitions.

Global Inc. Has a preferred share issue outstanding with a current price of $26.80. The firm is expected to pay a dividend of $1.90 per share a year from today. What is the firm's cost of preferred equity?

Answers

Answer:

7.09 %

Explanation:

Cost of preferred equity = Dividend  / Market Price x 100

therefore,

Cost of preferred equity = $1.90 / $26.80 x 100 = 7.09 %

What is an economic indicator and why is it important? Use at least two complete sentences to provide your response.

Answers

Answer:

Answer is provided in two separate headings below.

Explanation:

Economic Indicator

They are briefly described as the figures used to understand the current position of the economy. Few examples of such are the Inflation rate, Gross Domestic Product (GDP), and Unemployment ratio compared to the populace.

Reason for Important

They are important because the information provided from them helps in grasping the state of the economy in the upcoming years. This data helps both the local and business individuals to make better decisions for their upcoming financial goals such as regarding the investment of capital, increase or decrease their employment level, buying property, etc.

You bought 100 shares of stock at $15 per share. You sold your 100 shares at $21.75 per share. Calculate your percentage of gain. a) 18% b) 21% c) 31% d) 45%

Answers

Answer:

45%

Explanation:

2175-1500=675

675/1500=.45 or 45%

Colleen has kept $10,000 in an account all year. Her bank has paid her $1,000 in dividends on this account. What is her rate of return on this investment? A. 10 percent B. 5 percent C. 20 percent D. 25 percent

Answers

Answer:

10%

Explanation:

1000/10000=.10 or 10%

Mark is a young man who works as a mailroom clerk at an office downtown. He was hired last month as the result of a referral from a friend. Mark really likes the outdoors and bikes to work every day. He shares his office with 3 other co‐ workers, and since he has an expensive bike, he asked if it was okay to keep the bike in the office. His co‐workers agreed to the arrangement. Every day Mark brings his bike in. Sometimes it is really wet and makes the floors dirty, and Mark leaves his bike gear lying around and it started to smell bad. His co‐workers are talking behind his back saying that he smells bad and his hair looks funny after he takes his helmet off. What would be a good solution for this situation?

Answers

Answer:

The solution would be for Mark's co-workers to call for an internal meeting with Mark. In the meeting, they would need to discuss all their issues ranging from mark's bike, to his actions in his work place.

Their is need for the workers to tell Mark that, his wet bike disrupt the work place making it unsafe during work. Also, they should tell him to lokk for another location where he will be parking his bike rather than bringing it inside the office.

Lastly, they should look for a subtle way to inform him about the need to take adequate care of his body and hair through appropriate grooming.

Explanation:

5. Groceries are considered what type of an expense?

Answers

Answer:

Fixed

Explanation:

Answer:

Necessary expense

Explanation:

You kinda need food to live

Which type of investment works by taking investors’ money, investing that collective money in stocks, bonds, and other investments, and managing this portfolio for the investors? A. government bonds B. common stocks C. mutual funds D. savings accounts

Answers

Answer:

Option C

Mutual fund is the type of investment that works by taking investors’ money, investing that collective money in stocks, bonds, and other investments, and managing this portfolio for the investors

Explanation:

Mutual fund is basically a form of investment in which different investors pour in their money in various forms of securities such as stocks and bonds. These securities are taken care of by the Relationship/Money manager. This form of investment reduce the risk as investing individual's money into securities in not safe subjected to variation in market

Hence, option C is the correct answer

Answer:

Mutual funds

I got it right on my test, d;

The typical person has the time and financial resources for how many children?

3–4
0–1
1–2

Answers

Answer:

1 to 2

Explanation: children are EXPENSIVE and it depends  on what you think is the right time/money so it could be wrong

Draw a chain of command for one of the following: (PLEASE FAST)
- School
- A club or organisation you are involved with (sports teams\music)

Answers

Answer:

sports

Explanation:

whoever is paying the Coach(school,college etc...)>Coach>team captain/cocaptains>other players

What are the six basic step of the problem solving process?

Answers

Answer:

Step 1: Identify and define the problem.

Step 2: Generate possible solutions.

Step 3: Evaluate alternatives.

Step 4: Decide on a solution.

Step 5: Implement the solution.

Step 6: Evaluate the outcome.

Answer:

First step: You must identify AND define the problem.

Second Step: You must generate, or brainstorm, possible solutions to your problem.

Third Step: Evaluate your alternatives.

Fourth Step: You must decide on a solution.

Fifth Step: Implement the solution of your choice.

Sixth Step: Finally, evaluate the outcome.

Which of the following is the best summary of the parol evidence rule?
A. Oral evidence is never allowable in interpreting the meaning of
contracts
B. Oral evidence can only be used to interpret contract meanings in
certain situations
C. A written contract is assumed to contain all the terms and
conditions of an agreement unless otherwise stated.
OD. Oral evidence is always valuable and useful in clarifying the
meaning and intent of written contracts.

Answers

Answer:

C. A written contract is assumed to contain all the terms and

Answer:

oral evidence can only be used to interpret contract meanings in certain situations

Explanation:

a p e x

True or False
A Person who works full time for a power company in the energy cluster is considered a consultant.

Answers

Answer:

True

Explanation:

Answer:

False, i took the quiz and got 100% percent- k-12 7th grade career final exam

Explanation:

David went to school to learn about HVAC systems. He earned a degree and can install large air conditioning units correctly and safely. What company in the Architecture and Construction career cluster might be interested in hiring David?



a Education


b Design and Pre-Construction


c Lodging

Answers

Answer:

b Design and Pre-Construction

Explanation:

Your friend Eetu says he has no forms of investment in his life; however, you can prove him wrong. What form of investment has Eetu made without even realizing it was an investment? A. He leased a car. B. He rented an apartment. C. He bought a house. D. He inherited a boat.

Answers

Answer:he bought a house

Explanation:

Your friend Eetu says he has no forms of investment in his life; however, you can prove him wrong. The form of an investment has Eetu made without even realizing it was an investment as he rented an apartment. (B)

What is an investment?

Investment is the dedication of an asset to attain an increase in value over a period of time. Investment requires a sacrifice of some present asset, such as time, money, or effort.

What is a profit?

Profit, in accounting, is an income distributed to the owner in a profitable market production process.

Why do people invest?

Investing is an effective way to put your money to work and potentially build wealth.

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Multiple choice!
How is it determined how much social security money a person gets?

Group of answer choices

Sales tax collected over past ten years

Average monthly wage when working

Number of children and grandchildren that an individual supports

Cost of living in the person's community

Answers

Answer:

I believe it’s the average monthly wage when working

Explanation:

The leading producer of gardening tools, YourGarden Inc, has achieved great success because they produce high-quality tools that are not too expensive. Even so, another company that produces lower-quality tools at the same price has also achieved some success, but not as much as YourGarden. Also, in general, the price of gardening tools has declined because of economies of scale and learning. In addition, YourGarden has added complementary assets, such as gardening instruction. Considering all of these factors, the gardening tool industry is most likely in the
A. introduction stage.
B. growth stage.
C. shakeout stage.
D. maturity stage.

Answers

Answer:

B. growth stage.

Explanation:

In the growth stage, the demand would be strong as the both efficient & none-efficient firms would thrive also the price would be decline as the firm starts to reap the economies of scale. Moreover, the distribution channels would be expanded also the assets i.e. complementary would be widely available

Therefore the option b is correct

things we need to normalize:

Answers

Women having body hair

Answer:

Being part of the LGBTQ community

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