The answer in this question is $4,000. The solution to get the $4,000 answer is $80,000 – [($80,000 – $8,000) ÷ 9 × 5] = $40,000 (BV)
$44,000 – $40,000 = $4,000 (gain)
We have a $4,000 gain to be recognized at the time of the sale.

5 0

2 years ago

Suppose Congress passes legislation that offers subsidies to orange farmers. The impact on the market for orange juice will be a

Dmitrij [34]

Answer:

<u>the supply curve</u>

Explanation:

Remember the supply curve shows the relationship between the amount of a commodity that a producer (or orange farmer) is <em>willing </em>to offer and at a particular price at any given time.

Because of the subsidies to orange farmers we expect the price of orange to become lesser in the future. Therefore the rightward shift occurs in supply curve for oranges due to favorable changes such as the new legislation which may lead to:

Reduction in tax,
Reduction in cost of factor of production,
Expectation of fall in price in future,

3 0

2 years ago

You have purchased 1 million shares in a restaurant chain venture. At this zero-stage investment, your company’s assets are $110

Drupady [299]

Answer:

(a) 1,370,000 shares

(b) 42.19%

Explanation:

Given that,

Shares in a restaurant chain venture = 1,000,000 shares

Price of each share = $1.00

(a) To raise the additional $1,370,000:

Shares will you need to sell:

= Additional amount ÷ Price of each share

= $1,370,000 ÷ $1.00

= 1,370,000 shares

(b) No. of Shares After investment:

= Shares need to sell + Shares in a restaurant chain venture

= 1,370,000 + 1,000,000

= 2,370,000 shares

Therefore, the fraction of the firm will you own after the VC investment:

= (Shares in a restaurant chain venture ÷ No. of Shares After investment) × 100

= (1,000,000 ÷ 2,370,000) × 100

= 0.4219 × 100

= 42.19%

3 0

2 years ago

Question 1

s344n2d4d5 [400]

Probably D. Exotic Species

8 0

1 year ago

Read 2 more answers