To analyze the impact of a negative oil shock on the world price of oil, we'll first calculate the initial equilibrium price and quantity without the negative oil shock and ANWR oil production. Then we'll incorporate the negative oil shock and calculate the price increase both without and with ANWR production.
Initial Equilibrium:
Demand: Q = 117.50 - 0.47p
Supply: Q = 70.50 + 0.47p
Setting demand equal to supply:
117.50 - 0.47p = 70.50 + 0.47p
Simplifying the equation:
0.94p = 47
p = 50
So the initial equilibrium price is $50 per barrel.
Without ANWR Production:
With the negative oil shock of 4 million barrels per day, the supply curve shifts to the left. The new supply equation is:
Q = 70.50 + 0.47p - 4
Setting demand equal to the new supply:
117.50 - 0.47p = 70.50 + 0.47p - 4
Simplifying the equation:
0.94p = 52
p = 55.32
The price increases by $5.32 per barrel without ANWR production.
With ANWR Production:
Now let's incorporate ANWR production of 0.8 million barrels per day. The new supply equation is:
Q = 70.50 + 0.47p - 4 + 0.8
Setting demand equal to the new supply:
117.50 - 0.47p = 70.50 + 0.47p - 4 + 0.8
Simplifying the equation:
0.94p = 52.3
p = 55.64
The price increases by $5.64 per barrel with ANWR production.
To summarize:
Without ANWR production, the negative oil shock causes the price of oil to rise by $4.3 per barrel.
With ANWR production, the negative oil shock causes the price of oil to rise by $5.64 per barrel.
These calculations demonstrate the price impact of the negative oil shock under different scenarios, but it's important to note that actual price changes in the event of a war in the Persian Gulf can be influenced by various other factors and market dynamics.
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holding everything else constant, a decrease in the price of gps systems will result in
Holding everything else constant, a decrease in the price of GPS systems will result in an increase in the quantity of GPS systems demanded (option d).
This is because of the law of demand which states that as the price of a good decreases, the quantity demanded of that good will increase, ceteris paribus (all other things being equal). This is because consumers will be incentivized to purchase more of the good as it becomes relatively cheaper compared to other goods.
However, it is important to note that this decrease in price will not result in an increase in the demand for GPS systems. Demand refers to the willingness and ability of consumers to purchase a good at various prices, while quantity demanded refers to the amount of a good that consumers are willing and able to purchase at a specific price. A decrease in price leads to an increase in the quantity demanded, not a shift in demand.
Additionally, a decrease in the price of GPS systems is unlikely to result in a decrease in the supply of GPS systems. The law of supply states that as the price of a good increases, the quantity supplied of that good will increase, ceteris paribus. Therefore, a decrease in price is unlikely to decrease the supply of GPS systems.
The complete question is:
Holding everything else constant, a decrease in the price of GPS systems will result in:
a. a decrease in the quantity of GPS systems demanded
b. an increase in the demand for GPS systems
c. a decrease in the supply of GPS systems
d. an increase in the quantity of GPS systems demanded
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The current stock price for a company is $35 per share, and there are 8 million shares outstanding. The beta for this firms stock is 0.9, the risk-free rate is 4.2, and the expected market risk premium is 5.8%. This firm also has 270,000 bonds outstanding, which pay interest semiannually. These bonds have a coupon interest rate of 7%, 22 years to maturity, a face value of $1,000, and a current price of 1095.36. If the corporate tax rate is 31%, what is the Weighted Average Cost of Capital (WACC) for this firm? (Answer to the nearest hundredth of a percent, but do not use a percent sign).
1. The cost of equity (Ke) is 9.42%
2. YTM is 3.77% (approximately)
3. The Weighted Average Cost of Capital (WACC) for this firm is approximately 27.35% (without using a percent sign).
How did we get the values?Let's proceed to solve for the Weighted Average Cost of Capital (WACC) step by step.
1. Calculate the cost of equity (Ke):
Given:
Risk-Free Rate (Rf) = 4.2%
Beta (β) = 0.9
Market Risk Premium (Rm - Rf) = 5.8%
Ke = Rf + β × (Rm - Rf)
Ke = 4.2% + 0.9 × 5.8%
Ke = 4.2% + 5.22%
Ke = 9.42%
2. Calculate the cost of debt (Kd):
Given:
Semiannual Coupon Payment = $35
n = 22 years × 2 = 44 periods
Current Price = $1,095.36
Face Value = $1,000
Using an approximation method, we can find the yield to maturity (YTM). Solve the equation:
\(Current \: Price = Semi \: annual \: Coupon \: Payment × (1 - (1 + YTM/2)^(-n)) / (YTM/2) + Face \: Value / (1 + YTM/2)^n\)
\(1,095.36 = 35 * (1 - (1 + YTM/2)^(-44)) / (YTM/2) + 1,000 / (1 + YTM/2)^44\)
By solving the above equation, we find that YTM ≈ 3.77% (approximately)
3. Calculate the WACC:
Given:
Number of Shares Outstanding = 8,000,000
Number of Bonds Outstanding = 270,000
Tax Rate (Tc) = 31%
Equity = Current Stock Price * Number of Shares Outstanding
Equity = $35 × 8,000,000
Equity = $280,000,000
Debt = Current Bond Price × Number of Bonds Outstanding
Debt = $1,095.36 × 270,000
Debt = $296,131,200
WACC = (Equity / (Equity + Debt)) × Ke + (Debt / (Equity + Debt)) × (1 - Tc) × Kd
\(WACC = (280,000,000 / (280,000,000 + 296,131,200)) * 9.42\% + (296,131,200 / (280,000,000 + 296,131,200)) * (1 - 31\%) * 3.77\%\)
\(WACC = (280,000,000 / 576,131,200) * 9.42\% + (296,131,200 / 576,131,200) * (1 - 0.31) * 3.77\%\)
WACC = 0.4857 × 9.42% + 0.5143 × 0.69 × 3.77%
WACC = 0.0457 + 0.2278
WACC ≈ 0.2735
Therefore, the Weighted Average Cost of Capital (WACC) for this firm is approximately 27.35% (without using a percent sign).
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A large retail advertiser with more than 5,000 products wants to upsell to consumers who have purchased products on its website. The retailer needs to reach customers who viewed products on the website and did NOT purchase any product. The retailer wants to dynamically retarget this audience. Which objective should be selected when setting up this campaign & why?
Answer: Catalog sales
Explanation:
Based on the information given, the objective that should be selected when setting up this campaign is catalog sales.
Catalog sakes refers to the sales technique that is used by businesses whereby several items are grouped together together in the online store, and the consumers then buys directly online by using the information that were provided in the catalog.
This can be used to upsell to the consumers who have purchased products on its website.
People with a strong global mindset Question 18 options: can judge the competence of others by their national or ethnic origins. have a more parochial frame of reference about their business and its environment. are able to process and analyze large volumes of information in new and diverse situations. tend to rely on stereotypes to gain better knowledge about individuals.
Answer: are able to process and analyze large volumes of information in new and diverse situations
Explanation:
Global mindset includes refers to the openness, and the respect for the opinions and the practices of other people in other parts of the world.
It is the ability to be able to act across different cultures effectively. People that has a strong global mindset can process and analyze large volumes of information in new and diverse situations.
A big crowd is watching a football game. Suddenly, everyone jumps to their feet and starts cheering. The home team scored a touchdown. They are now in the lead. What is the stimulus in this scenario?
A) They are now in the lead.
B) The home team scored a touchdown.
C) A big crowd is watching the game.
D) Suddenly, everyone jumps to their feet and starts cheering.
B)
Explanation:
the definition of stimulus is something that causes a reaction so b is the only one that makes sense
what would be the best leadership strategy for a giver
Answer:
depends on the situation give me a strategy and ill give you why it would be the best
Electricity costs that were incurred by a company's production processes should be debited to:a) Utilities Expense.b) Accounts Payable.c) Cash.d) Manufacturing Overhead.e) Work-in-Process Inventory.
A company's manufacturing overhead account should be debited for electricity expenses that were spent during production processes. The correct answer is d.
The reason for this is that electricity costs incurred during a company's production processes are considered indirect costs of manufacturing, meaning they are not directly traceable to a specific product or service. Therefore, they are allocated to the Manufacturing Overhead account and then applied to the various products or services the company produces.
The manufacturing overhead account is a holding account for the real overhead expenses paid (debits) and applied to work-in-process (credits) that were really incurred. o As they are incurred, actual overhead expenses are recorded in the account. o As the jobs move through the production process, the applied overhead charges are deducted from the account.
Electricity costs incurred during production should be charged to a company's manufacturing overhead account. The correct option is d.
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9. Suppose the principal of a public school re-
quired all students to recite a prayer at the start
of each school day. What level of government
(federal, state, or local) would most likely deter-
mine whether or not the principal's action was
constitutional?
Answer: Federal government
Explanation:
Based on the scenario in the question, the federal government would most likely determine whether or not the principal's action was constitutional.
This is a national issue and shouldn't be left in the hands of the local or state government. It should be noted that in 1962, school sponsored prayer in the public schools was banned by the United States Supreme Court, on the basis that the First Amendment was being violated.
The court later ruled that students can meet and then pray on their respective school grounds so far it's done privately and no one is forced.
Hence, the federal government would most likely determine whether or not the principal's action was constitutional.
what is the main difference between a vertical hierarchy of authority and a horizontal specialization?
Answer: Vertical hierarchy shows who reports to whom and horizontal specialization shows the different jobs
Who reports to whom is shown vertically, while the various occupations are shown horizontally.
1) Horizontal differentiation
the distance between units that separates them horizontally (members and tasks)
2)Vertical differentiation
or how deep the organizational structure is, is
3) Authority and accountability:
Line authority: oversee a subordinate's job
Vertical Businesses
Traditional businesses are often vertical organizations with a clear hierarchy of leadership. Middle managers and department heads are impacted by them. Middle managers then delegate work to staff members within their departments. A task is given back up the hierarchy once an employee completes it, where it remains until a management with appropriate power accepts (or rejects) the job. The accepted work is subsequently transferred to other departments of the company for production or further testing after leaving the original department.
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Emily wants to find out how to use her savings to make more money. She goes online and finds a great Web site about
doubling your money every day. This information is
reliable and relevant
unreliable and relevant
reliable but Irrelevant
unreliable and irrelevant
Answer:
When Emily wants to find out how to use her savings to make more money. She goes online and finds a great Web site about doubling your money every day.
Unreliable and relevant
Explanation:
The reasons behind this answer are that at the first pace is relevant because she was looking for a place to use her savings to make more money. However, this is not a very reliable source of information because it is a random website and has no way to verify the authenticity and security of the operations that she could potentially make on it.
Unreliable and relevant
Explanation:
First off it is Very Unreliable because you cant just double your money, that money will NEED to be earned by work which takes time, This is relevant because it seems like a relevant idea to people to just double money but just because this is relevant does not make it Reliable, therefore making this Answer "Unreliable and relevant."
Suppose a tax of $0.10 per unit on a good creates a deadweight loss of $100. If the tax is increased to $0.25 per unit, the deadweight loss from the new tax would be Group of answer choices $200. $250. $475. $625.
The deadweight loss from the new tax would be $200.
To determine the deadweight loss from the new tax, we need to understand how deadweight loss changes with changes in tax rates. Deadweight loss is generally affected by the elasticity of demand and supply for the taxed good. Without specific information about the demand and supply elasticities, we cannot determine the exact deadweight loss from the new tax rate. However, we can make an assumption that the deadweight loss increases as the tax rate increases. Given that the original tax rate of $0.10 per unit created a deadweight loss of $100, it is reasonable to expect that an increase in the tax rate to $0.25 per unit would lead to a higher deadweight loss.
Among the given answer choices, the closest option to a higher deadweight loss than $100 is $200. Therefore, the most appropriate choice would be: $200.
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________ is the set of techniques used for implementing planned change to make people and organizations more effective.
Organizational development is the set of techniques used for implementing planned change to make people and organizations more effective.
What is Organizational Development?
The purpose of organization development is to transform the performance and/or culture of an organization by the study and use of practices, methods, and procedures that effect organizational change. The group's stakeholders often start the organizational reforms.
In conclusion, an objective-based process used to start a change of systems in an entity is known as organizational development. Organizational development is accomplished by altering the supporting structure or communication mechanisms.
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Cullumber Company is considering purchasing new equipment for $600,300. It is expected that the equipment will produce net annual cash flows of $69,000 over its 10-year useful life. Annual depreciation will be $60,030. Compute the cash payback period. (Round answer to 1 decimal place, e.g. 10.5.) Cash payback period enter the cash payback period in years rounded to 1 decimal place years
The cash payback period is 8.7 years.
Given,
Cullumber Company is thinking about spending $60,300 on new equipment.
Over the course of its 10-year useful life, new equipment will provide net yearly cash flows of $69,000.
Depreciation will cost $60,030 per year.
The payback period is the length of time needed for a project's cash inflows to exceed its initial cash outflow.
A project that delivers a quick return is less dangerous than one that generates the same return over a longer period of time, hence this formula is helpful for risk reduction analysis.
Using the payback period formula we get,
Cash payback period = Cost of new equipment / Annual cash flows
Since, depreciation is not a cash outflow or inflow it will not be considered.
Therefore, Cash payback period = $600,300 / $69,000
= 8.7 years
Hence, the cash payback period is 8.7 years.
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(3). Suppose that the demand function for a producer's product is D(q)=15−4q (a) Find the total revenue function R(q) (b) What is the marginal revenue function?
(a) The total revenue function R(q) can be found by multiplying the quantity (q) sold with the price per unit. In this case, the price per unit is determined by the demand function, which is given as D(q) = 15 - 4q.
Therefore, the total revenue function R(q) is R(q) = q * D(q) = q * (15 - 4q).
(b) The marginal revenue function represents the change in total revenue resulting from a one-unit increase in quantity sold. To find the marginal revenue function, we need to calculate the derivative of the total revenue function with respect to quantity (q). Taking the derivative of R(q) = q * (15 - 4q) with respect to q, we get the marginal revenue function MR(q) = 15 - 8q.
(a) To find the total revenue function, we multiply the quantity sold (q) with the price per unit. Here, the price per unit is determined by the demand function, which is given as D(q) = 15 - 4q. Therefore, the total revenue function R(q) is obtained by multiplying q with D(q). Thus, R(q) = q * D(q) = q * (15 - 4q).
(b) The marginal revenue function represents the change in total revenue resulting from a one-unit increase in quantity sold. It is found by taking the derivative of the total revenue function with respect to quantity (q). In this case, we differentiate R(q) = q * (15 - 4q) with respect to q to find the marginal revenue function MR(q). The derivative of q is 1, and the derivative of 15 - 4q with respect to q is -4. Combining these results, we obtain the marginal revenue function MR(q) = 15 - 8q.
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Jones Company's inventory cost is $100. The expected sales price is $110, estimated selling costs are $12. Consistent with the lower of cost and net realizable value approach, this inventory item should be valued at:__________
a) $110.
b) $88.
c) $98.
d) $100
Answer:
I think A but ion kno thats prolly wrong-
Explanation:
If a business decides to act outside of the prevailing ethical norms of that community.
The area of ethics that Ingrid's opinions reflect is normative ethics. if a business chooses to conduct itself unethically in the view of the public.
What is Normative ethics?A subfield of moral philosophy called normative ethics seeks to define what is morally right and wrong. It comprises the formulation of moral principles that directly affect how individuals ought to behave in private, public, and institutional contexts. It is sometimes compared with theoretical ethics, or the foundational level, which concentrates on the structure rather than the substance of ethical theories and moral judgements, and with applied ethics, or the application of ethical theory to real-world circumstances.
Questions of moral action are examined by the normative ethics subfield of philosophical ethics. It is the research of moral behavior.
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The rule of law is important because it _______. In regard to governments, the rule of law _______.
BLANK 1:
protects citizens from crime and justice
helps reduce the number of Supreme Court cases
ensures that an innocent person is not accused of a crime
BLANK 2:
applies to them in only certain cases
applys to them equally
does not apply to them
The table shows a point-based grading system.
A 3 column table with 12 rows. Column 1 is labeled Letter grade with entries A plus, A, A minus, B plus, B, B minus, C plus, C, C minus, D plus, D, E/F. Column 2 is labeled Percent grade with entries 97 to 100, 93 to 96, 90 to 92, 87 to 89, 83 to 86, 80 to 82, 77 to 79, 73 to 76, 70 to 72, 67 to 69, 65 to 66, below 65. Column 3 is labeled 4.0 Scale with entries 4, 4, 3.7, 3.3, 3, 2.7, 2.3, 2, 1.7, 1.3, 1, 0.
Jennifer wants to figure out her grade point average for this semester. She received a B in English, a C- in math, and an A in social studies.
Based on the table, what is Jennifer’s GPA?
1.9
2.9
3.0
4.0
Answer:
ITS 2.9
Explanation:
i did the test
Answer:
its A, 2.9
Explanation:
Does the Federal Reserve pay taxes?
Answer:
Federal Reserve banks are exempt from paying taxes at the federal, state and local levels, except on real estate holdings. This is because of rules on taxation set forth in Section 7(c) of the Federal Reserve Act.
Explanation:
A core belief is best described as
Core beliefs are solid convictions that a person has held through time and consistently that shape their worldview and sense of self.
What is a worldview example?The term "worldview" often relates to a perception of reality which offers a broad framework for how the world or the cosmos are put up. The worldviews of various belief systems, religions, ideologies, and even science itself might have different conceptions of the universe.
What is a contemporary worldview?prevailing worldviews. Modern thinkers place a strong emphasis on reason and science, and often challenge enforced beliefs from the past and (religious) traditions. They frequently question what they perceive to be orthodoxy or "group mentality" and are forceful. "Sapere aude" was the Enlightenment's catchphrase, according to the philosopher Kant.
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Why is creating a budget for an entire year useful?
A. Most bills are paid annually or only every few months and would be left off a weekly budget.
B. It can account for irregular expenses like new shoes, so the budget would be more accurate.
C. Salaries are paid annually, so the budget should match the timeframe of the paycheck.
D. Certain expenses are variable, so it is impossible to budget them with a shorter timeframe.
Answer:
B
Explanation:
It may be wrong since I was debating between B and C, but annually is yearly and there are only certain days when you want to buy new shoes or things like that.
it is useful because if you keep up with the amount you set up for yourself, you won't have to worry about being in trouble with your money expenses
How important is money
Answer:
very important
Explanation:
money is a global income source for everyone. we all have different types but it is all still money. now say one country got rid of money and had people pay for stuff using other things. if china did that lots of different countries wouldn't be able to get stuff from there unless they had so much of that product they could just give it up.
If the stock market declines persistently, what would you conclude is happening to the economy?
Stock Market
Answer:
Bad things.
Explanation:
People with shares will see a fall with their wealth, and if people are losing money on their shares, then they will be more hesitant to spend money; which can result in a fall in customer spending.
What does it mean when your order is on its way?.
The package has been being transported through the UPS network and will be delivered on the stated delivery date. A package could remain in such status until it is delivered.
Submit the USPS tracking information (found at the bottom of such a shipping label) inside the search bar, without any dashes as well as spaces. Select "Check Status." View each package's scan history as well as status information.
The shipping cycle would be an economic cycle which aids in determining the impacts of variations in supply as well as demand on transport costs as well as shipping assets, i.e. ships. The four stages are as follows: rock bottom (also referred as trough), recovery, peak, as well as, finally, collapse.
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An emergency fund should NOT be used for… repairing your laptop that you use for homework. a sudden health issue that needs care. a last minute school trip. fixing a blown tire on your car that you use to get to work.
An emergency fund should NOT be used for a last minute school trip. Option 3
What should the emergency fund be used for?An emergency fund is typically intended to cover unexpected and urgent expenses that could not have been anticipated or budgeted for in advance. It is important to use your emergency fund wisely and not to deplete it for non-essential expenses.
Based on that, it is generally not recommended to use your emergency fund for a last-minute school trip or repairing your laptop that you use for homework, as these expenses are not urgent or unexpected.
On the other hand, using your emergency fund to cover a sudden health issue that requires care or fixing a blown tire on your car that you use to get to work can be considered legitimate uses of the fund, as they are unforeseen and necessary expenses.
It is important to have a clear understanding of what constitutes an emergency and to use your emergency fund accordingly to ensure that it remains available to cover truly urgent and unforeseen expenses.
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Answer:
C. a last minute school trip
Explanation:
After a bank reconciliation has been completed these transactions are listed as ____ to the cash balance? ? need help taking A p e x quiz now!!! don't have time to be chasing a link!
A. Journal entries
B. Credits
C. Adjustments
D. debits
Answer:
A
Explanation:
After adjusting the balances as per the bank and as per the books, the adjusted amounts should be the same. If they are still not equal, you will have to repeat the process of reconciliation again.
Once the balances are equal, businesses need to prepare journal entries for the adjustments to the balance per books.
Answer:The answer is C
Explanation:
Just took the test
Market penetration pricing and market skimming pricing are typically used at which stage of a product’s life cycle?
A. introduction
B. growth
C. maturity
D. decline
E. ideation
Answer:
A. introduction
Which of the following is least likely to help you choose an academic major? A. your guidance counselor B. An intership C. An intrest invitory D. The measure your friend chooses
The following has the lowest likelihood of assisting you in selecting an academic major is your friend's choice of action. Therefore, choice (D) is the appropriate one.
The academic major to which a first-year student formally commits is called their major. An undergraduate degree is awarded to students who successfully complete all of the major-required courses. When referring to the academic field undertaken by a graduate student or postgraduate student in a master's or doctorate assisting program, the term major (also known as concentration, particularly at private colleges) is occasionally used administratively.
Completing a mix of mandatory and optional courses in the subject of choice is often necessary to declare a major. From program to program, a student's freedom to select courses varies.
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Answer:
D. The major your friend chooses
Explanation:
Etsy Shop: Eclipseshoppee
I FOUND THIS STORE ON ETSY AND IT IS SOOOO AMAZING!!! PLEASE GO CHECK IT OUT FOR YOUR OWN SAKE!!
world bank records indicate that in 2010, the total fertility rate in puerto rico was 1.6 and population size was 4,000,000. if the crude net migration rate was -1.0, then the best estimate of the population in 2012 is
The population in 2012 would be 3,960,000. The crude net migration rate is the number of people leaving the country per 1,000 people. This means that for every 1,000 people in Puerto Rico in 2010, 10 people left the country.
What is population?
A population is the entire set of individuals, if that group is a nation or a group of people who share a characteristic. A population in statistics is the group of people from whom a statistical sample is drawn for a study. As a result, any group of people who share a characteristic can be called a population. A sample can also refer to a statistically meaningful subset of a population, rather than the entire population. As a result, a statistical analysis of a sample must document the estimated standard deviation, or standard deviation, of its overall population results. Only a population-wide analysis had no standard error.
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