A local restaurant owner who was running a profitable business more many years recently purchased a 3-way liquor license. This gives him the right to sell beer, wine and spirits. The cost was about $75000, since only 30 such licenses are issued by the state. The license is transferable, but only $65000 is refundable if the ow
What percentage of the CEO's total earnings is tied to profits of the firm Suppose compensation is given by W = 450,000 + 220p + 15S, where W = total compensation of the CEO, p = company profits (in millions) = $300, and S = Sales (in millions) = $500. What percentage of the CEO's total earnings is tied to profits of the firm? A. 6.0% B. 7.9% C. 12.6% D. 43.4%
Suppose compensation is given by W = 450,000 + 220p + 15S, where W = total compensation of the CEO, p = company profits (in millions) = $300, and S = Sales (in millions) = $500. What percentage of the CEO's total earnings is tied to profits of the firm? A. 6.0% B. 7.9% C. 12.6% D. 43.4% Please show calculations.
Please see the attached file.
A firm has capacity limitations and charges $30 for their service during daily peak times. If the market demand elasticity drops from -3 during peak times to -5 at off peak times, how much should the firm charge to earn the maximum profit during off peak times? A. $20 B. $21 C. $24 D. Not enough information to determine
Fontillas Instrument, Inc. manufactures two products: missile range instruments and space pressure gauges.
Need assistance with the attached case on compute overhead rates. See attached file for full problem description. Fontillas Instrument, Inc. manufactures two products: missile range instruments and space pressure gauges. During April, 50 range instruments and 300 pressure gauges were produced, and overhead costs of $89,500 we
You have been hired as the marketing manager for It's Popcorn Time (IPT), a purveyor of flavored popcorns and other gourmet treats.
Scenerio: You have been hired as the marketing manager for It's Popcorn Time (IPT), a purveyor of flavored popcorns and other gourmet treats. Growth has been rapid, and the owners feel it's time to expand their markets and seek new opportunities. IPT currently has the following products: 1. flavored popcorn- in addition to
What's wrong with the following statement? The economic costs of international trade usually exceed the economic benefits in both the short-term and long-term. I am looking at this statement in the terms of: the opportunity or economic cost of international trade in the short term would be more expensive (thus NOT exceed the
Question: What is the practice by a monopolist of charging each buyer the highest price he/she is willing to pay is called?
1. I select ALLTEL Wireless Corporate, briefly explain how this company uses dynamic pricing. Discuss the benefits and drawbacks of dynamic pricing for this particular company. Conclude with a summary of your findings. Cite your Reference. 2. In a committee of the United Nations you are considering the following questions: (
Quote from a senior manager of a major company: "Our firm has always had a design to cost philosophy. Our engineers have to achieve very tight cost standards when designing new products. Target costing is just the new fashionable term for something we have done all along." Do you agree with this statement? Has the firm b
Contrast CEA with utilitarianism. Do its differences, as you characterize them, make it a better or worse account of what policies we should follow in resource allocation for health?
Yoshika Landscaping is contemplating purchasing a new ditch-digging machine that promises savings of $5,600 per year for 10 years. The machine costs $21,970, and no salvage value is expected. The company's cost of capital is 12%. You have been asked to advise Yoshika relative to this capital investment decision. As part of your
I am researching the airline industry. I need to know what affects the airline industry in the following areas: Principles of economics Supply and demand Government policy and international trade Public goods and common resources Competitive markets and the labor market Wages and income Consumer choice Federal Reserve
Division leaders in JMI's airplane manufacturing plants have asked for your analysis for replacing old manufacturing equipment for standard planes with faster, more costly new equipment next year. This year, though JMI's innovative S2S-900 has experienced moderate initial success, the total aircraft sales have not been as great
What performance recommendations would you make for each aspect of the value chain? What accounting tools and reports would you use?
The usage of accounting reports and performance measures in key decisions about the firm's value chain also applies to major high level areas such as usage of the firm's core competencies, outsourcing production vs. in-house, decentralization vs. centralization, management style and performance measures, and downsizing staff vs.
Question 2 A doctor spent two weeks doing charity medical work in Mexico. In calculating her taxable income for the year, her accountant deducted as business expenses her round-trip airline ticket, meals, and hotel bill for the two-week stay. She was surprised to learn that the accountant, following IRS rules, could no deduct a
Summation of the main points with explanation to get a better grasp of what it is trying to say. Real gross domestic product (GDP) After rising at an 8.2 percent annual rate in the third quarter of 2003, the fastest in almost 20 years, real gross domestic product (GDP) continued to increase in the fourth quarter, up at a
Analyse the role of regional integration in promoting global business of Kenya, Africa. Can you please discuss in detail the advantages and disadvantages of the regional integration (NAFTA, EU, APEC, ASEAN, CAFTA, etc.). Compare and contrast the economic development stages of countries within Kenya, Africa and the ramification
North Pole Fishing Equipment Corporation and South Pole Fishing Equipment Corporation would have identical equity betas of 1.2 if both of them were all-equity financed. The capital structures of the two firms are as follows: North Pole South Pole Debt $1,000,000 $1,500,000 Equity $1,500,000 $1,000,000 Th
1) Consider the following estimates, and use an interest rate of 10% per year. The equivalent annual worth of alternative A is closest to: A) $-25,130 B) $-37,100 C) $-41,500 D) $-42,900 2) Consider the following estimates, and use an interest rate of 10% per year. The equivalent annual worth of alternative B is closest
Predicted Profits Details: Con Agra's 2000 income statement showed the following, (in millions) Net Sales - $25,386 Costs of goods sold - 21,206 Selling, administrative & general purpose expenses - 2,888 Interest expense - 303 Income before income tax and non-recurring charges - 989 Suppose the cost of goods
Some notes/clarifications to assist in doing the evaluation/analysis portion of the assignment: You may do the analysis using paper and pencil, but use of Excel would prove beneficial. You may want to set up a schedule in which column A is the Description of the specific cash flow being considered, column B is year 0 (prop
What is the study of culture and why is so important to global business? Please give examples of important areas of cultural study, which organizations must focus upon when deciding to go global. Why is a risk analysis so important? In your opinion, which factors of the risk analysis carry more weight than others?
Please verify that I did the problem correctly. If I didn't, please show me how to do it. Image a is the expected after-tax cash flow for a project and the expected annual general inflaction rate during the project period. Thank you.
Attached are two images of two problems and my two solutions. I feel fairly comfortable with 7-11 but would like you to double check it. 7-13 does not have a good example in the book. I did a present worth calculation and solved for i - it was a quadratic equation. However, I get 0% and 50% as my answer. This is counter-int
Exhibit I below contains the pension plan disclosures of Norfolk Southern Railroad. Use the information contained in this exhibit to answer the following questions: Calculate each of the following a) Recurring pension cost b) Gross pension cost c) Non-smoothed pension cost. d) Funded Status of the Plan
Subject: patents (cost/benefits) Details: If patents permit firms to set P>MC (P might be ten times MC or in extreme cases even 100xMC), this implies very large ?gross margins?- in accounting terms the spread between sales revenues and the cost of goods sold, before allowances for contributions to fixed costs and other costs n
Depreciation (straight line , sum of years digits and MACRS) ; Investment Appraisal (Present Worth Analysis, Annual Cash Flow Analysism Rate of Retun Analyis, Future Worth Analyis, Benefit-Cost ratio analyis)
This two problems MUST be done in excel format. Please include explanation 1. Office equipment whose initial cost is $100,000 has an estimate actual life of 6 years , with an estimated salvage value of $10,000. Prepare tables listing the annual cost of depreciation and the book value at the end of each 6 years , based on
1. Compare the economics of the two following service producing alternatives. Use present worth analysis and incremental analysis. Use NPV at i* = 15% and confirm your answer by calculating the ROR. All numbers are in 1000 of dollars. Alternative A C=200 OC=220 OC=220 OC=220 OC=220 L=50 Year 0 Year 1 Year 2 Year 3
Given a table of info with level of abatement in percent, total cost in dollars, and total benefit in dollars how do you identitfy what the most efficient level of abatement is by general economic criteria? with this data how do you perform the cost benefit test to tell if at a given percentage level abatement is effiecient?