What rate of return did mrs whitney receive on investment

Assignment Help Econometrics
Reference no: EM13202447

In 1990 Mrs. John Hay Whitney sold her painting for $71 million. The buyer also had to pay the auction house commission of 10%, or a total of $78.1 million. The Whitney family had purchased the painting in 1929 for $165,000.

(a) What rate of return did Mrs. Whitney receive on the investment?

Reference no: EM13202447

Questions Cloud

Compute marginal revenue for each unit between nine prices : The kinked-demand schedule that an oligopolist believes confronts the firm is given in the table below. Compute the oligopolist's total revenue at each of the nine prices, and enter these figures in the table. Compute marginal revenue for each uni..
Compute the marginal revenue of each unit of output : Assume that the short run cost and demand data given in the table below confront a monopolistic competitor selling a given product and engaged in a given amount of product promotion. Compute the marginal cost and marginal revenue of each unit of o..
What two conclusions can be drawn about collusion : Consider the following payoff matrix in which the numbers indicate the profit in millions of dollars for a duopoly based either on a high-price or a low-price strategy.  Firm A High-price Low-price What will be the result when Firm A chooses a low-..
What is the variability in q is explained by the equation : Obtain a linear function for demand in the form Q = A +bP using linear regression formulae (contained in the book/appendix)from these five price/quantity points: P= 20, 17, 15, 10, 8 Q = 2, 12, 16, 20, 30 What % of the variability in Q is explained b..
What rate of return did mrs whitney receive on investment : In 1990 Mrs. John Hay Whitney sold her painting for $71 million. The buyer also had to pay the auction house commission of 10%, or a total of $78.1 million. The Whitney family had purchased the painting in 1929 for $165,000.
Determine the economy of installing the new machines : Jennifer contemplates installing certain new machines that will reduce the labor time required on certain operations. These will increase the connected load by 10hp, but since they will operate only on certain special jobs, will add only 100 kWh p..
Calculate a detailed company cash budget : Calculate a detailed company cash budget for the forthcoming year. Summarize the sources and uses of cash, and identify the external financing needs for the forthcoming two year
Wjhat would affect the equilibrium real wage : Explain how each of the following would affect the equilibrium real wage, and equilibrium level of employment. a. A relaxation of immigration laws which leads to a large increase in the number of immigrants entering the country.
Why private sector customer demand reduces sales : Computer Products Corp. sells peripheral equipment used by both private businesses and the government. Due to a recession, Computer Product's sales have declined by 100,000 units and it now has 200,000 units of excess capacity.

Reviews

Write a Review

Econometrics Questions & Answers

  What is his income elasticity of demand for pizzas

Whenever the price of any of the goods increase, Richard gives a call to his rich uncle who immediately transfers funds to him so that Richard's utility remains constant. Assume the price of burritos increased by 20%, and even after Richard is com..

  Describe what would happen to break-even point

a. If these products are sold in the ratio of 4A for 3B, what is the break-even point b. If the product mix has changed to 5A for 5B, what would happen to break-even point c. In order to maximize the profit, which product mix should be pushed

  What is a uniform quarterly series anyway

Determine the uniform quarterly series in quarters 0 through 12 of a cash inflow of $5,000 in quarter 1; $10,000 in quarters 2 to 5; and $12,000 in quarters 6 - 12 with an interest rate of 15 %.

  Can they produce any linear combinations

two people live alone in isolated regions, have the same resources, grow potaotes and chickens, if one devotes resources to growing potatoes they raise 200 lbs a year. if they grow chickens they raise 50 a year. if they apportions some resourcs to ..

  Find nominal gdp price index

The following table shows nominal GDP and an appropriate price index for a group of selected years. Compute real GDP, and indicate in each calculation whether you are inflating or deflating the nominal GDP data.

  What is the depletion allowance for years

American Pulp Corp (APC) has entered into a contract to harvest timber for $450,000. The total estimated available harvest is 150 million board-feet. What is the depletion allowance for years 1 to 3, if 42,45.

  What are the equilibrium price and quantity

What are the equilibrium price and quantity e. What happens to equilibrium price and quantity if other things remain the same as in part d but income increases to $52,000 f. What happens to equilibrium price and quantity if other things remain the ..

  What happens to relative utilization of labor in production

Say there is a bumper crops in births for some astrological reason, and the labor force increases 10% from 320 hours to 352 hours. Amend the diagram and use similar algebra to figure out what happens again.

  Does londonland confomr to the one third rule

For 3 years there was no technological change in Londonland but capital per hour of labor increased from $10 to $20 to $30 and real GDP per hour of labor increased from $3.80 to $5.70 to $7.13. Then, in the 4th year, capital per hour of labor rema..

  Find the present worth of a simple maufracturing

Find the present worth (present cost) of a simple maufracturing project where the initial investment is $413,000 and the cost of operation is $32,300 per year, inceasing by $4,000 per year (arithmetic gradient) beginning at the end of the third ye..

  What is the present value of the total consumption available

Seth could consume $120 next year if he saved all his current earnings. He expects to earn nothing next year. The intertemporal budget constraint for Seth is given by the equation C2 = 120 - 1.2C1 where C1 = possible consumption in year 1 and C2 =..

  Illustrate the payment amounts and schedule for the loan

J&J Cattle has purchased a quarter section of land for $160,000. They make a down payment of $20,000, and the remainder of the purchase price ($140,000) is financed at 12 percent compounded quarterly with quarterly payments over 2 years.

Free Assignment Quote

Assured A++ Grade

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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd