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2 years ago

Buyer Henry is going to accept seller Shannon's $282,500 counteroffer. When will this counteroffer become a contract.

Business

1 answer:

zhuklara [117]2 years ago

3 0

The counteroffer will become a contract C. When Henry signs the counteroffer.

Although Shannon is agreeing to the $282,500 and can't change that on her end after she has submitted it, Henry still has to accept it and sign for the counteroffer. For the counteroffer to be contractual they have to be signed because there may be other counter offers coming in that could take the place of Shannon's.

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A U.S. manufacturing company operating a subsidiary in an LDC (less-developed country) shows the following results: U.S. LDC Sal

Dmitrij [34]

Answer:

Part A:

Labur Productivity:

For US=5.14, LDC=1.35

Capital Productivity:

For US=1.72 LDC=4.31

Part B:(Multi factor productivity)

For US=1.29 LDC=1.03

Part C: (Raw material productivity)

For US=4.90 LDC=10.02

Explanation:

Part A:

Labur Productivity:

For US:

$Partial Labor Productivity=\frac{Sale(units)}{Labour(hours} \\Partial Labor Productivity=\frac{100505}{19550} \\Partial Labor Productivity=5.14$

For LDC:

$Partial Labor Productivity=\frac{Sale(units)}{Labour(hours} \\Partial Labor Productivity=\frac{19600}{14550} \\Partial Labor Productivity=1.35$

Capital Productivity:

For US:

$Capital Productivity=\frac{Sale(units)}{Capital Equipment} \\Capital Productivity=\frac{100505}{58600}\\Capital Productivity=1.72$

For LDC:

$Capital Productivity=\frac{Sale(units)}{Capital Equipment} \\Capital Productivity=\frac{19600}{4550}\\Capital Productivity=4.31$

Part B:

For US:

$Multifactor Productivity=\frac{Sales(units)}{labour(Hours) + Capital Equipment(hours)}\\ Multifactor Productivity=\frac{100505}{19550+58600} \\Multifactor Productivity=1.29$

For LDC:

$Multifactor Productivity=\frac{Sales(units)}{labour(Hours) + Capital Equipment(hours)}\\ Multifactor Productivity=\frac{19600}{14550+4550} \\Multifactor Productivity=1.03$

Part C:

For US:

$Raw material productivity=\frac{Sales(Hour)}{Raw Material} \\ Raw material productivity=\frac{100505}{20500} \\ Raw material productivity=4.90$

ForLDC:

Converting Raw material FC into $ (1$=10FC)

Raw Material =19550/10=$1955

$Raw material productivity=\frac{Sales(Hour)}{Raw Material} \\ Raw material productivity=\frac{19600}{1955} \\ Raw material productivity=10.02$

3 0

2 years ago

What is the present value of the future cash flows, if you also could earn $110,000 per year rent on the property? The rent is p

dem82 [27]

Answer:

a. The present value of the sales price is $1.657 million.

b. No. This is because an investment in the property will result in a negative net present value (NPV) of $0.443 million.

c-1. The present value of the future cash flows is $2.122 million.

c-2. Yes. Yes. This is because an investment in the property will result in a positive net present value (NPV) of $0.022 million.

Explanation:

Note: This question is not complete. The complete question is therefore presented before answering the question as follows:

You can buy property today for $2.1 million and sell it in 6 years for $3.1 million. (You earn no rental income on the property.)

a. If the interest rate is 11%, what is the present value of the sales price? (Do not round intermediate calculations. Enter your answer in millions rounded to 3 decimal places.)

b. Is the property investment attractive to you?

c-1. What is the present value of the future cash flows, if you also could earn $110,000 per year rent on the property? The rent is paid at the end of each year. (Do not round intermediate calculations. Enter your answer in millions rounded to 3 decimal places.)

c-2. Is the property investment attractive to you now?

The explanation to the answers is now provided as follows:

a. If the interest rate is 11%, what is the present value of the sales price? (Do not round intermediate calculations. Enter your answer in millions rounded to 3 decimal places.)

The present value of the sales price can be calculated using the simple present value formula as follows:

PV = FV / (1 + r)^n ……………………….. (1)

Where;

PV = Present value of the sales price = ?

FV = Future value or the sales price in 6 years = $3.1 million

r = interest rate = 11%, or 0.11

n = number of years = 6

Substitute the values into equation (1), we have:

PV = $3.1 / (1 + 0.11)^6

PV = $3.1 / 1.11^6

PV = $3.1 / 1.870414552161

PV = $1.65738659187525 million

Rounding to 3 decimal places, we have:

PV = $1.657 million

Therefore, the present value of the sales price is $1.657 million.

b. Is the property investment attractive to you?

No. This is because an investment in the property will result in a negative net present value (NPV) of $0.443 million.

The negative net present value (NPV) of $0.443 million is determined as follows:

NPV = Present value of the sales price - Acquisition cost = $1.657 million - $2.1 million = -$0.443 million

The present value of the future cash flows can be calculated using the following steps:

Step 1: Calculation of the present value of the $110,000 per year rent

Since the rent is paid at end of each year, this can be calculated using the formula for calculating the present value of an ordinary annuity as follows:

PVR = P * ((1 - (1 / (1 + r))^n) / r) …………………………………. (2)

Where;

PVR = Present value of yearly rent = ?

P = Annual rent =$110,000

r = interest rate = 11%, or 0.11

n = number of years = 6

Substitute the values into equation (2) to have:

PVR = $110,000 * ((1 - (1 / (1 + 0.11))^6) / 0.11)

PVR = $110,000 * 4.23053785373826

PVR = $465,359.163911209

Converting to million and rounded to 3 decimal places, we have:

PVR = $0.465 million

Step 2: Calculation of the present value of the future cash flows

Present value of future cash flows = Present value sales price + Present value of annual rent ……. (3)

Where;

Present value sales price = $1.657 million, as already calculate in part a above

Present value of annual rent = PVR = $0.465 million

Substituting the values into equation (3), we have:

Present value of future cash flows = $1.657 million + $0.465 million = $2.122 million

Therefore, the present value of the future cash flows is $2.122 million.

c-2. Is the property investment attractive to you now?

Yes. This is because an investment in the property will result in a positive net present value (NPV) of $0.022 million.

The positive net present value (NPV) of $0.022 million is determined as follows:

NPV = Present value of tof the future cash flows - Acquisition cost = $2.122 million - $2.1 million = 0.0219999999999998 million

Converting to million and rounded to 3 decimal places, we have:

NPV = $0.022 million

6 0

2 years ago

The sensitivity of bank profits to changes in interest rates can be measured more directly using ▼ duration analysis credit rati

Pavel [41]

Answer:

The correct answer is Gap Analysis.

Explanation:

The deficiency analysis is a strategic planning tool that will help you understand where you are, where you want to go and how to get there.

One of the first steps for the transition or implementation of your management system is to check your management system with respect to the requirements of the standard. This is what is commonly known as deficiency analysis, also known as pre-audit.

The deficiency analysis is carried out at the beginning of the certification process to verify compliance with the requirements of the standards to be implemented. Each standard has specific requirements that must be met and are detailed in several clauses. If your system does not meet these requirements, you must solve this problem in order to get certified.

8 0

2 years ago

Read 2 more answers

On May 31 of the current year, the assets and liabilities of Riser, Inc. are as follows: Cash $20,500; Accounts Receivable, $7,2

Svetradugi [14.3K]

Answer:

$31,100

Explanation:

On May 31 of the current year, the assets and liabilities of Riser, Inc. are as follows: Cash $20,500; Accounts Receivable, $7,250; Supplies, $650; Equipment, $12,000; Accounts Payable, $9,300.

Therefore the amount of stockholders’ equity as of May 31 of the current year can be derived by the formula : Capital = Assets - Liabilities

Assets

Cash $20,500;

Accounts Receivable, $7,250;

Supplies, $650;

Equipment, $12,000

TOTAL = 40,400

Liabilities

Accounts Payable, $9,300.

Therefore stockholders’ equity = 40,400 - 9,300 = $31,100

7 0

2 years ago

A) You have just moved into a new apartment and are trying to arrange your bedroom. You would like to move your dresser of weigh

notsponge [240]

Answer:

A. W = 0joule

B.W = d * w * cos (90 -ø)

Explanation:

work done is force multiplied by distance since the distance covered by the dresser is zero so automatically work done in moving the dresser is 0 (zero)

B. The component of weight of box along the inclined plane = w * cos ( 90 - ø )

Where ø is the angle of inclination to the horizontal

W = weight of body due to gravity.

Since the distance traveled by box due to gravity = d

So therefore:

W = d * w * cos (90 -ø)

W = work done

N.b

See attached sketch for comprehension

4 0

2 years ago