The owners if a small manufacturing concern have hired a vice president to tun the company with the expectation that eh will buy the company after five years. Compensation of the new vice president is a flat salary pus 75% of the first 150,000 profit , and then 10% of profit over $150,000. Ourchse price for the company is set at 4.5 times earnings (profit), computed as a average annual profitability over the next fie years. A. Plot the annual compensation ofhte vice president as a function of annual profit.  B Assume the company will be worth $10 million in five years. Plot the profit of buying the company as a function of annual profit.

Q: The maintenance cost of a certain machine is zero the f by $200 per year for each year thereafter.…

A: We have given the first cost of the machine P=$2000 Salvage value is zero at any time  F=0 for all n…

Q: 2-30 Bismarck Manufacturing intends to increase capac- ity through the addition of new equipment.…

A: The Break Even Point is the production level where total revenues equal total expenses. At that…

Q: Suppose that instead Einar short sells 200 shares of German Power Weak Inc. at $40 each. NASDUCK now…

A: Margin Requirement:A margin requirement is the amount of cash or securities that an investor must…

Q: A family is considering installing a household solar energy system. The system has an installed cost…

A: IRR is the discount rate that makes the NPV of a project equal to zero. A project is considered to…

Q: Assume that you are considering to buy a Toyota Corolla automoble. You need to select one of the…

A: Given:                             Diesel                        Gasoline…

Q: Define the negative cash flow?

A: During a specific time, the business makes more expenses than its actual earning is known as the…

Q: PLABOR МIC $7.00 -S $5.25 $4.50 MVP QLABOR 1000 1500

A: Monopolist equilibrium is found at the intersection marginal input cost curve and Marginal value…

Q: Holloman Hops has budgeted $300,000 per year to pay for labor over the next 5 years. If the company…

A:

Q: None

A:

Q: When MC rises, the value of AVC will also rise.  True / False

A: Marginal cost refers to the additional cost of producing the extra unit of output, while average…

Q: Only typed solution

A: The objective of the question is to derive the steady state capital per worker (k) from the given…

Q: Use the values in the table below to answer the following questions. TC ATC MC 1 29.89 29.89 6 -(…

A: Total cost is calculated from summation of fixed cost and variable cost. It is also calculate by…

Q: The All-State Mutual Fund has the following 5-year record of performance:. Find this no-load fund's…

A: Given, year201420152016201720182019Beginning NAV $( 10.00)Dividends $ 0.60 $ 0.75 $   0.85 $…

Q: Р МС $4.00 ATC $3.00 D $2.50 $2.00 MR 3,000 3,500 4,000

A: The demand curve will intersect the price axis at the maximum price possible and the quantity at…

Q: Fill in the missing values: QP TC TB Tprofit MC MB Mprofit ATC AFC AVC 16 500-50 ΝΑ ΝΑ ΝΑ ΝΑ ΝΑ ΝΑ…

A: Fixed cost is the cost that incur even in zero level of production.  Total cost is the sum of Fixed…

Q: A department has a planned stock turnover of 4 and planned sales of $160,000.00 for a six month…

A: Planned Beginning of Month (BOM) stock refers to the anticipated quantity of inventory a company…

Q: 1. Using the Standard Select Life Table at 5% per year interest, calculate the standard deviation of…

A: * SOLUTION :-    (1)

Q: Steel drums manufacturer incurs a yearly operating cost of P 200,000. Each drum manufactured cost P…

A: given that, operating cost = P 200,000 the first cost = P 20,000   salvage value = P 2,000   Each…