Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Alla Aeroshoes is in the business of designing and manufacturing running shoes for long distance runners. They are considering a $500 million upgrade to their production line for the iPhone/iPad/iWatch connected shoe that has Bluetooth connectivity. The potential cash flow is estimated at net revenues of $460 million per year for four years. Recently, they were advised of potential patent infringement and to eliminate this problem they are considering buying a license. SohnCo will sell a license that is good for four years of exclusive use of the patent and associated intellectual property. Alla Aeroshoes uses a corporate MARR of 14% and their risk-free alternatives are 6%. The VP of Engineering at Alla Aeroshoes estimates market volatility in demand is 40%. The VP of Marketing estimates market volatility in demand at 35%.
1. Since the VPAc€?cs trust you, they asked you to figure out the most they should pay for a license from SohnCo.
2. Alla Aeroshoes is known to be liberal in ignoring intellectual property claims. Imagine they just go ahead with the project as stated above. (In other words, they decide not to pay for the license.) SohnCo aggressively protects their property and sues immediately. Sometime in year 3, (from the start of the effort) a court decision requires Alla Aeroshoes to reimburse SohnCo $375 million. They pay at the end of year 4. How does this strategy work for them? Are they better off licensing or being aggressive?
A new 10,000~square-meter warehouse next door to the Tyre Corporation is for sale for $450,000. The terms offered are $100,000 down with the balance being paid in 60 equal monthly payments based on 15% interest. It is estimated that the warehouse ..
a, If the prie of output is p>c, how much should a typicalfirm produce can there be a competitive equilibrium in this case b, If the price of output is p
Suppose the natural rate of unemployment in 2005 is 5% and the actual rate of unemployment is 9%. Use Okun's law to determine the size of the GDP gap in percentage-point terms. If the potential GDP is $500B in that year
Thereare large numbers of sports industries which are producingfootballs and they are competing with each other with respect toprice as well as quality. Suppose that the marginal cost ofproducing footballs is $20 per football
a city is spending $20 million on a new sewage system. The expected life of the system is 40 years, and it will have no market value at the end of its life. Operating and maintenance expenses for the system are projected to average $0.6 million pe..
what would be the interpretation of the estimated coefficient for mt6 - Test for a null hypothesis that coefficient for female in Model 2 is zero against an alternative hypothesis that it is negative, at 5% statistical significance.
In order to have money available for replacing their family vehicle, a couple planned to have $220,000 available in 10 years by investing. If they plan to increase their savings by 10% each year, how much must they invest in year 1 if they expect ..
Suppose a firm operates as a price taker in a perfectly competitive industry. The firm's TC function is given by TC = 10 +4Q +2Q2, so its Marginal Cost is MC = 4 +4Q. If the market price is P = $100, what is the maximum amount of profit
Suppose that the price elasticity for hip replacement surgeries is 0.2. Further suppose that hip replacement surgeries are originally not covered by health insurance and that at a price of $50,000 each, 10,000 such surgeries are demanded each year..
A particular segment of the medical device industry is dominated by a handful of firms. These firms have combined into an effective cartel. All firms in the cartel have the same cost structure with zero fixed costs and each has constant marginal c..
using the following national income accounting data compute a gdp b ndp and c ni. all figures are in billions.category
The following data are collected for a computer manufacturer company: Quantity Price per unit Total cost of production 0 $225,000 $200,000 1 225,000 250,000 2 175,000 275,000 3 150,000 325,000 4 125,000 400,000 5 90,000 500,000.
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd