At bargain electronics, it costs $33 per unit ($18 variable and $15 fixed) to make an mp3 player at full capacity that normally sells for $42. a foreign wholesaler offers to buy 4,260 units at $29 each. bargain electronics will incur special shipping costs of $1 per unit. assuming that bargain electronics has excess operating capacity, indicate the net income (loss) bargain electronics would realize by accepting the special order.

reject
order

accept
order

net income
increase (decrease)

revenues

$

$

costs-manufacturing

shipping

net income

$

the special order should be

reject or expect

Calculate the required rate of return for an asset that has a beta of 1.73, given a risk-free rate of 5.3% and a market return of 9.9%. b. if investors have become more risk-averse due to recent geopolitical events, and the market return rises to 12.7%, what is the required rate of return for the same asset?

True or false: banks are required to make electronically deposited funds available on the same day of the deposit

Suppose you win a small lottery and have the choice of two ways to be paid: you can accept the money in a lump sum or in a series of payments over time. if you pick the lump sum, you get $2,950 today. if you pick payments over time, you get three payments: $1,000 today, $1,000 1 year from today, and $1,000 2 years from today. 1) at an interest rate of 6% per year, the winner would be better off accepting the (lump sum / payments over time), since it has the greater present value. 2) at an interest rate of 9% per year, the winner would be better off accepting the (lump sum / payments over time), since it has the greater present value. 3) years after you win the lottery, a friend in another country calls to ask your advice. by wild coincidence, she has just won another lottery with the same payout schemes. she must make a quick decision about whether to collect her money under the lump sum or the payments over time. what is the best advice to give your friend? a) the lump sum is always better. b) the payments over time are always better. c) it will depend on the interest rate; advise her to get a calculator. d) none of these answers is good advice.