Normal profit is best described as: an implicit cost that is the average return to entrepreneurship activity (A).
What is normal profit?Normal profit is the minimum amount of profit necessary to keep a firm operating. It is a company's long-term average profit, which is just enough to keep it operational and in business. Normal profit is the minimum amount of profit required for a business to continue operations in the long run.
It is the implicit cost that is the average return to entrepreneurship activity, and it is included in the opportunity cost of the company's resources (capital and labor).
Therefore, the correct option is A. an implicit cost that is the average return to entrepreneurship activity.
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Guntion Inc. bonds have a 25-year maturity, a 10% coupon paid semiannually, and a par value of $1,000. If your required rate of return is 13% what is the intrinsic value of the bond? Round to two decimal places (Ex. $000.00)
The intrinsic value of the bond is $800.27.
The intrinsic value of a bond represents the present value of its future cash flows, discounted at the required rate of return. To calculate the intrinsic value of the Guntion Inc. bond, we need to determine the present value of its coupon payments and the final principal repayment.
The bond has a 25-year maturity, and since the coupon is paid semiannually, there will be a total of 50 coupon payments (25 years * 2 payments per year). The coupon rate is 10% of the par value, which is $1,000, so the coupon payment will be $100 ($1,000 * 10%).
Using a required rate of return of 13%, we can discount the future cash flows. The coupon payments are semiannual, so we divide the required rate by 2 to get the semiannual discount rate, which is 6.5% (13% / 2).
Using the formula for the present value of an annuity, we calculate the present value of the coupon payments:
PV(coupon payments) = \(C * [1 - (1 + r)^(^-^n^)] / r\)
where C is the coupon payment, r is the discount rate, and n is the number of periods.
PV(coupon payments) = $100 * \([1 - (1 + 0.065)^(^-^5^0^)] / 0.065\)
PV(coupon payments) ≈ $1,150.27
Additionally, we need to calculate the present value of the final principal repayment. Since it is paid at maturity, its present value is simply the face value of the bond:
PV(final principal repayment) = $1,000
Finally, we sum the present values of the coupon payments and the final principal repayment to find the intrinsic value of the bond:
Intrinsic value = PV(coupon payments) + PV(final principal repayment)
Intrinsic value ≈ $1,150.27 + $1,000
Intrinsic value ≈ $2,150.27
Rounding to two decimal places, the intrinsic value of the bond is $800.27.
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T/F A trademark is a distinctive mark or motto that a manufacturer stamps, prints, or otherwise affixes to its own goods.
The statement a trademark is a distinctive mark or motto that a manufacturer stamps, prints, or otherwise affixes to its own goods is true because a distinguishing mark, saying, object, or tool that a producer stamps, prints, or otherwise attaches to the products it makes so that they can be recognized on the market and their sources can be revealed.
A distinguishing word, phrase, logo, or other visual symbol that is used to set one company, organization, or product apart from another. The goal of trademark protection is to prevent consumer confusion. A trademark that "identifies and distinguishes" the pertinent goods or services is considered distinctive.
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Commercially reasonable means Multiple Choice observing industry standards and practices that are generally accepted throughout various industries as proper business practices. charging a fair price for goods and not taking advantage of others in the industry. getting the highest price possible for goods without violating the law. observing industry standards and practices that may be unique to the particular industry.
Answer:
observing industry standards and practices that may be unique to the particular industry.
Explanation:
Commercially reasonable activities are based on a standard of reasonableness. It gauges what a reasonable person or entity will do in a given situation.
For example a standard for operation is defined in an industry and used as a basis the determine if business practices of a company are reasonable or not.
It involves good faiths effort on the part of the actors to meet as much as possible a similar objective or activity under similar circumstances.
In this instance commercially reasonable is defined as observing industry standards and practices that may be unique to the particular industry.
Blossom Company is considering an investment that will return a lump sum of $850,000 3 years from now. Click here to view the factor table. (For calculation purposes, use 5 decimal places as displayed in the factor table provided.) What amount should Blossom Company pay for this investment to earn an 6% return? (Round answer to 2 decimal places, e.g. 25.25.)
Ale jak się okazało w Polsce dniu narty nie skierowane to dniu tym świecie i jest ogóle nie ma problemu z tym że nie ma przecieku co w wszystko jutrzejszym terminie
Your brother has asked you to help him with choosing an investment. He has $5,000 to invest today for a period of two years. You identify a bank term deposit that pays an interest rate of 4.25 percent with the interest being paid quarterly. What will be the value of the investment in two years?
How to Apply the Rule of 72. According to the Rule of 72, $1 invested at a 10% yearly constant interest rate would increase to $2 after 7.2 years ((72/10) = 7.2). In reality, a 10% investment will double in 7.3 years ((1.107.3 = 2)).
How much entertainment, compounded annually, would it take to double a fund in six years?You may also calculate it backwards: divide 6 by 72 to get that a hobby charge of roughly 12 percent will be needed if you want to quadruple your money in six years.
What hobby costs how much per year if you want to double your money in three years?How to Apply the Rule of 72. For instance, the Rule of 72 stipulates If you want to double your money in three years, your investments must provide annual returns of between 21% and 24% (72/3 years). Similar to this, if you want to double your money in five years, your assets must grow at a rate of about 14.4% per year (72/5).
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in order to be successful and Organisation must change its goal according to the needs of the environment which characteristic of management is highlighted in the statement?
Answer:
Dynamic function
Explanation:
Dynamic function of management speaks to the ever changing business environment such as customers expectation, business regulation,competition, suppliers, creditors etc.
It is expected of business management to change goals inorder to align with the need of the environment. Changing goals means making adjustments to decisions based on the changing business environment for survival purposes.
For instance, if a particular product is banned in a country where it is sold, management of an organization producing such product must discontinue the product and look for another line of production so that they can remain relevant in business.
.A manufacturing business has purchases of raw materials of $4,500, closing inventory of $1,400 and opening inventory of $800. What is the cost of raw materials used in production?
Answer:
Cost of raw materials used = $5,100
Explanation:
Given:
Purchases of raw materials = $4,500
Closing inventory = $1,400
Opening inventory = $800
Find:
Cost of raw materials used
Computation:
Cost of raw materials used = Opening inventory + Purchases of raw materials - Closing inventory
Cost of raw materials used = 1,400 + 4,500 - 800
Cost of raw materials used = $5,100
Question 9 of 10
3 Points
Suppose a merchant in a moneyless economy traded his goods for a large
amount of purple fabric. He intended to use the fabric to trade for other
goods in another location. While he traveled to the other marketplace,
however, a trade ship arrived with a large shipment of purple fabric. As a
result, the merchant was only able to trade his fabric for about half of what he
had expected it to be worth in return. This situation illustrates the need for
what aspect of the purpose of money?
A. Preservation of value
B. Unit of measure
C.Ease of exchange
D.Government endorsement
I NEED HELP PLEASE!!
Answer:
Preservation of value
Explanation:
One of the advantages of money over trade by barter or any other moneyless transaction is the time value of money.
Time value of money can be explained as the ability of money to preserve its value and even increase in nearest future due to its potential earning capacity.
It can be inferred from the given scenario that the purples fabrics has lost a significant value due to the surplus of supply in the market place as it could no longer achieve the original worth.
Answer:
A) Preservation of value!
Explanation:
This means preserving a value, the cost of things at one point and another, you want to preserve that value in order to get the most out of your payment.
Assume the economy is operating at P1Y2.
Which of the following would cause a shift to bring the economy to P3Yf?
Real wages fall.
Productivity increases.
Personal income taxes increase.
Transfer payments decrease.
A major hurricane hits the southeastern United States.
The decrease in aggregate demand would also reduce productivity and lead to a decrease in output and employment.
What is employment?Employment is an agreement between two parties, usually based on a contract, where work is exchanged for compensation, such as wages, salary, or commission. Employment is typically for a fixed period of time, and the employer usually has the right to dismiss an employee for a legitimate reason. Employment typically involves an exchange of services, knowledge, skills and experience for remuneration. Employment can be either full-time, part-time, or casual, depending on the type of job and the agreement between the employer and the employee.
A major hurricane hitting the southeastern United States would cause a shift to bring the economy to P3Yf as it would reduce aggregate demand in the affected areas, resulting in a decrease in consumption and investment spending. This would lead to a contraction in output and employment, resulting in a decrease in real wages, a decrease in transfer payments, and an increase in personal income taxes.
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after recording depreciation for the current year, media mania incorporated decided to discontinue using its printing equipment. the equipment had cost $758,000, accumulated depreciation was $568,000, and its fair value (based on estimated future cash flows from selling the equipment) was $57,000. required: determine whether the equipment is impaired. prepare the journal entries to record the impairment in asset if any.
Journal Entry:
To record the impairment loss on printing equipment, if any:
Debit: Loss on Impairment $311,000
Credit: Accumulated Depreciation $568,000
Credit: Printing Equipment $57,000
To determine whether the equipment is impaired, we compare the carrying value of the asset (which is its cost minus accumulated depreciation) to its fair value. In this case, the carrying value is $190,000 ($758,000 - $568,000), which is higher than the fair value of $57,000. This indicates that the equipment is impaired, as its carrying value exceeds its recoverable amount (which is the higher of fair value less selling costs or value in use).
To record the impairment loss, we debit Loss on Impairment for the difference between the carrying value and the fair value ($190,000 - $57,000 = $133,000) and credit Accumulated Depreciation for the amount of accumulated depreciation that needs to be reversed ($568,000). We also credit Printing Equipment for its fair value of $57,000, which becomes its new carrying value.
In summary, the journal entries to record the impairment loss and adjustment to the asset's carrying value are:
Debit: Loss on Impairment $311,000
Credit: Accumulated Depreciation $568,000
Credit: Printing Equipment $57,000
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what is the most obvious difference between debt and equity financing?
Debt financing and equity financing are two common ways for companies to raise capital. The most obvious difference between them is the way in which the funds are provided. Debt financing involves borrowing money from a lender, such as a bank or a bond issuer, with the promise to pay back the principal plus interest over time.
In contrast, equity financing involves selling ownership shares of the company to investors in exchange for capital. One of the key benefits of debt financing is that it allows companies to maintain control of their business operations. However, it also comes with the obligation to make regular payments to the lender, which can be a strain on cash flow. On the other hand, equity financing allows companies to raise funds without incurring debt, but it also means sharing control and potentially profits with shareholders.
Ultimately, the decision between debt and equity financing depends on the company's goals, financial position, and risk tolerance. Both options have their pros and cons, and it's important for businesses to carefully consider their options before making a decision.
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which of the following statements is true about appeals?
An appeal is a legal process through which a party requests a higher court to review and reconsider a decision made by a lower court. It provides an opportunity for parties to challenge the outcome of a case if they believe there was an error in the application of the law or in the procedures followed during the trial.
An appeal is a legal process through which a party requests a higher court to review and reconsider a decision made by a lower court. appeals are an important part of the legal system as they provide an opportunity for parties to challenge the outcome of a case if they believe there was an error in the application of the law or in the procedures followed during the trial.
During an appeal, the appellate court reviews the record of the lower court proceedings, including the evidence presented and the legal arguments made. The appellate court may also hear oral arguments from the parties involved. The purpose of the appeal is to determine whether any errors were made that affected the fairness or legality of the lower court's decision.
After reviewing the case, the appellate court can take several actions. It may affirm the lower court's decision, meaning that it agrees with the outcome and reasoning of the lower court. It may also reverse the lower court's decision, meaning that it disagrees with the outcome and orders a different decision. In some cases, the appellate court may modify the lower court's decision, making changes to certain aspects of the ruling.
It is important to note that appeals are not automatic rights. Parties must meet certain requirements and deadlines to file an appeal. Additionally, appeals are generally limited to reviewing legal errors or procedural irregularities, rather than reevaluating the facts of the case.
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geno's body shop had sales revenues and operating costs in 2020 of $650,000 and $525,000, respectively. in 2021, geno plans to expand the services it provides to customers to include detailing services. revenues are expected to increase by $85,000 and operating costs by $50,000 as a result of this expansion. assuming that there are no changes to the existing body shop business, operating profits would be expected to increase during 2021 by:
Since there are no modifications to the current body shop operation, operating earnings should rise by $30,000 in 2021.
What is customers stratification?We have the ability to change our company from being a product-driven to a customer-driven organization through the use of customer stratification. Because of its assistance, we now have a deeper understanding of our clients, which has allowed us to better utilize our sales staff and increase return on investment. Customer Stratification classifies the distributor's customers into four groups: Core, Opportunistic, Marginal, and Service Drain based on each customer's purchasing power, cost to serve, loyalty, and profits. The distributor may thus better meet the needs of its core clients thanks to this. In the stratification technique, supply air is used to replace the air leaving the ventilated (and typically occupied) zone, inhibiting the passage of air between the zones.To learn more about customers stratification refer to:
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The export of new world crops to the old world transformed european society mostly by.
The export of crops from the New World to the Old World transformed European society mainly by improving the diets of the population, which consequently increased population growth.
How did the colonization of the new world benefit Europe?The discovery of America by European explorers made the place known as the New World, due to the fact that there were lands and riches that were used by Europeans for the crops and exploitation of precious metals for the enrichment of the European metropolis.
Therefore, the colonization of the New World made Europe rich through the exploitation of the resources of the conquered lands, increasing the supply of raw materials and reducing the scarcity of society.
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What is most likely the cause of an increase in demand? An increase in salary
Higher taxes
Lower price
Alternative product
Answer:
Alternative products
Explanation:
Most of the times, people look at the quality of a product which increases the demand, even though the price is high
What are B2C and B2B sales?
B2C and B2B sales refers to business-to-consumer and business-to-business sales respectively.
What is business-to-consumer sales?Business-to-consumer (B2C) companies having consumers as their end-users increasingly came to be known by this phrase when it gained popularity in the 1990s.
This contrasts with business-to-business (B2B) firms, or those whose main customers are other businesses. B2C businesses conduct their business online and offer goods to clients. Several B2C corporations include Amazon.
B2C, or business-to-consumer, is a retail model where things are delivered directly to the customer who has made a personal purchase of the goods or service.
Business-to-business sales are referred to as B2B sales. It describes enterprises or salespeople who engage in direct business-to-business (B2B) sales of goods and services.
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Handshakes should be:
O firm
o loose
O repeated
o accompanied by eye contact
Answer:
firm
Explanation:
The law of demand states that a price and quantity demanded do not affect each other. b as price increases, quantity demanded increases. c as price increases, quantity demanded decreases. d supply, price and quantity demanded do not affect each other.
Answer:
c as price increases, quantity demanded decreases.
Explanation:
The law of demand states that the higher the price of an item, the lower the quantity demanded of that good. While the lower the price, the higher the quantity demanded.
This shows an inverse relationship. As the price of a commodity increases from a former price to a new price, the consumers of that commodity would purchase less of it. But if the reverse is the case, that is price is lowered, consumers would purchase more quantity of the commodity.
A customer wants to buy $12,000 worth of stock using other marginable securities owned as collateral for the purchase. With Regulation T at 50%, what must the current market value of the securities deposited be
A customer offers to put up other owned bring about a positive securities as backing for the buying of $12,000 worth of shares. The original margin is referred to as this.
Which one of the following can be used to satisfy a Regulations T call of initial margin when buying a security?Depositing cash equal to the call will satisfy a first-time Regulation T margin call. listed securities that are marginable and have a loan value equivalent to the call. In order to satisfy a Standard T margin call, an investor may deposit cash or deliver securities with a value equivalent to the loan amount of the call.
How much additional common stock is available for purchase without a deposit?You may borrow up to 50% of the purchase price of margin securities in accordance with Federal Reserve Board Regulation T. The original margin is referred to as this. Some businesses want a larger deposit.
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Indra Nooyi is not a typical CEO. How does she differ from your idea of what a typical CEO is like? How do you think your current image of CEOs was created?
Indra Nooyi is not a typical CEO in several ways. Firstly, she is a woman, which is still a rarity in the world of corporate leadership.
Secondly, she has been very vocal about the importance of balancing business objectives with social responsibility and sustainability, which is not always a top priority for many CEOs. She has also been known for her focus on employee welfare and development, which is not always seen as the most important aspect of business success by some CEOs. My current image of CEOs is likely shaped by media portrayals, as well as by the actions and statements of high-profile CEOs who have made headlines in recent years. The increasing scrutiny and criticism of corporate behavior and ethics may have also influenced my perception of what a typical CEO is like.
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david's family owned a plumbing company with a reputation for excellent workmanship. when david joined the business, his father required that he spend several years working alongside two licensed plumbers. in business, we call david's starting position a(n)
When david joined the business, his father required that he spend several years working alongside two licensed plumbers. in business, we call david's starting position an apprentice.
Through the apprenticeship system, which combines on-the-job training and frequently some associated schooling, a new generation of practitioners of a trade or profession are trained (classroom work and reading). Additionally, apprenticeships can aid professionals in obtaining a license to work in a regulated industry.
When an apprentice has gained proven competency, the majority of their training is completed while they are working for an employer who helps them learn their trade or profession in exchange for their continuous labor for a predetermined period of time.
The length of apprenticeships varies significantly among sectors, professions, roles, and cultures. So, David is and apprentice.
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A local butcher and a worker at a cereal factory both work in what Agriculture, Food, and Natural Resource pathway?
Agribusiness Systems
Food Products & Processing Systems Animal Systems
Natural Resources Systems
The Food Products & Processing Systems is the department in Agriculture, Food, and Natural Resource where the local butcher and a worker at the cereal factory.
The food products $ processing systems is a department in the Food, and Natural Resource
The department is responsible for tasks including:
Bulk food production Development of ways to process, package or store food etcIn conclusion, the Food Products & Processing Systems is the pathway in Agriculture, Food, and Natural Resource where the local butcher and a worker at the cereal factory.
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The demand functions for goods 1 and 2 are: 4;(P1, P2) = 600 - 6P; +P; for j=1,2 The two firms, each producing one of these good, have identical costs given by TC;(q;) = 10q; for j=1,2 ? (d) Now assume that the firms form a perfect cartel. Find the cartel profits as a function of the prices charged for each product. Using the cartel best response functions, find the prices that maximize cartel profits. LOCATE the cartel prices of each firm in the best response function diagram. Find the quantities produced by each firm under cartel. Find the cartel profits of each firm. Do firms have an incentiveto join the cartel?
The cartel profits are determined by the total revenue of the cartel minus the total cost of the cartel. The total revenue of the cartel is given by the sum of the demand functions of the two firms: TR = 4(P1, P2) = 600 - 6P1 + P2.
The total cost of the cartel is given by the sum of the cost functions of the two firms: TC = 10q1 + 10q2. The cartel profits can be found by substituting the optimal prices (P1 and P2) and the optimal quantities (q1 and q2) into the formula for the total revenue and total cost:
Profit = TR(P1, P2) – TC(q1, q2)
The prices that maximize the cartel profits can be found by setting the partial derivatives of the cartel profits with respect to P1 and P2 equal to 0. This results in the optimal prices of P1 = 300 and P2 = 300. These prices can be located on the best response function diagram.
The quantities produced by each firm under the cartel are q1 = 150 and q2 = 150. The cartel profits of each firm are Profit1 = Profit2 = 4500.
Firms have an incentive to join the cartel because they can increase their profits by setting a single price for the market and dividing the profits among themselves. By joining the cartel, they are able to increase their profits by taking advantage of the market power they have by controlling the prices.
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Locate an article covering the technology environment of the hospitality industry. Provide the link/name/etc. to the article and write a synopsis of the article information. The article should be no more than five years old.
An article covering the technology environment of the hospitality industry is The Future of Hospitality Technology.
What does the article talk about ?The hospitality industry is constantly evolving, and technology is playing a major role in this change. From self-service kiosks to mobile apps, technology is making it easier for guests to book, plan, and enjoy their stay.
Key Trends in Hospitality Technology:
Mobile apps: Mobile apps are becoming increasingly popular with guests. These apps can be used to book rooms, make reservations, and access information about a hotel or restaurant.Big data: Big data is being used to better understand guest behavior and preferences. This information can be used to improve the guest experience and increase revenue.Despite the challenges, the benefits of using technology in the hospitality industry are significant. As technology continues to evolve, it is likely that we will see even more businesses in this industry adopt new technologies to improve their operations and provide a better customer experience.
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Complete the following sentence with the options listed below.
A _________ is a person who _______ a public good that others _________.
O free rider; pays for; use
O payer; enjoys; pay for
O nonexcludable payer; purchases; determine to be nonrivairous
O free rider; enjoys; pay for
O Ione rider; enjoys; pay for
A free rider is a person who enjoys a public good that others pay for.
What is a free rider?Anyone who enjoys something without putting up any effort or paying for it is considered a free rider. Free riders, then, are people who make use of things without paying for them.
What does a free rider look like?requesting contributions Consumer donations made voluntarily may compensate again for free riders. For instance, soliciting donations in a museum or garden. The donation sums would assist in paying for the garden/museum even if there were still free riders.
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Which example BEST demonstrates a fixed exchange rate?
Nineteen European Union (EU) member states have adopted the euro (€) as their common currency, and their exchange rates are effectively fixed to each other.
One US dollar might buy one British Pound today, but it might only buy 0.95 British Pounds tomorrow.
The Hong Kong dollar (HKD) is pegged at 7.8 to the US dollar, but can trade between 7.75 and 7.85.
The central bank of Vietnam allows its currency, the dong, to move in a band of 3 percent on either side of a daily reference rate.
The BEST example of a fixed exchange rate is A. Nineteen European Union (EU) member states have adopted the euro (€) as their common currency, and their exchange rates are effectively fixed to each other.
What is a fixed exchange rate?A fixed exchange rate is a system in which the value of a currency is fixed, or pegged, to the value of another currency, commodity, or other measure of value.
In this case, the exchange rate between the European Union member states that have adopted the euro as their common currency is fixed, meaning that it does not fluctuate in response to changes in supply and demand.
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A budget that is prepared with the full cooperation of managers at all levels is a self-imposed or _____.
A self-imposed or participatory budget is one that is created with the full support of all management, regardless of their position.
What exactly does participatory budgeting mean?In a budgeting procedure called participatory budgeting, those in lower levels of management take part in the creation of the budget.
What benefits can participatory budgeting provide?Organizations can give their workforce a sense of ownership and influence by using the effective budgeting technique known as participatory budgeting. By better understanding the financial requirements of their divisions, firms can introduce this technique to reduce loss.
Participatory budgeting is used by who?When upper and lower level management work in perfect harmony, participatory budgeting is effective. It goes without saying that top-level managers have relatively little knowledge of the organizational expenditures and expenses incurred by departments.
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Sam is planning to start a pool cleaning business from his home. He has developed the following cost analysis for the set-up and operation for the first year of his business. He has $9,000 in savings and $23,000 in credit that he can use for the business. Approximately what percent of the initial set-up and operation costs will sam need to finance with a lender or investor?.
Sam lacks more money than is necessary to finance the company. Sam will therefore be $7500 short.
How long before Sam's business turns a profit overall?Sam projects a total of $30,500 in operational costs per year. How long will it take Sam, using Sam's model, to achieve a net profit for his company,
where net income exceeds net expenses?In his second year of operation, Sam will turn a profit overall.
Sam has a total of $ available.
$(9000 + 23000) = $32000
Total costs that will be incurred:
$(9000 + 6000 + 23000 + 1500) = $39500
Amt. remaining for business financing:
$(39500 - 32000) = $7500
Sam will therefore require an additional $7500 in funding to run the company.
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How does the relationship between consumers, producers, and economic products affect the economy?
Answer:
its an ongoing cycle if you dont have one of them the cycle will not work
I'll give 20 points if you just answer this riddle: You see a boat filled with people. It has not sunk, but when you look again you don’t see a single person on the boat. Why?
Nice doing "business" with ya!
Answer:
Everyone on the boat is married.
Explanation: