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1. A firm can sell its good in the US, where the elasticity of demand is 10.51 ,

1. A firm can sell its good in the US, where the elasticity of demand is 10.51 , and in South Korea, where the elasticity of demand is 141 . How should the firm alter its pricing …

1. A firm decides to bundle products A and B with the following inverse demand c

1. A firm decides to bundle products A and B with the following inverse demand curves: PA = 1000 – 20A + 3B PB = 500 – 5B + A The firm’s joint fixed cost is $10000 and marginal co…

1. A firm estimates its cubic production function of the following form: Q = AL^

1. A firm estimates its cubic production function of the following form: Q = AL^3 + BL^2 and obtains the following results: (See chart in attached image) a. The equations for tota…

1. A firm had Net Income of $1,000,000 and a payout ratio of 40%. If they are 70

1. A firm had Net Income of $1,000,000 and a payout ratio of 40%. If they are 70% equity financed, how much can they spend on capital expenditures before needing external equity? …

1. A firm has $ 3 million market value and it sells preferred stock with a par v

1. A firm has $ 3 million market value and it sells preferred stock with a par value of $100. If the coupon rate on the preferred stock is 9% and the preferred stock trades at $85…

1. A firm has 12,000 shares of common stock outstanding with a book value of $20

1. A firm has 12,000 shares of common stock outstanding with a book value of $20 per share and a market value of $39. There are 5,000 shares of preferred stock with a book value o…

1. A firm has a common stock with a market price $55 per share and an expected d

1. A firm has a common stock with a market price $55 per share and an expected dividend of $2.81 per share at the end of the coming year. The dividends paid on the outstanding sto…

1. A firm has a monopoly on a new type of gaming console. The market demand is g

1. A firm has a monopoly on a new type of gaming console. The market demand is given by P=317.5-0.004*Q and thus marginal revenue is MR=317.5-0.008*Q. The monopolist's marginal co…

1. A firm has a proprietary technology and demand for the technology is given by

1. A firm has a proprietary technology and demand for the technology is given by Q 5-4P, where Qp is the quantity demanded for the licenses of the technology per year and P is the…

1. A firm has a stock price of $50 per share. The firm’s past 12 month earnings

1. A firm has a stock price of $50 per share. The firm’s past 12 month earnings per share is $2.5 and the firm's future earning is $5 per share. The firm has an ROE of 20% and a d…

1. A firm has an opportunity to invest in a project and earn 600,000 next year f

1. A firm has an opportunity to invest in a project and earn 600,000 next year from it. The future years are expected to see cash flow growing at inflation, which is best predicte…

1. A firm has common stock of $100, paid-in-surplus of $300, total liabilities o

1. A firm has common stock of $100, paid-in-surplus of $300, total liabilities of 390, current assets of $380, and fixed assets of $630. What is the amount of the shareholder equi…

1. A firm has four divisions: the beta for the laundry services division is 0.4,

1. A firm has four divisions: the beta for the laundry services division is 0.4, the beta for the custom irrigation division is 0.9, the beta for the clown rental division is 1.3,…

1. A firm has multiple divisions of similar nature, yet varying degrees of risk.

1. A firm has multiple divisions of similar nature, yet varying degrees of risk. To assign required rates of return in the simplest manner possible and yet address the differences…

1. A firm has sales of $1,080, net income of $212, net fixed assets of $516, and

1. A firm has sales of $1,080, net income of $212, net fixed assets of $516, and current assets of $272. The firm has $87 in inventory. What is the common-size statement value of …

1. A firm has the following breakup of gross fixed assets- Land Building Plant a

1. A firm has the following breakup of gross fixed assets- Land Building Plant and Equipment Total 50,000 350,000 700,000 1,100,000 All depreciable assets are depreciated using st…

1. A firm has the opportunity to invest in a project that is expected to pay an

1.          A firm has the opportunity to invest in a project that is expected to pay an end-of-year annual return of $1.5 million for each of the next twenty years after taxes an…

1. A firm has to make a decision whether to replace a machine or keep it for 7 m

1.     A firm has to make a decision whether to replace a machine or keep it for 7 more years. It has identified 5 alternatives: a.     Spend $44K on repairs now and charge it as …

1. A firm has undertaken a feasibility study to evaluate a project that has the

1. A firm has undertaken a feasibility study to evaluate a project that has the following estimated cashflows: -Amount borrowed to fund project is $200,000 with interest of 8% pa …

1. A firm has undertaken a feasibility study to evaluate a project that has the

1. A firm has undertaken a feasibility study to evaluate a project that has the following estimated cashflows: -Amount borrowed to fund project is $200,000 with interest of 8% pa …

1. A firm in a perfectly competitive market invents a new method of production t

1. A firm in a perfectly competitive market invents a new method of production that lowers its marginal costs. What happens to its output? What happens to the price it charges? a.…

1. A firm in a perfectly competitive market invents a new method of production t

1. A firm in a perfectly competitive market invents a new method of production that lowers its marginal costs. What happens to its output? What happens to the price it charges? a.…

1. A firm in an industry which is NOT perfectly competitve faces a demand curve

1. A firm in an industry which is NOT perfectly competitve faces a demand curve which is a. downward sloping b. unitary elastic c. perfectly elastic d. upward sloping 2. if most f…

1. A firm is considering 2 options: A B First cost 10.7K 5.5K Annual benefits 2.

1. A firm is considering 2 options:                                           A                      B First cost                             10.7K            5.5K Annual benefits…

1. A firm is considering a project requiring an investment of $30,000. The proje

1. A firm is considering a project requiring an investment of $30,000. The project would generate an annual cash flow of $7,251 for the next six years. The company uses the straig…

1. A firm is considering changing their credit terms. It is estimated that this

1. A firm is considering changing their credit terms. It is estimated that this change would result in sales increasing by $1,800,000.This in turn would cause inventory to increas…

1. A firm is considering renewing its equipment to meet increased demand for its

1. A firm is considering renewing its equipment to meet increased demand for its product. The cost of equipment modifications is $1.9 million plus $100,000 in installation costs. …

1. A firm is considering several mutually exclusive investment opportunities. Th

1. A firm is considering several mutually exclusive investment opportunities. The best way to choose between them is which of the following? net present value (NPV) profitability …

1. A firm is considering the decision of investing in new plants. The following

1. A firm is considering the decision of investing in new plants. The following is the profit payoff matrix under three conditions: it does not expand, it builds two new plants, o…

1. A firm is considering two mutually exclusive investments, each with an initia

1. A firm is considering two mutually exclusive investments, each with an initial outlay of $10,000 and an expected life of 3 years. Assume that the firm has a cost of capital of …

1. A firm is considering two projects, A and B, with the following probability d

1. A firm is considering two projects, A and B, with the following probability distributions for profit Profit ($1,000s) $ 20 40 60 80 100 Project A Probability (96) 10 15 50 15 1…

1. A firm issues its 10-year, 9%, $500,000 Par value bonds at a selling price of

1. A firm issues its 10-year, 9%, $500,000 Par value bonds at a selling price of 92 percentages. The company uses the straight-line method to amortize bond premiums and discounts.…

1. A firm manufactures a product that it sells for $100. It sells 1000 units per

1. A firm manufactures a product that it sells for $100. It sells 1000 units per week. What is its total revenue? It costs the firm $80 to produce a unit. With the given sales vol…

1. A firm operates in a perfectly competitive industry. Suppose it has a short r

1. A firm operates in a perfectly competitive industry. Suppose it has a short run total cost function given by TC=10000+0.04q^2. If the market price is 56. What is the firm's pro…

1. A firm operates two distribution centers, one in Phoenix and the other is Chi

1. A firm operates two distribution centers, one in Phoenix and the other is Chicago. A customer in College Station, TX needs solar panels produced by the firm. The cost to produc…

1. A firm operates two distribution centers, one in Phoenix and the other is Chi

1. A firm operates two distribution centers, one in Phoenix and the other is Chicago. A customer in College Station, TX needs solar panels produced by the firm. The cost to produc…

1. A firm produces two products X and Y. Product X requires 2 hour of labor , 1

1. A firm produces two products X and Y. Product X requires 2 hour of labor , 1 hour of machine and 1 unit of primary raw material. Product Y requires 1 hour of labor, 2 hours of …

1. A firm reported working capital of $5.5 million and fixed assets of $20 milli

1. A firm reported working capital of $5.5 million and fixed assets of $20 million. Its fixed asset turnover was 1.2 times. What was the firm's sales to working capital ratio? 5.1…

1. A firm starts production of a new product, and forecasts production and sales

1. A firm starts production of a new product, and forecasts production and sales during the time periods (t1,t2,t3)=(1,2,3). The demand during time period t is estimated to be equ…

1. A firm that is an oligopolist is thinking about lowering the price of the sta

1. A firm that is an oligopolist is thinking about lowering the price of the standardized product it produces. This firm's own demand function is elastic, but market demand is ine…

1. A firm that makes shopping shelfs for supermarkets and other stores recently

1. A firm that makes shopping shelfs for supermarkets and other stores recently purchased some new equipment that reduces the labour requirements (hours) of the jobs needed to pro…

1. A firm under the monopolistic competition market structure faces ____________

1. A firm under the monopolistic competition market structure faces ____________ demand curve and ___________ marginal revenue curve. 2.Note the special directions for this questi…

1. A firm wants to strengthen its financial position. Which of the following act

1.        A firm wants to strengthen its financial position. Which of the following actions would increase its quick ratio? a.        Issue new common stock and use the proceeds t…

1. A firm will have constant profits of $10,000 per year at the end of each year

1. A firm will have constant profits of $10,000 per year at the end of each year for the next two years and zero profits thereafter. If the interest rate is 6%, what is the value …

1. A firm will shut down if price is below A. must be between the shutdown point

1. A firm will shut down if price is below A. must be between the shutdown point and the break-even point B. above the break-even point C. below the shutdown point D. may be anywh…

1. A firm will take on more investment projects as: A. The rate of return on pro

1. A firm will take on more investment projects as:                                 A. The rate of return on projects falls. B. The marginal revenue product of capital decreases. …

1. A firm you are analyzing has had the following returns the past 5 years: 7.0%

1. A firm you are analyzing has had the following returns the past 5 years: 7.0%, 6.0%, -4.0%, 3.0% and 2.0 %. What are the standard deviation and variance of the past five year r…

1. A firm\'s demand for a resource (say land) is equal to: A. The MRP of land. B

1. A firm's demand for a resource (say land) is equal to: A. The MRP of land. B. The MPP of land C. Total Revenue. D. Total Output Is it A? A. Derived from the product/service tha…

1. A firm\'s in-house creative department develops marketing communications to h

1. A firm's in-house creative department develops marketing communications to highlight the firm's product. In this role, the creative department is considered the _______ of the …

1. A firm\'s independent auditors have the responsibility to: a. assess the firm

1. A firm's independent auditors have the responsibility to: a. assess the firm's accounting policies. b. ascertain the firm's profit potential. c. uncover all fraudulent activiti…