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A construction Company entered into a contract to build an apartment building. It is estimated that the building will cost $5,000,000 and will take 2 years to complete. The MARR(minimum acceptable rate of returns) is 8%. The land cost 10 million $. The annual maintenance fees will be 5% of the initial investement (construction+land) for the first year and after it will increases of 5% each year. After 15 years they will sell the building for $12,000,000. How much should they charge for one apartment each month, if we want the project to be profitable?
the government limits the amount of land that can be devoted to tobacco production. Are these two programs at odds with the goal of reducing cigarette consumption
Evaluate the relationship between the European Euro crisis in 2012 and the American economy. Assess how this affects American businesses and decisions made by mangers related to sustainable profitability
On March 31, 2008, Hawaii lost 15 percent of its air service as aloha airlines and the cheap-flight airline ATA suddenly shut down. Stranded travellers were offered flights to west coast cities $1000 one way. Under what conditions the $1000 fare woul..
Suppose the market for good X has a four-firm concentration ratio of 0.50. Furthermore, assume that total sales in the industry are $1.2 million. Based on this information, we know that sales for the largest four firms in the industry equal (in aggre..
what rate of interest would she need to obtain her goal. Are cash payments that companies make to shareholders. Are cash payments that companies make to shareholders.
The distribution of the weekly production is approximately normally distributed with a standard deviation of 60 units. If the bonus is paid on the upper 5 percent of production, the bonus will be paid on how many units or more.
The Euro zone fell into deflation in October (see Chart): prices fell by 0,2 % . Italy has experienced deflation for a few months. Unemployment in Italy is over 13% with youth unemployment 43.9% Contractionary policies in Italy have led to a fall in ..
A shareholders' group, in lodging a protest, claimed that the mean tenure for a chief executive office was at least nine years. A survey of companies reported in the Wall Street Journal found a sample mean tenure time of 7.27 years with a standard de..
Using production theory as a basis, is the CEO correct in his assumption that lazy workers or ineffective supervisors are to blame for the decline in productivity? What other explanations might be possible?
For the last several years, production, demand and prices have been stable. Last year the quantity of potatoes transacted in the United States was 450 million cwt (cwt is agriculture speak for 100 pounds), and prices were $8MM per million cwt. Econom..
If you are running a bake sale and increase the price of your cupcakes from 1$ to 2$ what will happen
Explain how does the price elasticity of demand for corn oil influence the quantity-demanded of corn oil and the Total Revenue earned by sellers of corn oil.
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