What is the difference between fixed costs and variable costs?
What will be an ideal response?
Fixed cost is the sum of the expenses of the firm that are stable and do not change with the quantity of product that is produced and sold. Variable cost is the sum of expenses of the firm that vary directly with quantity of product that is produced and sold. See Figure 11-4.
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Write a user-defined function to calculate the required return on common stocks (kCS) using the H-Model as defined by (9-8) on page 264. The formula is:
1. The function should be named HModelCostEquity, and will need to accept six arguments: the initial growth rate (g1), the period of time that dividends will grow at this initial rate (n), the dividend growth rate for the remainder of time (g2), the length of the transition phase (T), the last dividend payment (D0), and the price of the share of stock today (VCS).
2. Use the function to find the solution given the following data: the last dividend payment is $0.80; the initial growth rate is 6% during the first three years. This growth rate will decline to 3% and will become constant in year 6 (T = 3 years). The price of the stock is $12.75.
SCENARIO-BASED QUESTIONS Maximization Of Work Team Effectiveness ? Joseph was appointed captain of his office cricket team. In his first week as captain of the cricket team, Joseph noted that the team was not up to corporate standards. It has been a
while since they played together as a team, and the team lacked match practice. There was also a lot of fighting within the team. Andrew and Jack, the opening batsmen for the team, do not get along well with each other. This tension between the opening pair caused a lot of friction in the team. The team's morale was down and lacked motivation for the upcoming corporate tournament. However, Joseph knows what the team is capable of winning if they play together as a team. What should Joseph do to maximize the team's effectiveness?
The Mills Lunch Shop prepares fresh take-out entrees each day. On Tuesday, 40 baked chicken dinners were prepared at a cost of $3.20 each. A 20% spoilage rate is anticipated. Mills Lunch Shop sells the dinners at an 80% markup based on cost. They decided to offer a $1.00-off coupon in a newspaper advertisement. What markdown percentage does this coupon represent? (Round to the nearest tenth of a percent)
What will be an ideal response?
Consider the Demand for Microwave Ovens dataset. What is the total demand corresponding to random numbers 71, 74, 75, 95, 51, and 57?
a. 20
b. 21
c. 16
d. 18