(Similar to last homework's problem) Grad school or not? Your friend, a 25-year old undergraduate ME student, is attempting to make an economic case for graduate school. She uses a 5% MARR. A. No Grad School: She gets a job that pays $66,000 per year and starts working immediately upon graduation. This salary will increase at the rate of 3% per year for the next 40 years at which point she will retire B. Grad school: She spends two years in grad school and pays $15,000 per year for the program out-of-pocket. Upon graduation, she gets a job that pays $75,000 per year. This salary also increases at the rate of 3% per year for the next 38 years at which point she retires. i. As we found in the previous homework, the second option gives a lower present value than the second. For what value of starting salary in option (b) will option (b) be at least as attractive than option (a)? (This analysis is called "break-even analysis") Sensitivity Analysis: Determine percentage change in present worth of option a) if i. The starting salary can vary ±10% of the $66,000 The annual raise can vary ±25% of 3% per year a. b. (Hint: For part a, determine the present worth for A1 = 66,000-0.1 (66000) = $59400 and for A1 = 66,000 + 0.1(66,000) = 72600. Compute the difference in the present worths and divide by the present worth for A1 66,000. Repeat the procedure for part b)

Answers

Answer 1

The required starting salary in option B will be $75,000 + $790.59 = $75,790.59. If the starting salary in option B is at least $75,790.59, option B would be at least as attractive as option A.

Break-even analysis is a type of analysis that determines the point at which total costs and total revenues are equal. Sensitivity analysis, on the other hand, helps determine the effect of changes on a project. This means that the break-even point is when the present value of the first option is equal to that of the second option. In this scenario, a friend who is 25 years old is contemplating graduate school and attempting to make an economic case for it. The following are the two options for the friend:No Grad School: She gets a job that pays $66,000 per year and starts working immediately upon graduation. This salary will increase at the rate of 3% per year for the next 40 years at which point she will retire.Grad school: She spends two years in grad school and pays $15,000 per year for the program out-of-pocket. Upon graduation, she gets a job that pays $75,000 per year.

This salary also increases at the rate of 3% per year for the next 38 years at which point she retires.The present value of option A is 66,000 + (66,000 * 3%) + (66,000 * (1.03)^2) + … + (66,000 * (1.03)^40) = $2,282,799.50The present value of option B is -15,000 - 15,000 - 75,000 + (75,000 * 3%) + (75,000 * (1.03)^2) + … + (75,000 * (1.03)^38) = $1,785,903.05The present value for option A is greater than option B, therefore, it makes sense to go with option A. To determine the break-even point, we need to find out what the starting salary in option B will have to be for it to be at least as attractive as option A. Since the present value of option B is lower, option A is more attractive. We can determine the required starting salary by rearranging the equation and solving for S, which gives:$2,282,799.50 = -$30,000 + S + S(1.03) + … + S(1.03)^38(1 - 1/1.03^38)/0.03 = 790.59Therefore, the required starting salary in option B will be $75,000 + $790.59 = $75,790.59. If the starting salary in option B is at least $75,790.59, option B would be at least as attractive as option A.

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Related Questions

How would each of the following changes likely affect the
natural unemployment rate? Explain your reasoning for each case.
EI rules change to make the unemployed workers eligible to
receive unemploym

Answers

Reducing eligibility requirements for unemployment benefits is likely to increase the natural unemployment rate.

When the rules for unemployment benefits are changed to make more workers eligible, it creates a higher incentive for individuals to remain unemployed or delay their job search. This can lead to an increase in the natural unemployment rate.

By making it easier to receive unemployment benefits, individuals may choose to prolong their job search or be less motivated to actively seek employment. This results in a larger pool of unemployed workers in the economy. The natural unemployment rate represents the level of unemployment that exists even during periods of economic stability and does not include cyclical fluctuations.

When more people qualify for benefits, it reduces the urgency for them to find a job, which can prolong the duration of unemployment. Consequently, the natural unemployment rate rises as a result of these changes to EI rules, reflecting a higher level of structural or frictional unemployment in the economy.

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I want the charles chocolate A case study strategic
management

Answers

Charles Chocolate is a family-owned chocolate firm that has been in business for over 30 years. It is a medium-sized, high-quality chocolate maker that produces chocolate for the luxury market. This case study will examine the strategic management of Charles Chocolate. Strategic management refers to the formulation and implementation of plans and actions designed to achieve a firm's goals.

Charles Chocolate's strategic management has been successful due to the following reasons:

Marketing and Branding: Charles Chocolate has been able to successfully market and brand itself as a high-quality chocolate maker. The company uses high-quality ingredients and production techniques that have allowed it to distinguish itself from competitors. It has also created a strong brand image that is associated with quality and luxury.Product and Service: Charles Chocolate has developed a range of products that cater to the luxury market. It offers a wide range of chocolates that are designed to appeal to different tastes and preferences. In addition, the company has also developed a range of services that are designed to enhance the customer experience. For example, it offers gift wrapping and personalized packaging.Distribution: Charles Chocolate has established a strong distribution network that allows it to reach customers all over the world. The company has established partnerships with high-end retailers, which has allowed it to reach a wider audience. It has also established an online store that allows customers to order products from anywhere in the world.Innovation: Charles Chocolate has been able to innovate and adapt to changing market conditions. For example, it has introduced new products that cater to changing consumer tastes. The company has also introduced new production techniques that have allowed it to produce high-quality chocolate at a lower cost.


Overall, Charles Chocolate's strategic management has been successful due to its focus on marketing and branding, product and service development, distribution, and innovation. By focusing on these areas, the company has been able to distinguish itself from competitors and achieve long-term success.


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You are a first-year supervisor in a manufacturing plant. You
supervise a group of employees who play cards during their lunch
break for recreation and for a break from their monotonous routine
work.

Answers

Allow employees to play cards during their lunch break if it doesn't interfere with their work.

As a first-year supervisor in a manufacturing plant, it's important to foster a positive work environment. Allowing employees to take a break and engage in recreational activities, such as playing cards during their lunch break, can be beneficial for their mental health and job satisfaction.

However, it's important to ensure that their work performance is not affected by this activity. As a supervisor, you must ensure that the employees are meeting their targets and deadlines despite engaging in recreational activities. If the activity is causing them to miss deadlines, it's important to intervene and come up with a solution that works for everyone.

Communication is key in such situations.To conclude, while it's important to maintain productivity in a manufacturing plant, it's also important to ensure that the employees are given the opportunity to take a break from their monotonous routine.

Playing cards during their lunch break can be a great way to do this as long as it doesn't interfere with their work. It is, therefore, the supervisor's responsibility to monitor the situation and intervene if necessary.

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the auditor uses the combination of the achieved level of risk and the assessed level of risk to determine the required level of risk needed to bring audit risk to a

Answers

The auditor uses the combination of the achieved level of risk and the assessed level of risk to determine the required level of risk needed to bring audit risk to an acceptable level.

Audit risk is the risk that the auditor expresses an inappropriate audit opinion when the financial statements are materially misstated. To mitigate audit risk, auditors assess the inherent risk, control risk, and detection risk associated with an audit engagement. Inherent risk refers to the susceptibility of financial statements to material misstatement, while control risk relates to the risk that the client's internal controls fail to prevent or detect such misstatements. Detection risk, on the other hand, is the risk that the auditor's procedures fail to identify material misstatements.

The auditor assesses the achieved level of risk based on the results of their audit procedures and evidence gathered during the audit. They also assess the assessed level of risk, which is the auditor's initial evaluation of the inherent and control risks. By considering both the achieved level of risk and the assessed level of risk, the auditor can determine the required level of risk needed to bring the audit risk to an acceptable level.

The required level of risk is essentially the level of detection risk that the auditor is willing to accept in order to achieve the desired level of audit assurance. By adjusting the auditor's procedures and sample sizes, the required level of risk can be tailored to ensure that the audit risk is reduced to an acceptable level, which allows the auditor to provide a reasonable level of assurance on the financial statements.

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The following principles: 1) Segmentation. Fragmentation. Transition to micro-level 2) Separation 3) Local quality are associated with? (A) TRIZ (B) Simplification (C) Design for Variation

Answers

The following principles: Segmentation, Fragmentation, Transition to micro-level, Separation, Local quality are associated with the principle of c) Design for Variation.

What is Design for Variation?

Design for variation (DFV) is a methodology for reducing product and process variation that focuses on identifying and minimizing sources of variability in the product and process design stages. DFV emphasizes the use of structured problem-solving tools and techniques to identify sources of variability and develop solutions that reduce or eliminate variability at its source.

Why Design for Variation?

Design for variation is a critical element in the development of robust and reliable products and processes. By reducing sources of variation early in the design stage, DFV helps to minimize the impact of variation on product performance and quality, reduce warranty and scrap costs, and improve overall customer satisfaction.

Therefore, the correct answer is c) Design for Variation.

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a business entity with a clearly defined market, specific competitors, the ability to carry out its business mission, and a size appropriate for control by a single manager is a .

Answers

A business entity with a clearly defined market, specific competitors, the ability to carry out its business mission, and a size appropriate for control by a single manager is a small business.

Small businesses are independent enterprises that operate on a smaller scale compared to larger corporations. They typically have a limited number of employees, a narrower market focus, and are often managed by the owner or a single manager. Here is a step-by-step explanation of the characteristics of a small business:

1. Clearly defined market: Small businesses typically serve a specific market niche or target a particular customer segment. They identify their target market based on factors such as demographics, geography, or specialized needs.

2. Specific competitors: Small businesses operate in competitive environments and have specific competitors within their market segment. These competitors may offer similar products or services and vie for the same customer base.

3. Ability to carry out its business mission: Small businesses have a well-defined business mission or purpose that guides their operations. They have the necessary resources, capabilities, and strategies to execute their mission effectively and deliver value to their customers.

4. Size appropriate for control by a single manager: Small businesses are characterized by their manageable size, allowing for control and decision-making by a single manager or owner. The organization's structure is typically less complex compared to larger corporations, enabling direct oversight and involvement by the manager.

Small businesses play a vital role in the economy, driving innovation, creating jobs, and contributing to local communities. While they may start as small entities, they have the potential to grow and expand over time. Many successful large corporations began as small businesses and scaled up their operations through strategic planning, adaptation, and market growth.

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what are the four stages in collaboration?discover, develop, design, deliverdesign, disintegrate, designate, deliver develop, discredit, deconstruct, distributedistribute, delegate, demarcate, develop

Answers

The four stages in collaboration are: discover, develop, design, and deliver.

The discover stage involves identifying and exploring the problem or opportunity that requires collaboration. This stage focuses on gathering information, conducting research, and engaging with stakeholders to gain a comprehensive understanding of the situation.

The develop stage involves brainstorming and generating ideas, concepts, and possible solutions. It emphasizes collaboration and teamwork to create innovative approaches and strategies. During this stage, individuals or teams work together to refine and expand on initial ideas, building upon each other's contributions.

The design stage is where the chosen solution or approach is planned and organized in detail. This stage involves outlining the specific steps, assigning roles and responsibilities, and creating a blueprint or roadmap for the collaborative effort. Clear communication and coordination are crucial in this stage to ensure everyone is aligned and understands the objectives and tasks at hand.

The deliver stage is the final stage, where the collaborative work is implemented and executed. This stage focuses on putting the plans into action, working together to achieve the desired outcomes, and delivering the agreed-upon results. It involves coordination, monitoring progress, resolving issues, and adapting as necessary to successfully accomplish the collaborative goals.

These four stages provide a structured framework for effective collaboration, ensuring that all necessary aspects of the collaborative process are addressed. Each stage contributes to the overall success of the collaborative effort, enabling teams to work together efficiently, leverage diverse perspectives, and achieve shared objectives.

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Suppose output is at its potential level and then there is a sudden increase in food and energy prices. This increase a. makes inflation targeting easier because it makes these problems less relevant.

Answers

The statement given in the question is incorrect. An increase in food and energy prices when output is at its potential level does not make inflation targeting easier.

Instead, it creates a challenge for policymakers as it leads to an increase in the overall price level of goods and services, resulting in inflation.

When there is a sudden increase in food and energy prices, the cost of production increases. This increase in cost leads to an increase in the prices of goods and services produced. As a result, the overall price level in the economy increases, which results in inflation. Inflation can be detrimental to the economy as it reduces the purchasing power of consumers and reduces the competitiveness of exports.

Inflation targeting becomes challenging in such a scenario as the central bank needs to balance between controlling inflation and promoting economic growth. The central bank may need to increase interest rates to control inflation, but this may also lead to a decrease in borrowing and investment, which can harm economic growth. Therefore, policymakers need to carefully consider the trade-offs between controlling inflation and promoting economic growth.

In conclusion, an increase in food and energy prices when output is at its potential level does not make inflation targeting easier. Instead, it creates a challenge for policymakers as it leads to inflation, which needs to be controlled while promoting economic growth.

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What were the sources of separatism Quebec? Discuss the
different viewpoints in support of or against separatism
please write an essay with Introduction , body paragraphs and
conclusion with thesis

Answers

Introduction Quebec separatism was a political movement of Quebecers to achieve sovereignty, i.e., to separate from Canada and become a country in its own right. The sources of separatism in Quebec can be traced back to the history of Quebec itself.

This essay aims to discuss the sources of separatism Quebec and the different viewpoints in support of or against separatism. Body Paragraphs Quebec separatism found its roots in Quebec's history, particularly the British conquest of 1759 and the adoption of the British Common Law in 1774, which marginalized the French language and culture. Another significant source of separatism is the Quebec Act of 1774, which officially recognized the French language and Catholic religion in the province, which then became an essential aspect of Quebec's identity. Later, in the 1960s, Quebec was undergoing social and economic changes, and this led to a revitalization of the separatist movement. René Lévesque's Parti Québécois (PQ), a political party advocating for Quebec's separation from Canada, was created in 1968, with the party winning the 1976 provincial elections and implementing a program aimed at making Quebec a sovereign state with the support of a referendum. However, the referendum failed, and this led to the decline of the separatist movement. The movement resurfaced in the 1990s, culminating in the Quebec independence referendum of 1995, where the vote was 50.6% against and 49.4% in favor of separation.

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c. Razak intends to take a loan to finance his business. He compares two options,
namely A and B. Option A is a simple interest promissory note which offers
8,000 for three months with a simple interest rate of 10 % per annum. Option B
offers 8,000 with a bank discount rate of 10 % for three months.
i. Compare the value of interest in option A with the bank discount amount in
option B.
(10 marks)
ii. Find the amount received by the borrower in each case.
(4 marks)
iii. Find the maturity value for each option.
(2 marks)
iv. Justify the better option for Razak.

Answers

Option A has a higher value of interest compared to the bank discount amount in Option B.

In Option A, the interest is calculated using a simple interest rate of 10% per annum. The principal amount is $8,000, and the loan tenure is three months. Using the formula for simple interest, we can calculate the interest as follows:

Interest = (Principal x Rate x Time) / 100

= (8,000 x 10 x 3/12) / 100

= $200

On the other hand, in Option B, the bank offers a discount rate of 10% for three months. The borrower receives the discounted amount, which is the loan amount minus the bank's discount. The bank's discount can be calculated as follows:

Discount = (Principal x Rate x Time) / (1 + Rate x Time)

= (8,000 x 10 x 3/12) / (1 + 10 x 3/12)

= $200

Therefore, both Option A and Option B have the same value for the interest or bank discount amount, which is $200.

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You are evaluating two different silicon wafer milling machines. The Techron I costs $265,000, has a three-year life, and has pretax operating costs of $74,000 per year. The Techron II costs $445,000, has a five-year life, and has pretax operating costs of $47,000 per year. For both milling machines, use straight-line depreciation to zero over the project’s life and assume a salvage value of $35,000. If your tax rate is 22 percent and your discount rate is 10 percent, compute the EAC for both machines. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)
Which do you prefer?
multiple choice
Techron I
Techron II

Answers

Techron II has a lower EAC of $125,307.44, it should be chosen as the preferred machine, as it is the more economical of the two alternatives. Therefore, the correct option is Techron II.

EAC (Equivalent Annual Cost) is a measure of the annual cost of owning, operating, and maintaining an asset. It is computed by dividing the present value (PV) of all costs (including any salvage value) by the present value of all cash inflows, using a common discount rate. EAC is frequently used to compare the costs of alternative investments that have different lives.

The EAC of Techron I is computed below: PV of all costs= $265,000+($74,000 x 3) - $35,000= $456,000

PV of all cash inflows = $0 (because the problem does not provide any revenue, inflow is zero)

EAC of Techron I = $456,000 / 3.168= $144,058.83

The EAC of Techron II is computed below: PV of all costs= $445,000+($47,000 x 5) - $35,000= $610,000

PV of all cash inflows = $0 (because the problem does not provide any revenue, inflow is zero)

EAC of Techron II = $610,000 / 4.868= $125,307.44

Since Techron II has a lower EAC of $125,307.44, it should be chosen as the preferred machine, as it is the more economical of the two alternatives. Therefore, the correct option is Techron II.

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You are asked by an architect to assist in selecting materials as follows: A balustrade (uprights plus railing) is required for a balcony overlooking the beach. • What material would you choose? Why? • What manufacturing technique would you choose? Why? • Would you recommend that the material have any surface treatment? Why?
• What surface treatment would you recommend? Why? Two recommendations are required (Low cost and High cost).

Answers

a.  I would recommend using stainless steel for the balustrade

b. For manufacturing the balustrade, I would suggest using the welding technique.

c. For the low-cost option, I would recommend a brushed or satin finish. For the high-cost option, I would recommend a powder coating finish

Material Recommendation:

For the balustrade, I would recommend using stainless steel. Stainless steel is an excellent choice for outdoor applications due to its durability, corrosion resistance, and aesthetic appeal. It can withstand exposure to harsh coastal environments, including saltwater and high humidity, without rusting or deteriorating over time. Additionally, stainless steel offers a modern and sleek look that complements various architectural styles.

Manufacturing Technique Recommendation:

For manufacturing the balustrade, I would suggest using the welding technique. Welding allows for strong and seamless joints between the uprights and railing, ensuring structural integrity and safety. It provides a reliable and long-lasting connection, particularly suitable for load-bearing applications like balustrades.

Surface Treatment Recommendation:

Low Cost Recommendation: For the low-cost option, I would recommend a brushed or satin finish. This surface treatment gives the stainless steel a smooth and consistent appearance while hiding minor scratches and imperfections. It requires minimal additional cost and provides adequate protection against corrosion.

High Cost Recommendation: For the high-cost option, I would recommend a powder coating finish. Powder coating involves applying a durable and decorative colored powder onto the stainless steel surface and then baking it to create a hard and resistant coating.

This surface treatment offers enhanced protection against corrosion, UV radiation, and scratches. It also allows for a wide range of color options to match the aesthetic requirements of the project. However, it typically involves higher manufacturing costs compared to a brushed or satin finish.

Both surface treatment options aim to enhance the aesthetics and longevity of the balustrade while considering the budgetary constraints. The choice between the low-cost and high-cost options depends on the specific project requirements, desired appearance, and available budget.

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The following is an excerpt from a NYT article. How would you respond to the question highlighted in the second to last paragraph from our class? Write around two paragraphs. Use relevant class material, avoid fluff.
"Cynthia Liu is precisely the kind of high achiever Yale wants: smart (1510 SAT), disciplined (4.0 grade point average), competitive (finalist in Texas oratory competition), musical (pianist), athletic (runner) and altruistic (hospital volunteer). And at the start of her sophomore year at Yale, Ms. Liu is full of ambition, planning to go to law school.
So will she join the long tradition of famous Ivy League graduates? Not likely. By the time she is 30, this accomplished 19-year-old expects to be a stay-at-home mom.
Much attention has been focused on career women who leave the work force to rear children. What seems to be changing is that while many women in college two or three decades ago expected to have full-time careers, their daughters, while still in college, say they have already decided to suspend or end their careers when they have children.
"At the height of the women's movement and shortly thereafter, women were much more firm in their expectation that they could somehow combine full-time work with child rearing," said Cynthia E. Russett, a professor of American history who has taught at Yale since 1967. "The women today are, in effect, turning realistic."
While the changing attitudes are difficult to quantify, the shift emerges repeatedly in interviews with women Ivy League students. The interviews found that …roughly 60 percent, said that when they had children, they planned to cut back on work or stop working entirely. About half of those women said they planned to work part time, and about half wanted to stop work for at least a few years.
"It really does raise this question for all of us and for the country: when we work so hard to open academics and other opportunities for women, what kind of return do we expect to get for that?" said Marlyn McGrath Lewis, director of undergraduate admissions at Harvard, who served as dean for coeducation in the late 1970's and early 1980's.
It is a complicated issue and one that most schools have not addressed. The women they are counting on to lead society are likely to marry men who will make enough money to give them a real choice about whether to be full-time mothers, unlike those women who must work out of economic necessity."

Answers

The highlighted question in the second to last paragraph raises concerns about the return on investment in opening academic and career opportunities for women.

As more Ivy League women express their intentions to suspend or end their careers to become stay-at-home mothers, it challenges the notion of progress. While it may seem that women are turning realistic by acknowledging the challenges of combining full-time work with child-rearing, it also raises questions about the extent to which women's choices are influenced by societal expectations and traditional gender roles. The shift in attitudes reflects the complexities surrounding women's empowerment and the societal pressures they face. While it is important to respect individual choices, it is equally crucial to ensure that these choices are not shaped solely by external factors. Institutions must address these issues by promoting a more inclusive and supportive environment, offering resources and policies that accommodate women's aspirations for both career and family. Achieving true gender equality requires ongoing efforts to challenge traditional gender roles and create opportunities that empower women to make choices based on their own desires and aspirations.

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Defend the following statement" The Ministry of Health and Social Services has implemented various strategies to combat STI, HIV and AIDS. Explain 5 Strategies implemented to combat STI, HIV and AIDS in Namibia. (10)

Answers

The statement that says "The Ministry of Health and Social Services has implemented various strategies to combat STI, HIV and AIDS" is true. The Namibian government has implemented several strategies to combat STIs, HIV, and AIDS.

Here are 5 strategies that have been implemented to combat STI, HIV, and AIDS in Namibia:

1. HIV testing and counselling (HTC): The Namibian government has launched an HIV Testing and Counselling program that provides free testing to all Namibians. People who test positive for HIV are linked to care and support services, including antiretroviral therapy (ART).

2. HIV Prevention Programs: The Namibian government has implemented HIV prevention programs aimed at reducing the spread of HIV in the country. Programs include the provision of male and female condoms, HIV education, and behaviour change programs, and peer education initiatives.

3. Prevention of Mother to Child Transmission (PMTCT) Programs: The Namibian government has implemented PMTCT programs aimed at reducing the transmission of HIV from mother to child. The programs include the provision of antiretroviral treatment to pregnant women living with HIV, infant feeding counseling, and support services.

4. Treatment and Care Services: The Namibian government provides treatment and care services to people living with HIV and AIDS. The services include antiretroviral therapy (ART), tuberculosis (TB) screening and treatment, and other health services aimed at improving the health and wellbeing of people living with HIV and AIDS.

5. Social and Behavioural Change Communication (SBCC): The Namibian government has implemented SBCC programs aimed at promoting positive social and behavioural change towards HIV prevention and care. Programs include the provision of HIV education, behaviour change communication, and peer education initiatives.

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Korean Airlines (KAL) has just signed a contract with Boeing to purchase two new 747-400's fora total of $60,000,000, with payment in two equal tranches. The first tranche of $30,000,000 hasjust been paid. The next $30,000,000 is due three months from today. KAL currently has excesscash of 25,000,000,000 won in a Seoul bank, and it is from these funds that KAL plans to makeits next payment.
The current spot rate is won 800/$, and permission has been obtained for a forward rate (90days), won 794/$. The 90 day Eurodollar interest rate is 6.000%, while the 90 day Korean wondeposit rate (there is no Euro-won rate) is 5.000%. KAL can borrow in Korea at 6.250%, and canprobably borrow in the U.S. dollar market at 9.375%.
A three-month call option on dollars in the over-the-counter market, for a strike price of won790/$ sells at a premium of 2.9%, payable at the time the option is purchased. A 90 day putoption on dollars, also at a strike price of won 790/$, sells at a premium of 1.9% (assuming a12% volatility). KAL's foreign exchange advisory service forecasts the spot rate in three monthsto be won792/$.
How should KAL plan to make the payment to Boeing if KAL's goal is to maximize the amountof won cash left in the bank at the end of the three-month period? Make a recommendation anddefend it.
can you help me with this? need more cauculation details

Answers

KAL should pay the next $30,000,000 with the forward contract at a cost of Won 23,820,000,000.

To maximize the amount of won cash left in the bank at the end of the three-month period, KAL needs to choose the option with the lowest cost of payment in won.

First, we need to calculate the cost of the forward contract and the cost of borrowing in Korea.

Cost of Forward Contract:

- Forward rate: Won 794/$

- Amount to be paid: $30,000,000

- Cost in Won: Won 23,820,000,000

Cost of Borrowing in Korea:

- Interest rate: 6.250%

- Amount to be borrowed: $30,000,000

- Time period: 3 months

- Cost in Won: Won 23,771,250,000

Next, we need to calculate the cost of purchasing call options and put options.

Cost of Call Option:

- Strike price: Won 790/$

- Premium: 2.9%

- Amount to be paid: $30,000,000

- Premium in Won: Won 706,440,000

Cost of Put Option:

- Strike price: Won 790/$

- Premium: 1.9%

- Amount to be paid: $30,000,000

- Premium in Won: Won 450,960,000

Since the forward contract has the lowest cost of payment in won, KAL should plan to make the payment to Boeing using the forward contract.

Therefore, KAL should pay the next $30,000,000 with the forward contract at a cost of Won 23,820,000,000..

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owens corning expectsto grow at a contant rate of 4% as long as its
in business. it just paid a $4 dividend and its current stock is
$50. what is its vist of retsinex earnings?

Answers

The growth of retsinex earnings of Owens Corning is 8.32%.

Given Data

Owens Corning's expected growth rate = 4%

Owens Corning's current stock = $50

Dividend paid by Owens Corning = $4

To calculate the dividend growth rate of Owens Corning, we need to use the dividend discount model which is given as follows:

P_{0}=\frac{D_{1}}{(1+r-g)}

Where P0 is the price of the stock at time 0,

D1 is the dividend expected to be paid at the end of year 1,

r is the discount rate, and g is the growth rate of the dividend.

The dividend expected to be paid in one year is:$D_1$ = $D_0$(1 + g)where D0 is the dividend just paid

We have D0 = $4 and g = 4% = 0.04 and the current stock price is $50.

Substituting these values in the formula, we get the price of the stock at time 0:

P_{0}=\frac{4(1+0.04)}{(1+r-0.04)}=50

Solving this equation for r, we get: r = 8.93%.

Thus, the required rate of return or the discount rate of Owens Corning is 8.93%.

The expected dividend in the next year would be $4.16.

Therefore, its expected return is 8.32%.

Therefore, Owens Corning's price to earnings ratio is 11.98 times and it's dividend yield is 8.32%.

Hence, the growth of retsinex earnings of Owens Corning is 8.32%.

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One of the problems of using the CPI is that it Multiple Choice a. has difficulty adjusting for the improved quality of products in the market basket. b. only includes the prices of goods purchased by businesses.
c. adjusts for the introduction of new products too quickly. d. All of these choices are correct.

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One of the problems of using the CPI is that it has difficulty adjusting for the improved quality of products in the market basket. The correct option is (a).

It is important to note that the CPI measures the price level of a fixed basket of goods and services bought by consumers over time. The CPI is calculated as the weighted average of prices for a fixed basket of goods and services from different categories, such as food, housing, transportation, and medical care.

A basket of goods and services used in the CPI is representative of consumption patterns in the country; that is, it represents what people buy in different areas of the country and at different income levels.

The CPI is a crucial measure used by policymakers to monitor price trends in the economy, determine changes in the level of wages, and determine the size of cost-of-living adjustments (COLAs) made to many contracts and social welfare programs.

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58 Anatomy and Physiology I MJB01 2 (Summer 2022) Graced potentiais Select one a cause repolaturation, 6. may be ether a depolariration or a hyperpolaruaticn. c. produce an etfect that increates with distance fromi khe poirt of stimulation d. produce an effect that spreads actively across the menharane surface. e. are often all-or-none. cient muchoice

Answers

Graded potentials are membrane depolarizations or hyperpolarizations that are smaller in magnitude than action potentials and that may be produced in dendrites and cell bodies by synaptic activity or other input. Option b is correct.

Graded potentials are the changes in electrical potentials (membrane potentials) that happen in response to a stimulus.

These graded potentials can be either depolarization or hyperpolarization of the neuron, where depolarization is the increase of the positive charge of the neuron or cell membrane making it more positive than the resting membrane potential while hyperpolarization is the increase of negative charge of the neuron making it more negative than the resting membrane potential.

Graded potentials tend to cause little change in membrane potential, and are often all-or-none. They produce an effect that spreads actively across the membrane surface and increase with distance from the point of stimulation. However, graded potentials do not cause repolarization.

Therefore, b is correct.

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Define returns to scale. Why is this considered a long-run phenomenon?

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Returns to scale refer to the rate at which production output increases as a result of a proportional increase in all inputs. It pertains to the overall output growth rate in the long term, given the same proportion of increases in all production factors.

The concept of returns to scale is deemed to be a long-term phenomenon because it occurs when all production factors can be varied in the long run. In the short run, returns to scale may not occur because not all of the production factors are adjustable at the same time.

The long run can be defined as the duration required to modify all factors of production to the desired level. In other words, the long run is the duration in which no inputs are deemed fixed or unalterable. All elements of production, such as labor, capital, raw materials, and management, can be varied to the desired levels in the long term.

As a result, returns to scale are considered to be a long-run concept.

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Discuss the challenges faced with business forecasting. As part
of this discussion, how will business forecasting be implemented in
an organization and its significance?

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Business forecasting is the process of predicting future business outcomes based on historical data, market trends, and other relevant factors.

While forecasting provides valuable insights for decision-making, it is not without its challenges. One challenge of business forecasting is the inherent uncertainty of the future. Economic conditions, consumer behavior, technological advancements, and other factors can be unpredictable, making it difficult to accurately forecast business performance. Additionally, forecasting relies on assumptions and models that may not always capture the complexity of real-world scenarios.

Another challenge is the availability and quality of data. Forecasting requires reliable and up-to-date data to make accurate predictions. However, obtaining comprehensive data can be challenging, especially in industries with limited data sources or where data collection processes are not well-established. Poor data quality, such as missing or inaccurate information, can also affect the accuracy of forecasts.

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Stages of the Socialization Process (Chapter 16)
Students are expected to read Chapter 16, Section 5 called
Organizational Socialization and make an initial post
describing their experience in each st

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In the section on Organizational Socialization, Chapter 16 highlights the stages of the socialization process. Students are expected to read this section and share their experiences in each stage.

The first stage is anticipatory socialization, where individuals develop expectations about the organization based on external sources such as family, friends, or media. This stage helps shape their initial perceptions and attitudes towards the organization.The second stage is encounter, where individuals begin their actual interaction with the organization. This is a critical stage as they experience the organization's culture, values, and norms firsthand. It may involve orientation programs, training, and initial job assignments.

The third stage is change and acquisition, where individuals start to adjust and adapt to the organization's culture. They learn the formal and informal rules, build relationships, and develop a sense of belonging. The final stage is integration and commitment, where individuals become fully socialized members of the organization. They internalize the values and norms, feel a sense of identity and loyalty, and actively contribute to the organization's success.

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The given question in the portal is incomplete. The complete question is given below:

Stages of the Socialization Process (Chapter 16):

Students are expected to read Chapter 16, Section 5 called "Organizational Socialization" and make an initial post describing their experience in each stage of the socialization process. The stages include:

Anticipatory socialization

Encounter

Metamorphosis

Taussig Technologies Corporation (TTC) has been growing at a rate of 12% per year in recent years. This same growth rate is expected to last for another 2 years, then decline to gn = 8%. a. If Do = $2.70 and rs = 10%, what is TTC's stock worth today? Do not round Intermediate calculations. Round your answer to the nearest cent. $ What is its expected dividend yield at this time, that is, during Year 1? Do not round Intermediate calculations. Round your answer to two decimal places. % What is its capital gains yields at this time, that is, during Year 1? Do not round Intermediate calculations. Round your answer to two decimal places. % c. What will TTC's dividend and capital gains yields be once its period of supernormal growth ends? (Hint: These values will be the same regardless of whether you examine the case of 2 or 5 years of supernormal growth; the calculations are very easy.) Round your answers to two decimal places. Dividend yield: % Capital gains yield:

Answers

The stock's worth today can be calculated using the Dividend Discount Model (DDM). The formula is as follows:

Stock worth today = D₁ / (rs - gn)

Where D₁ is the dividend expected in Year 1, rs is the required rate of return, and gn is the constant growth rate. In this case, D₁ is $2.70 × (1 + 0.12) = $3.024.

Substituting the values into the formula, we get:

Stock worth today = $3.024 / (0.10 - 0.12) = -$151.20

Since a negative value doesn't make sense in this context, there might be an error in the provided values or calculations.

The expected dividend yield can be calculated by dividing the expected dividend in Year 1 (D₁) by the stock price today.

Dividend yield = D₁ / Stock worth today × 100

Using the previously calculated values, the dividend yield would be:

Dividend yield = $3.024 / -$151.20 × 100 ≈ -2.00%

Again, a negative dividend yield is unusual and might indicate an error in the given information or calculations.

Once the period of supernormal growth ends, the dividend and capital gains yields become equal. This is because the constant growth rate (gn) remains constant, leading to a stable dividend growth model. However, without the specific value of gn after the supernormal growth period, it is not possible to calculate the exact values for dividend and capital gains yields.

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the munsell color company is considering the purchase of a new batch polymer-bonding machine for producing its number one line of crayons. although the machine being considered will not produce any increase in sales revenues, it will result in the before-tax reduction of labour costs by $200,000 per year. the machine has a purchase price of $250,000, and it would cost an additional $10,000 to install the machine. in addition, to operate this machine, inventory must be increased by $15,000. the machine is categorized as 10-year property. after 2 years, it can be sold for $150,000. the tax rate is 34% and the cost of capital is 15%. what is the ebit at the end of year 1? round to the whole number.

Answers

The Munsell Color Company is considering purchasing a new batch polymer-bonding machine for its crayon production. The machine is expected to reduce labor costs by $200,000 per year before taxes, but it will not increase sales revenues.

The machine has a purchase price of $250,000, with an additional installation cost of $10,000. Operating the machine requires an inventory increase of $15,000. It is a 10-year property and can be sold for $150,000 after 2 years. The tax rate is 34%, and the cost of capital is 15%. The task is to determine the EBIT (Earnings Before Interest and Taxes) at the end of year 1, rounded to the nearest whole number.

To calculate the EBIT at the end of year 1, we need to consider the net cash flows associated with the machine. In the first year, the labor cost reduction is $200,000, which is a before-tax amount. To calculate the after-tax effect, we need to subtract the tax expense. Assuming a tax rate of 34%, the tax expense would be $68,000 (34% of $200,000). Therefore, the after-tax labor cost reduction is $132,000 ($200,000 - $68,000).

Since the machine purchase and installation costs are incurred upfront, they do not impact the EBIT at the end of year 1. The inventory increase of $15,000 is also not relevant for calculating the EBIT. Therefore, the EBIT at the end of year 1 is equal to the after-tax labor cost reduction of $132,000.

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Be creative and brainstorm some ways to "redesign" your office
space (or an office space you have previously worked in) on paper,
using virtual or flexible space or flexible furniture. How would
t

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Redesigning an office space using virtual or flexible elements can enhance productivity, collaboration, and employee well-being. Some creative ideas include implementing virtual meeting rooms, flexible workstations, modular furniture, and interactive digital displays.

One way to redesign an office space is by incorporating virtual meeting rooms. Instead of dedicated physical meeting rooms, virtual meeting rooms equipped with video conferencing technology can be established.

This allows employees to connect and collaborate with colleagues from different locations, promoting remote work and reducing the need for large physical spaces.

Flexible workstations are another option for office redesign. Implementing adjustable desks and ergonomic chairs enables employees to customize their workstations based on their preferences and needs. This flexibility can enhance comfort and productivity, as well as accommodate various work styles and tasks.

Modular furniture can be introduced to create a flexible and adaptable office environment. Modular desks, shelves, and partitions can be rearranged and reconfigured easily to accommodate changing team sizes, project requirements, or collaborative needs. This promotes versatility and collaboration, allowing the space to be utilized efficiently.

Interactive digital displays can enhance engagement and communication within the office. These displays can be placed in common areas or meeting spaces, allowing employees to share information, collaborate on projects, and present ideas more effectively. They can also serve as interactive whiteboards or presentation tools, fostering creativity and collaboration.

In conclusion, redesigning an office space using virtual or flexible elements can bring numerous benefits. By incorporating virtual meeting rooms, flexible workstations, modular furniture, and interactive digital displays, companies can create a more adaptable, collaborative, and engaging work environment that supports productivity and employee well-being.

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Question 5 In a production planning problem where the goal is to maximize profit, two resources used are nitrogen and phosphorus. A linear program used to develop the optimal (profit maximizing) production plan has a constraint for the nitrogen usage and a constraint for the phosphorus usage. The shadow price on the nitrogen usage constraint is $35, with an allowable increase of 6,000 pounds, and an allowable decrease of 9,000 pounds. The shadow price of the phosphorus constraint is $44, with an allowable increase of 4,000 pounds and an allowable decrease of 6,000 pounds. Suppose the company could acquire 1,000 pounds more of either nitrogen or phosphorus. Which one should it choose? O Neither 2 pts O Nitrogen O Phosphorus

Answers

The company should choose to acquire 1,000 pounds more of phosphorus.

The shadow price represents the change in profit for a one-unit increase in the availability of a resource. In this case, the shadow price for phosphorus is higher ($44) compared to nitrogen ($35). Therefore, acquiring an additional 1,000 pounds of phosphorus would yield a higher increase in profit compared to acquiring the same amount of nitrogen. By optimizing the usage of phosphorus, the company can maximize its profit and make the most efficient use of available resources.

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Briefly outline the Volkswagen emission scandal and discuss whether finance and corporate sustainability are compatible. Is there a difference between ethical issues and sustainability? Aside from corporate greed, what other factors may lead to falsifying emissions tests. Even though companies or businesses are meant to make profits from the sales of their products or services, some even end up engaging in unethical practices to make profits. Some companies break the law in the quest to make profits. Volkswagen is one company that has faced charges several times for violation of environmental protection laws. In 2019, the company was charged by Canada for importing vehicles that violated the country's emission standards. The Environment and Climate Change Canada revealed that the company had imported more than 120,000 vehicles that did not meet vehicle emission standards (Embensadoun,2019). The company had been eager to make profits which made them violate the environmental laws. Seemingly, the company has been involved in many emission scandals. The German authorities had also fined the company in yet another emission scandal. These charges were after prosecutors concluded that the company's engine development department was ineffective and had fitted more than 10 million Seemingly, the company has been involved in many emission scandals. The German authorities had also fined the company in yet another emission scandal. These charges were after prosecutors concluded that the company's engine development department was ineffective and had fitted more than 10 million diesel engine vehicles with software that illegally controlled emissions and sold them worldwide. The company's environmental violation issues began as early as 2015. There were investigations in Canada concerning some of its car models fitted with software that reduced the emission control system's effectiveness while driving. The United States had also fined the company $20 million in the same scandal. It had also admitted to fitting 11 million of its cars with software that deceived the emission-testing equipment that the cars' emissions were within the set standards. However, the cars' emissions were more harmful to the environment as they emitted more than 40 times the amount of hazardous nitrogen allowable into the atmosphere(Embensadoun,2019). From all the information, it is clear that Volkswagen is one of those companies that can do anything in the quest to make a profit. There is a difference between ethical issues and sustainability. Ethical issues are related to generally doing what a business or firm believes is right. In contrast, sustainability is doing what is right and protected by law and would affect the company or the people in the years to come. According to Mckenna (2015), some other factors that may have led to Volkswagen falsifying emission tests are pressure to satisfy their executives and the set standards. However, the cars emissions were Witnin the set standards. However, the cars' emissions were more harmful to the mitrogen allowable more than 40 times the amous nitrogen allowable into the atmosphere(Embensadoun,2019). From all the information, it is clear that Volkswagen is one of those companies that can do anything in the quest to make a profit. There is a difference between ethical issues and sustainability. Ethical issues are related to generally doing what a business or firm believes is right. In contrast, sustainability is doing what is right and protected by law and would affect the company or the people in the years to come. According to Mckenna (2015), some other factors that may have led to Volkswagen falsifying emission tests are pressure to satisfy their executives and customers that the cars were good and boost market revenue and share.
Previous question

Answers

The Volkswagen emission scandal involved the company deliberately installing software in their diesel engine vehicles to manipulate emissions test results.

Regarding the compatibility of finance and corporate sustainability, there can be tension between short-term financial goals and long-term sustainability objectives. While companies aim to make profits, sustainable practices prioritize minimizing negative environmental and social impacts. However, adopting sustainable practices can also bring financial benefits in the long run, such as cost savings through energy efficiency and resource conservation, enhanced brand reputation, and increased customer loyalty.

Striking a balance between financial performance and sustainability requires a proactive approach, aligning business strategies with ethical principles and long-term sustainability goals.Ethical issues encompass broader moral considerations, while sustainability focuses on actions that maintain or improve the well-being of future generations while safeguarding the environment. Apart from corporate greed, other factors that may lead to falsifying emissions tests include competitive pressures to meet regulatory requirements, protect market share, and maintain a competitive edge.

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Using the NPV
method, a project is accepted if the NPV > 0.
A. TRUE
B. FALSE

Answers

A. TRUE.The Net Present Value (NPV) method is one of the most widely used investment appraisal techniques.

It assesses the profitability of a project by comparing the present value of cash inflows and outflows over the project's lifespan. The decision criterion for accepting or rejecting a project using the NPV method is that the NPV should be greater than zero.

The NPV is calculated by discounting the future cash flows of a project to their present value using an appropriate discount rate. If the NPV is positive, it indicates that the present value of the cash inflows exceeds the present value of the cash outflows, resulting in a positive net gain for the project. This suggests that the project is expected to generate more value than the investment cost and generate positive returns for the investor.

On the other hand, if the NPV is negative, it means that the present value of the cash outflows exceeds the present value of the cash inflows, resulting in a net loss. In this case, the project would not meet the criterion for profitability and would be rejected under the NPV method.

The rationale behind accepting projects with positive NPV is that they are expected to increase the wealth of the investor. By accepting projects with positive NPV, the investor can maximize their returns and make value-enhancing investment decisions.

In conclusion, the statement "A. TRUE" is correct. According to the NPV method, a project is accepted if the NPV is greater than zero, indicating positive net gains and potential profitability for the investor.

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Problem 2. Complete in Excel and show an answer and formula sheet. Suppose you obtain an amortized loan of $18,000 for 3 years at an annual rate of 9% compounded monthly. Copy the loan template from Problem 1 to a new sheet and make suitable changes to answer the following questions.
(a.) Find the monthly payments and the total interest paid on the loan. State your conclusions using English sentences and document the answers by printing an appropriate portion of a worksheet.
(b.) Use the Amortization table to determine the total interest paid during each year of the loan - that is the interest paid in Year 1,in Year 2, and in Year 3.
(c.) Suppose your first loan payment is $1013.08 instead of the value found in Part a. What is your balance after this payment and how much interest does it save?
(d.) Suppose you negotiate a ¼ percent reduction in the loan rate. How much would you save on each payment?

Answers

Monthly payments = $615.73 Total Interest paid = $2,166.25 Conclusions, For an amortized loan of $18,000, for a period of 3 years at 9% annual rate compounded monthly, the monthly payment is $615.73 and the total interest paid is $2,166.25

Interest paid in year 1, $661.52 Interest paid in year 2, $722.60 Interest paid in year 3, $782.13. Balance after first payment of $1013.08 = $16,986.92 Interest saved = $1,152.32. Reduction in interest rate = 0.25% New monthly payment = $611.69 Savings on each payment = $4.04

Copy the loan template from Problem 1 to a new sheet and make suitable changes. Fill the necessary information in the cells B2, B3, and B4, such as Loan amount, Annual interest rate, and Number of years, respectively. Calculate monthly payment using PMT function, and copy the formula down to the other cells of column C.

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Which of the following is NOT true of a task budget process for research? Multiple Choice O It is competitive, only well-advocated projects get funded. Research costs can be covered by discretionary reserves of an organization. Research funds come from the manager's own operating budget. Research costs can be covered by the operating budget of an in-house research operations. Internal politics sometimes prevent great research projects from getting funded

Answers

The option that is NOT true of a task budget process for research is: Research funds come from the manager's own operating budget. Option c is correct.

In a task budget process for research, several factors come into play, and one of the options provided does not hold true. The option "Research funds come from the manager's own operating budget" is incorrect. Typically, research costs are not covered solely by the manager's operating budget.

In organizations, research activities are usually funded through specific research budgets allocated by the organization. These budgets are separate from the manager's operating budget and are dedicated to supporting research initiatives. This segregation allows for the proper allocation and tracking of funds specifically designated for research purposes.

The research budget can be funded through various means. It may be derived from the discretionary reserves of the organization, where a portion of funds is set aside specifically for research and development activities. Alternatively, organizations may allocate a specific budget for research operations, separate from individual manager budgets, to ensure that research activities are adequately funded and managed.

It is important to note that while a task budget process for research aims to objectively allocate resources to well-advocated projects, internal politics can sometimes hinder the funding of potentially great research projects. Factors such as competing priorities, limited resources, and organizational dynamics can influence decision-making and potentially prevent deserving projects from receiving the necessary funding.

Option c is correct.

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Which of the following about the Nernst equation and the GHK equation is TURE? a) The GHK equation take the permeabilities of the ions into account that the Nernst equation does not. Ob) The Nernst eq

Answers

Option A is true. The GHK (Goldman-Hodgkin-Katz) equation takes into account the permeabilities of ions, which the Nernst equation does not.

The Nernst equation is used to calculate the equilibrium potential of an ion based on its concentration gradient. It considers only the concentration of ions and the charge of the ion. It does not take into account the permeability of the ion across the membrane.

On the other hand, the GHK equation is an extension of the Nernst equation and incorporates the permeabilities of multiple ions. It considers the relative permeabilities of different ions in addition to their concentration gradients and ion charges. This allows for a more accurate prediction of the membrane potential by considering the contributions of multiple ions.

Therefore, the correct answer is Option A.

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If a force of 30 N is applied to the shaft, what is the pressure of the gas at equilibrium, in kPa? 2. consulting group llc has two customers. customer one generates $200,000 in contribution margin with $50,000 in direct fixed costs, and customer two generates $260,000 in contribution margin with $60,000 in direct fixed costs. allocated fixed costs total $300,000 and are assigned 30 percent to customer one and 70 percent to customer two based on several different cost drivers. total allocated fixed costs remain the same regardless of how these costs are assigned to customers or how many customers they retain. calculate the amount of allocated fixed costs to be assigned to each customer, and determine the profit or loss for each customer. should consulting group drop customer two? explain. (6.4) QUESTION 6 A thread has a basic size of 12 mm and is a fine series. What is the tap drill size? QUESTION 7 A thread has a basic size of 10 mm and is a course series. What is the tap drill size? QUESTION 8 A thread has a basic size of 12 mm and is a fine series. What is the minor diameter? QUESTION 9 A thread has a basic size of 10 mm and is a course series. What is the minor diameter? QUESTION 10 A thread has a basic size of 12 mm and is a course series. What is the number of threads per mm? Air in a P-C device undergoes the following reversible processes such that it operates as a cyclic refrigerator: 1-2 isothermal compression from 1 bar and 300 K to 3 bar, 2-3 adiabatic expansion back to its initial volume, 3-1 isobaric heating back to its initial state. Assume air behaves as a calorically perfect gas. Sketch this cycle in T-s and P-v diagrams. Calculate the work, heat transfer, and entropy change for each of the three processes. Determine the COP for this refrigerator. 5. If an Acme-thread power screw is loaded in tension with a force of 30 000 lb, what size screw from Table 17-1 should be used to maintain a tensile stress below 10 000 psi? 6. For the screw chosen in Problem 5, what would be the required axial length of the nut on the screw that transfers the load to the frame of the machine if the shear stress in the threads must be less than 6000 psi? 7. Compute the torque required to raise the load of 30 000 lb with the Acme screw selected in Problem 5. Use a coef- ficient of friction of 0.15. What are enantiomers? Choose the most accurate response. a. molecules that have different molecular formulas but same structures b. substances with the same arrangement of covalent bonds, but the order in which the atoms are arranged in space is different c. molecules that are mirror images of each other and that cannot be superimposed on each other d. groups of atoms covalently bonded to a carbon backbone that give properties different from a C-H bond You and your close friend have isolated a novel bacterium from the Sargasso Sea and cloned its pyruvate kinase gene. You want to test whether it can really catalyze the very last reaction of glycolysis which is a substrate phosphorylation reaction. You must provide which of the following substrates to test your idea, in addition to ADP and other components? a. phosphoenol-pyruvate b. glucose 6-phosphate c. glyceraldehyde 3-phosphate d. lactate e. ethanol What is a methodology that is not used in the physicalsciences but is used in the social sciences? a. Surveys b.Statistical Analysis c. Experimentation d. Visualization ofPhenomena . a firm contemplating entering the market would need to invest $100 million to build a minimum efficient scale production plant (or about $10 million annually on an amortized basis). such a plant could produce about 100 million pounds of cereal per year. what would be the average fixed costs of this plant if it ran at capacity? each year, u.s. breakfast cereal makers sell about 3 billion pounds of cereal. what would be the average fixed costs if the cereal maker captured a 2 percent market share? what would be the disadvantage if it achieved only a 1 percent share