A firm that sells​ e-books - books in digital form downloadable from the Internet​ - sells all​ e-books relating to​ do-it-yourself topics​ (home plumbing,​ gardening, and so​ on) at the same price. At​ present, the company can earn a maximum annual profit of ​$40,000 when it sells 35,000 copies within a​ year's time. The firm incurs a 50​-cent expense each time a consumer downloads a​ copy, but the company must spend ​$100,000 per year developing new editions of the​ e-books. The company has determined that it would earn zero economic profits if price were equal to average total​ cost, and in this case it could sell 30,000 copies. Under marginal cost​ pricing, it could sell 110,000 copies. In the short​ run, to the nearest​ cent, what is the​ profit-maximizing price of​ e-books relating to​ do-it-yourself topics? ​$nothing. At the​ profit-maximizing quantity, to the nearest​ cent, what is the average total cost of producing​ e-books? ​$nothing.

Daniel owns 100 shares of abc corporation's common stock. abc uses the fair value option, and recent declines in the firm's credit rating have caused the value of the firm's outstanding bonds payable to drop by 10%. daniel feels this is good news, but he wants to know what you think about the situation. which of the following represents your best response? a : "this situation may be positive for you in that the change in abc's credit standing indicates that the value of the firm's assets is likely increasing. however, the drop in bond value may negate any positive effects on your bottom line, because it means your claim on the firm's assets is simultaneously decreasing." b : "actually, this is bad news all around. the drop in the value of abc's bonds payable means shareholders' claims on the firm's assets have decreased. moreover, abc's declining credit rating means that the firm's assets are probably also dropping in value, thus magnifying your losses even more." c : "on the surface, this seems like good news because it means your claim on the firm's assets has increased. however, the drop in creditworthiness may also indicate that abc's assets are declining in value, thus offsetting any gains associated with the drop in bonds payable." d : "you're right! this is good news because it means that abc's debtholders have a decreased claim on the firm's assets. as a result, the firm's existing shareholders"like you"have seen their claim on the firm's assets increase."

Synovec co. is growing quickly. dividends are expected to grow at a rate of 24 percent for the next three years, with the growth rate falling off to a constant 7 percent thereafter. if the required return is 11 percent, and the company just paid a dividend of $2.05, what is the current share price? (do not round intermediate calculations and round your answer to 2 decimal places, e. g., 32.16.)

What are six resources for you decide which type of business to start and how to start it?