You can buy a mountain bike on sale for only $562.97. What is the percent markdown if the original price was $659.50? (Round to the nearest whole percent.) O 14% O 15% O 17%
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- You are the owner of a large data-services firm and are deciding on the purchase of a new hardwarecooling system that you expect will yield $233,300 in cost-savings per year for the next 15 years. Theinstallation of this cooling system will cost $3,000,000. Additionally, O&M expenditures for the collingsystem are expected to be $2,120 per year. use excel to solve 1. At face value, does this system seem profitable? By how much?2. Assume that your company uses a discount rate of 6%.a. What is the Net Present Value (NPV) of this project?b. How does the NPV of this project change as you assume a higher or lower discountrate? Why?Recently, a 10-year contract between Boeing Commercial Airplane Group(BCAG) and Thyssen Inc.—a distributor of raw aluminum—expired. Thecontract, valued at $300 million when initially signed, stemmed from Boeing’s desire in the late 1990s to reduce production bottlenecks resultingfrom supply shortages. Declines in the demand for commercial aircraft duringthe past decade led some analysts to challenge BCAG’s wisdom in signingsuch a long-term contract. Do you share this view? Explain▼ Cash Flow Present Discounted Value Interest Rate is based on the notion that a dollar paid in the future is less valuable than a dollar paid today. Part 2 The present value of a loan in which $3000 is to be paid out a year from today with the interest rate equal to 3% is $enter your response here. (Round your response to the neareast two decimal place) Part 3 If a loan is paid after two years, and the amount $3000 is to be paid then with a corresponding 1% interest rate, the present value of the loan is $enter your response here. (Round your response to the neareast two decimal place)
- A share of stock currently costs $35. You can purchase either the shares, or options to buy the stock anytime this year at $38.50. These options cost $0.75 per. What price must the stock rise to this year to make the stock options equally profitable (meaning equal capital gain) to purchasing the stock? (Assume you exercise the options/sell the stock at this price.) What price must the stock rise to this year to make purchasing the stock options 6 times as profitable (meaning 6 times the capital gain) as purchasing the stock?Consider a long position of five July wheat contract. each of which covers 5,000 bushels. Assume that thee contract price is $2.00 and that each contract requires an initial margin deposit of $150 and a maintenance margin of $100. The total initial margin required for the 5-contract trade is $750. The maintenance margin for the account is $500. Compute the margin balance for this position after a 2 cent decrease in price on Day 1, a l-cent increase in price on Day 2, and a l-cent decrease in price on Day 3.An accounting professor is considering opening his own consulting firm. To do so, she will have to quit her current job, that pays $125,000 a year, and take over a building that she owns and currently rents to her friend for $15,000 a year. Additionally, she will have to withdraw $60,000 from her savings, that pays 2.5 percent per year. Her expenses at the firm have been estimated as follows: $80,000 for employee salaries, $6,000 for insurance, $5,000 for utilities, and $9,000 for supplies. She anticipates annual revenues of $250,000. Determine: The annual explicit costs The annual implicit costs The total annual opportunity costs The annual accounting profits The annual economic profit
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