Large projects that involve purchasing land from many landowners may not succeed due to the expenses (attorney fees, bank fees, appraisals, and so on) of negotiating so many different deals. These fees are examples of Group of answer choices Transactions costs Just compensation Public use The holdout problem
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Ответ:
The correct option is A
Explanation:
Transaction costs are the costs or the expenses which is incurred or made when it involves buying as well as selling of good or a service. And in the terms of financial nature, it is that cost or expense which comprise of the commission of broker, that is the differences among the dealer price paid for the security and the price which the buyer pays.
So, in this case, the large projects involve the land purchasing from landowners will not succeed because of expense like bank fees, attorney fees for negotiating the different deals. These fees examples are of transaction costs.
Ответ:
Current sales are 41,800 units
Break even point in units is 33,900
Cost per unit is $170
(33,900)($170) = $5,763,000
(41,800)($170) = $7,106,000
The margin of safety in dollars is:
$7,106,000 - $5,763,000 = $1,343,000