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ankoles [38]
2 years ago
15

The terms of trade are acceptable if the price is ________ the seller’s opportunity cost and ______ the buyer’s opportunity cost

.
Business
1 answer:
Maslowich2 years ago
5 0

The terms of trade are acceptable if the price is above the seller’s opportunity cost and below the buyer’s opportunity cost.

<u>Explanation:</u>

The benefits that we spend in attaining something is the opportunity cost. The profits or values that you give up to get something is called Opportunity cost. For example when you choose to go to movie, the amount that you spend on the movie will not be spent on getting anything else or the time that you spend in watching the movie cannot be spent on reading stories or any other act.

This next best alternative that is forgone in seeing a movie is called opportunity cost. Opportunity cost can be calculated by subtracting the return on the option that is chosen from the return on the best forgone option. When the price of anything is above  the opportunity cost of seller and below the opportunity cost of the buyer, then the trade will be acceptable.

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Archer, in Chicago, wrote to Ganze in New York City offering to purchase her antique car. When she received the letter, Ganze ma
olya-2409 [2.1K]

Answer:

<u>No</u>

Explanation:

<em>Remember, </em>in business law, as long as both parties did not sign a contractual document, the purchase is not legal.

In this case, it could be observed that Ganze only "mailed an acceptance" not a signed document between both parties agreeing on the purchase of her antique car.

Also, the fact that she quickly sent a telegram letting  Archer know that she is rejecting the offer, shows that she acted in good fate to withdraw her acceptance on time.

7 0
2 years ago
Consider an 8% coupon bond selling for $953.10 with three years until maturity making annual coupon payments. the interest rates
Andreyy89

Answer:

a) YTM = 9.8%

b) realized compound yield is 9.9%

Explanation:

a) PMT = 80

par value FV = 1000

coupon rate = 8%

curent price PV = 953.1

years to maturity n = 3

Yield to maturity (YTM) = \frac{PMT+(FV-PV)/n}{(FV+PV)/2} = \frac{80+(1000-953.1)/3}{(1000+953.1)/2}= 9.8%

b) r2 = 10% = 100%+10%=1.1

r3 = 12% = 100%+12%=1.12

Realized compound yield:First, find the future value (FV. of reinvested coupons and principal

FV =  ($80 *1.10 *1.12) + ($80 * 1.12) + $1080 = $1268.16

let a be the rate that makes the future value $1268.16

953.1(1+y)³ =$1268.16

(1+y)³=1.33

1+y=1.099

y = 0.099 = 9.9%

5 0
2 years ago
A local regulator has calculated the average cost of production for the public water utility. Theregulator has allowed an adjust
Varvara68 [4.7K]

Answer:

A. cost-plus regulation

Explanation:

When a local regulator calculates the average cost of production for the public water utility or any other service and allow an adjustment for the normal rate of profit the firm should expect to earn, and then set the price that consumers can be charged accordingly, this is known as cost-plus regulation.

It is usually carried out by the government.

8 0
2 years ago
Which method of analysis does not classify variables as dependent or independent?
Masja [62]

Answer:

C) cluster analysis

Explanation:

Regression analysis. The regression analysis determines the relationship between the two variables. Thus, one of these quantities (X) is given in advance(dependent) and is not random. The second value (U) is the independent and random number. The randomness of the second quantity can be explained for two reasons. First: Measuring the random number U, which depends on the number X, is associated with certain errors; second: The value of U may depend on other uncontrollable factors, in addition to being dependent on the value of the corresponding X value. In this case, we need to talk about the distribution of the random variable U against each value of the X variable.  The main purpose of the regression analysis is to build a mathematical model that takes into account the factors affecting the physical process using experimental data and evaluating its accuracy.  The least squares method is used for statistical estimation of the mathematical model's suitability to experimental data.

Discriminant analysis is a method used in statistics, pattern recognition, and machine learning to find a linear combination of attributes that define or distinguish two or more classes or events. The resulting combination can be used as a linear classifier or more often to reduce the size before classifying.  LDA is closely related to variance analysis (ANOVA) and regression analysis, which try to express a dependent variable as a linear combination of other properties or dimensions. However, while variance analysis uses qualitative independent variables and a continuous dependent variable, discriminant analysis has continuous independent variables and a qualitative dependent variable.

Cluster analysis or clustering is a problem of grouping a number of objects. In this problem, objects must be in some way more similar to those in other groups to accommodate the same clusters (clusters). One of the main problems with data transmission is a common technique used in statistical data analysis. It is also used in machine learning, pattern recognition, image analysis, data retrieval, bioinformatics, data compression and computer graphics.

One-way analysis of variance (ANOVA) is used to calculate the significance of the difference between three and more independent means in a normally distributed series. ANOVA compares the arithmetic means of three or more groups alone; ANOVA result is also significant when at least one of these comparisons is significant. To measure the significance it will have the relation to the regression analysis that's why there will be dependent and independent variables as well.

6 0
2 years ago
Read 2 more answers
1.How do your financial choices impact the economy? Trace the impact of your financial decisions.
hjlf
<span>Answer;
Every time the procurement purchase or procures goods or services it is participating in the economy.
when you pay taxes to the government you are supporting the economy. Having a job to support your financial needs such as mortgages and bills will save you from going bankrupt and hurting the bank.

Explanation;
Financial decisions are important in any business, for the growth and development of the business, these includes, investments decisions, wages, purchases, loans and debtors.
These financial decisions have a direct or indirect impact on the economy; for example the purchase of goods and services impacts the economy directly, as it facilitates trade, and also the tax charged on the purchased goods and services.</span>
3 0
2 years ago
Read 2 more answers
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