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2 years ago

Ajith running an internet cafe. Identify the economic activity mentioned here

Business

1 answer:

sergejj [24]2 years ago

7 0

Answer:

Ajith is essentially providing a service.

Explanation:

A service is an economic transaction in which the buyer obtains a benefit from the seller, but his benefit is not a good, like a product, or a machine.

Ajith provides a service to his customers: the use of a computer to connect to the internet for a specific period of time. The period of time is determined by the amount the customer pays: the higher the amount, the more time the customer is allowed to connect.

As can be seen, the customers do not obtain any product from the transaction, they simply get the right to connect to the internet, for that reason, it is a service what they are being provided with.

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Merchant Company purchased property for a building site. The costs associated with the property were: Purchase price $ 181,000 R

Elena-2011 [213]

Answer:

Any cost directly attributable to bring the asset into current location and condition necessary for it to be capable of operating it, in the manner intended by the management ( Para 15) 4.1.1. Clause b

According to this the cost must be allocated to the purchase of land.

There are three scenarios.

1) if the land with a building is purchased with the intention of demolishing an old building and building a new building then selling it all the costs would be assigned to the purchase of land.

2) if the land is purchased with the building on it and that building is used for a short time and then demolished then the building demolish charges would be expense out.

3)if the land with a building is purchased with the intention of demolishing an old building and building a new building then using it then two different costs accounts of land and building would be used. We would not demolish the old building without the new building being made so the demolish would be added in the incremental costs of the new building.

The given question is of the third scenario therefore

Costs of Land = $ 181,000 + $ 15,600 + $ 1400 + 2600= $ 200,600

Incremental Cost of new building = $ 1600

3 0

2 years ago

The manager at the Overton Hotel in Lubbock believes that the success of the Texas Tech Red Raider Basketball team has an impact

deff fn [24]

Answer: 99.51%

Explanation:

This is a linear regression problem.

The relationship between the success of the team and the occupancy rate is in the form:

y = mx + c

y = occupancy rate

m = slope

x = number of games

c = slope

Intercept is supposed to be negative in question:

= 0.0474 * 31 + (-0.4743)

= 99.51%

Options are most probably for a variant of this question.

4 0

1 year ago

Four investors bought a real estate asset together and decided to divide the profits equally. Investor A invested $200,000; inve

Charra [1.4K]

Answer:

$150,000

Explanation:

If four investors bought a real estate asset together and decided to divide the profits equally.

Investor A invested $200,000;

investor B invested $500,000;

investor C invested $800,000;

investor D invested $500,000. If the net profit for the first year was $1,000,000, investor A receives $150,000 more than if the profits were divided in proportion to how much they invested.

If the profits were divided according to investment percentage he would have gotten 200,000 / (200,000 +500,000 + 800,000+500,000) x $1m = $100,000.

However if profits are shared equally he receives $1m / 4 investors = $250,000.

Therefore $250,000 - $100,000 = $150,000

4 0

2 years ago

You expect KT industries (KTI) will have earnings per share of $4 this year and expect that they will pay out $1.75 of these ear

melisa1 [442]

The value of a share of KTI's stock today is closest to 9.5% , 0.004375 .

Explanation:

Investment Investment (ROI) is an investment performance metric used to evaluate or compare the success of a variety of investment operations.

In addition to the spending price, ROI aims to explicitly calculate the make value of a single project.

g = retention rate

ROI = 0.75*13% = 9.5%,

Price = 1.75/(0.10-0.0975) = 0.004375

5 0

2 years ago

Which of the following statements is FALSE? The risk premium of a security is determined by its systematic risk and does not dep

trasher [3.6K]

Answer: Under the given option; the statement (d) is false. i.e. Fluctuations of a stock's returns that are due to firm-specific news are common risks.

Fluctuations of a stock's return that are due to market wide news are common risk. These tend to fluctuate with fluctuation in market wide news and several other variables.

Therefore, the statement Fluctuations of a stock's returns that are due to firm-specific news are common risks, is false.

The correct option to this question is (d)

3 0

2 years ago

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