Brett has almond orchards, but he is sick of almonds and prefers to eat walnuts instead. The owner of the walnut orchard next door has offered to swap this year's crop with him. Assume he produces 1,043 tons of almonds and his neighbor produces 767 tons of walnuts. If the market price of almonds is $101 per ton and the market price of walnuts is $112 per ton: a. Should he make the exchange? b. Does it matter whether he prefers almonds or walnuts? Why or why not? a. Should he make the exchange? The market value of the almond crop is $ . (Round to the nearest dollar.) The market value of the walnut crop is $. (Round to the nearest dollar.) So, should he make the exchange? V. (Select from the drop-down menu.) b. Does it matter whether he prefers almonds or walnuts? Why or why not? No. His preference is irrelevant to the value of the crops. Is the above statement true or false? (Select from the drop-down menu.)

Brett has almond orchards, but he is sick of almonds and prefers to eat walnuts instead. The owner of the walnut orchard next door has offered to swap this year's crop with him. Assume he produces 1,043 tons of almonds and his neighbor produces 767 tons of walnuts. If the market price of almonds is $101 per ton and the market price of walnuts is $112 per ton: a. Should he make the exchange? b. Does it matter whether he prefers almonds or walnuts? Why or why not? a. Should he make the exchange? The market value of the almond crop is $ . (Round to the nearest dollar.) The market value of the walnut crop is $. (Round to the nearest dollar.) So, should he make the exchange? V. (Select from the drop-down menu.) b. Does it matter whether he prefers almonds or walnuts? Why or why not? No. His preference is irrelevant to the value of the crops. Is the above statement true or false? (Select from the drop-down menu.)

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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For each of the following scenarios, answer these two questions: 1. Ďoes the contract fall under the provisions of the Australian Consumer Law (ACL)? (Answer 'yes' or 'no') 2. With reference to the ACL, explain why you said yes or no. a) Peach purchases a large silver and glass display cabinet for $32,00 for her clothing and jewellery shop. b) Maddy buys a second-hand BMW from her professor, Zoe, for $10,000. c) A large furniture company pays $9,000 for precious walnut timber to build a cupboard. d) Brittany buys herself a brand-new Corvette for her 21st birthday for $120,000. e) Oliver makes the winning bid of $5,000 for a set of golf clubs at a traditional auction.
Suppose that Alex's benefit to the game is $128. Suppose further that Alex already bought a ticket (price of $80). Finally, suppose his non-refundable ticket has no resale value. Suppose that Alex's boss is considering paying a raise to Alex if he goes to work. Which of the following is true? (select all that apply) If Alex receives a $80 raise, then he will be indifferent between going to work and going to the game. If Alex does not get a raise, then he will definitely go to the game. If Alex receives a $60 raise, then he will NOT go to the game. I Alex receives a $100 raise then he will NOT go to the game.
Use the following information. When "trading up," it is preferable to sell your old house before buying your new house because that allows you to use the proceeds from selling your old house to buy your new house. When circumstances do not allow this, the homeowner can take out a bridge loan.Tina and Mike have sold their house, but they will not get the proceeds from the sale for an estimated 3 months. The owner of the house they want to buy will not hold the house that long. Tina and Mike have two choices: let their dream house go or take out a bridge loan. The bridge loan would be for $88,000, at 8.5% simple interest, due in 90 days. (Round your answers to the nearest cent.) (a) How big of a check would they have to write in 90 days?$ (b) How much interest would they pay for this loan?
Explain how to get these answers
Austin is going on holiday with his infant daughter and has a first class air ticket. He values being in first class instead of coach at $300. A CEO has the seat adjacent to him and is considering offering to pay Austin to move to one of the empty seats in coach. a. The CEO values quiet at $600. Can Austin and the CEO reach a mutually agreeable price for Austin to move to coach? b. If instead the CEO values quiet at $200, can Austin and the CEO reach a mutually agreeable price for Austin to move to coach?
Jessica is a professional consultant. She agrees to consulting services for Joe for $2,000. After she finishes, Joe does not have cash to pay Jessica, but he has an antique, collectible baseball card with a fair market value of $2,000 that he gives her to satisfy the payment. The baseball card cost Joe $500. How much should Jessica include in her gross income?
Allison has a golden goose that will lay an egg every year until forever. The first egg will be out next year, and each egg is worth $500. Allison's friend, Eric, offers a price to buy the golden goose from Allison today. The interest rate is 10%. From the cost-benefit analysis, under which of the following offers would Allison be willing to sell the goose to Eric? O A $4,500 OB. $5,500 OC. Allison would want to sell it to Eric with both $4,500 and $5.500. D. Allison wouldn't want to sell it anyway since the eggs would be laid out forever.
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Ben emailed Jennifer enquiring if she is willing to sell her upscale home in Manhattan to him for US$2 million. Ben is seeking to add additional real estate, to diversify his investment portfolio and is aware that Jennifer sits on a prime property in Manhattan. Ben further alluded in his email to Jennifer, that if she agrees, email to him the price she is willing to sell. Within twenty minutes, Jennifer emailed Ben, stating “The lowest price she is willing to accept for her home is US$3 million”. Ben responded immediately, stating that he agrees to purchase Jennifer’s home for US$3 million. He was of the opinion that even at US$3 million, it was still a good investment deal. The next day Ben’s attorney contacted Jennifer to arrange for the transfer of the property, which left Jennifer in shock. She pointed out to Ben’s attorney that she had no agreement with Ben to sell. Advised Jennifer on this matter.

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