Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
You are considering the cash purchase of either a Lexus RX450h AWD Hybrid or a comparably equipped Lexus RX350 AWD. The RX450h has a manufactures suggested retail price (MSRP) of $44,825 while the conventional Lexus RX350 MSRP is $39,375. For simplicity, assume MSRP is the cash purchase price. The vehicle will be driven 1,000 miles per month and you hope to can sell either vehicle after 36 months for 70% of the purchase price (use the MSRP). Sales tax of 8.4% is paid at time zero and is based on the MSRP amount only. Beyond sales tax, youwill also have to pay a $1,200 dealer prep fee for either vehicle, and vehicle license and registration fees at the county will total $1,000 for the RX450h and $900 for the RX350 (the registration fee is paid separately but part of the overall time zero cost). Assume the price of gas is $3.00 per gallon and this will remain uniform over the next 36 months. Treat the miles, price per gallon and all other parameters as end of period values. The RX450h is expected to get an average 29 miles per gallon while the conventional RX350 is expected to get 20 miles per gallon. A simple average for mileage was considered assuming equivalent combined city and highway use and rounded up for further convenience. Maintenance and insurance will be about the same for the two vehicles since they are both under warranty over the required service period, so neglect these expenses. Your minimum rate of return is a nominal 12% compounded monthly. Assume that currently there are no tax credits available for the Lexus RX450h, please consider the following:A) Lay out time diagrams reflecting the before-tax cash flows for the 36-month service life for each vehicle.B) Determine which vehicle is economically preferred using a present worth cost analysis.C) Calculate the price per gallon that would cause you to be economically indifferent between the two vehicles assuming other opportunities exist at 12% per year, compounded monthly.D) Make a valid incremental NPV analysis of the proposed savings associated with the Hybrid.
Today you have a savings account of $15 620. Based on an annual interest rate of 4.2%, what equal amount can you withdraw from the account at the end of each month for three years and leave $4 000 in the account
Market demand is given as QD = 200 - 3P. Market supply is given as QS = 2P + 100. Each identical firm has MC = 0.5Q andATC = 0.25Q. 1.) What quantity of output will a typical firm produce 2.) What is a firm's average total cost 3.) What is each firm..
Calculate your total tax liability under the 2013 federal income tax structure, assuming your income is $75,000. Assume you are single and using the personal exemption of $3,900 and the standard deduction of $6,100. Calculate your effectiv..
you are a manager of a monopoly firm, and your demand and cost functions are given by: P=288-2Q and C(Q)=1000+2Q2, respectively. A) What price quantity combination maximizes your firm's profit B) Find the monopolist profit
A consumer of two goods faces positive prices for both goods and has positive income. Her preferences over consumption of good 1 and good 2 are represented by the following utility function: u(x1; x2) = min {2x1 + x2; x1 + 2x2}
If the t ratio for the slope of a simple linear regression equation is equal to 1.614 and the critical values of the t distribution at the 1% and 5% levels of significance, respectively are 3.499 and 2.365, then what is the slope
Suppose the government imposes the following kind of sales tax: there is no tax for selling the first 35 units, but for selling every uinit beyond the thirty-fifth unit, the seller has to pay the government an additional $12. What is the new optim..
The presence of autocorrelation leads to all of the following undesirable consequences in the regression results except:
Consider an individual with preferences over consumption c and leisure l given by: u(c,l) = [(c^(1-γ ))/(1-γ)] + al where γ > 0 and a > 0 are constants. She is endowed with h hours of time to divide between working at wage w and leisure. She has no..
What is the cost of producing q output in the short-run? d. What is the marginal cost of producing a 301s unit? A 401st unit? If you are comfortable doing so, you may answer this question by writing down the marginal cost function directly, rather..
Vincent van Gogh can produce paintings at constant marginal cost cV V G = 1. The population of buyers of VVG paintings is grouped into two categories: Serious Art Collectors (SAC) and Casual Art Collectors (CAC). The SAC to CAC population ratio is..
suppose that there are 70 firms in operating in the industry. using the MC curve, find out how much output in total is delivered to the market at each price (you only need to consider prices equal to the MC values above). now assume that the marke..
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd