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Fynjy0 [20]
2 years ago
5

A salesman receives a fixed salary of $500 per week. In addition he is paid 12% of all sales over $1000. Write the formula that

describes how his weekly salary, s, depends on his weekly revenue, r. (The revenue is the amount of money he collects by selling the goods.)
Business
1 answer:
Alina [70]2 years ago
4 0

Answer:

y = s + 0.12(r-1,000)

Explanation:

Given:

Fixed salary (s) = $500 per week

Additional income = 12% of sales over $1,000

Sales (r) = r

Total weekly salary (y) = ?

Computation of total weekly salary:

Total weekly salary (y) = Fixed salary + Additional income

Total weekly salary (y) = $500 + 12% of sales over $1,000

Total weekly salary (y) = $500 + [12/100] × [sales - $1,000]

Total weekly salary (y) = $500 + 0.12 × [sales - $1,000]

<u>Additional equation:</u>

y = s + 0.12(r-1,000)

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A firm issues $300 million in straight bonds at an original issue discount of 0.50% and a coupon rate of 7%. The firm pays fees
Aleksandr-060686 [28]

Answer: $292,500,000

Explanation:

The following information can be derived from the question:

Issued bond = $300

Issue discount = 0.50%

Coupon rate = 7%.

Fees paid = 2.0%

The net amount of funds that the debt issue will provide for the firm will be:

= Issued bond price - Discount - Fees paid

= $300m - ($300m × 0.50%) - ($300m × 2.0%)

= $300m - $1.5m - $6m

= $300m - $7.5m

= $292.5 Million

7 0
2 years ago
During December, Krause Chemical Company had the following selected data concerning the manufacture of Xyzine, an industrial cle
Paul [167]

Answer:

d.92 units.

Explanation:

Completed untis +

complete portion of ending WIP less

complete portion of beginning WIP

Completed and trasnferred 100

ending work in process_ 10 units x 40% = 4 units

beginning inventory 20 units x 60% complete (12) units

Equivalent Units for conversion 92

3 0
2 years ago
Smyth Industries operated as a monopolist for the past several years, earning annual profits amounting to $50 million, which it
denis23 [38]

Answer:

First of all we need a discount rate, so I looked for similar questions and the discount rates went from 4% to 8%, so i decided to use 6%.

the company has 2 alternatives, keep operating in a competitive market or slash its prices to try to erase the competition.

the present value of the first alternative using the perpetuity formula = $10,000,000 / 0.06 = $166,666,667

the present value of the second alternative is:

PV of slashing costs = $1,000,000,000 / 1.06 = $943,396,226 + the present value of future net incomes

the present value of future net incomes = $50,000,000 / 0.06 = $833,333,333, but we must discount this number this terminal value applies to end of the current, not now: $833,333,333 / 1.06 = $786,163,552

the NPV of slashing prices = $786,163,552 - $943,396,226 = -$157,232,674, so it is definitely a very bad idea.

3 0
2 years ago
Many manufacturers have quality control programs that include inspection of incoming materials for defects. Suppose a computer m
zimovet [89]

Answer:

Explanation:

There are total 5 batches and two boards are selected from each batch for inspection.

Let the boards are numbered from 1 to 5.

If the selected boards are 1 and 2, then it is represented in pair as (1, 2).

If the selected boards are 1 and 3, then it is represented in pair as (1, 3).

Similarly, other pairs can be obtained.

a) Let X be the number of defective boards observed among the two inspected.

If the boards 1 and 2 are the only defective boards in a lot of five, then

(1,2),x=2; (1,3),x=1; (1,4),x=1; (1,5),x=1;

(2,3),x=1; (2,4),x=1; (2,5),x=1;

(3,4),x=0;\ (3,5),x=0;\ (4,5),x=0.(3,4),x=0; (3,5),x=0; (4,5),x=0.

P(X=0)=  3/10 =0.3

P(X=1)={6 \over 10}=0.6P(X=1)=  6/10 =0.6

P(X=2)={1 \over 10}=0.1P(X=2)=  1/10 =0.1

b)

x                  0               1                    2

p(x)            0.3           0.6                0.1

​

​μ  X  =0⋅0.3+1⋅0.6+2⋅0.1=0.8

σ  X ² =(0−0.8)²  ⋅0.3+(1−0.8)²  ⋅0.6+(2−0.8)² ⋅0.1=0.36

μₓ=0.8, σX  =0.6

 

​

5 0
2 years ago
what is the present value of an annuity of $27 received at the beginning of each year for the next six years? The first payment
goldenfox [79]

Answer:

$129.35

Explanation:

Here is the full question :

What is the present value of an annuity of $27 received at the beginning of each year for the next six  years? The first payment will be received today, and the discount rate is 10%

Present value is the sum of discounted cash flows

Present value can be calculated using a financial calculator

Cash flow each year from year 0 to 5 = $27

I = 10%

PV = $129.35

To find the PV using a financial calculator:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. after inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.  

3. Press compute  

7 0
2 years ago
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