• Escalation clause: What is it? What type of property uses one? Why would we use it? How would it help increase the value of our property? • Percentage lease: What is it? What type of property uses one? Why would we use it? How would it help increase the value of our property? • Net lease: What is it? What type of property uses one? Why would we use it? How would it help increase the value of our property? • Triple net lease: What is it? What type of property uses one? Why would we use it? How would it help increase the value of our property?
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- 1. Imagine yourself to be the owner of a large tract of agricultural land. You want the land to beproductive but then you have no idea how to farm. A landless farmer approached you, anddiscussed with you the possibilities of him tilling your farm. What kind of economic/financialarrangement do you think would be appropriate so that both of you benefits from the relations?Possible arrangements include:A. Employment of the farmer to be paid a fixed monthly wageB. Proportionate sharing of costs and profitC.Landowner bears all costs of farming implements and gets a bigger share of the profitsD. Other options.Please elaborate your answer2. Why does sharecropping continue to exist as opposed to laborers renting land and paying for the rent with the proceeds of their harvest? Sharecropping is a farming system in which owners of the land allow others to farm it and then the harvest is split, with some portion (let's say half) going to the laborer and some to the land owner. Renting land (the "English system") is an alternative in which laborers pay a fixed monetary rent and then keep all of the proceeds of their production. For hundreds of years commentators have pointed out that sharecropping lowers overall investment and effort and that renting both generates more revenue for owners and, on average, more revenue for laborers due to the harvest generally being much larger. However, when prices drop significantly for agricultural outputs, rents can exceed the total value of output under the English system. Given that in the English system rent returns more money to land owners and on average generates more income…You are currently in a job as a chef in a restaurant earning $100,000 per year. You are considering opening up a restaurant in a building which you currently own. You estimate that, if you wanted to, you could rent out your building for $25,000 per year to another restaurant. Last year, your revenues and expenses from the restaurant were the following: Revenues $400,000Cost of Food $120,000Salaries/Wages $100,000Utilities $25,000Taxes $20,000 What is your accounting profit? Show your calculations What is your economic profit? Show your calculations Assuming that you are indifferent between being a chef or owning a restaurant, should you open up your restaurant? Explain why. Now suppose that instead of owning the building where your restaurant will be located, you had to pay rent of $25,000 per year for the building. Will your answers to parts 1-3 change? Show your calculations. Explain how and why your answers will change or…
- Table 13-7-3 The Flying Elvis Copter Rides Total Fixed Variable Quantity Cost Cost Cost Marginal Cost Average Fixed Cost Average Variable Average Total Cost Cost - 0 $50 $50 $0 - 1 $150 A B C D E F 2 G H I $120 J K L 3 M N O P O $120 R 13. Refer to Table 13-7-3. What is the value of O? (a) $40 (b) $140 (c) $360 (d) $410 14. When adding another unit of labor leads to an increase in output that is smaller than the increases in output that resulted from adding previous units of labor, the firm is experiencing (a) negative marginal product. (b) diminishing marginal product. (c) diminishing labor. (d) diminishing output.6 7 A B 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 C 0 1 2 3 4 5 6 7 8 9 10 1 2 3 Suppose that Maria is starting a food ordering and delivery company. 4 Customers order meals online. Employees prepare the meals and deliver them to customers. 5 Maintenance of the online platform for ordering meals costs the company $5 per day. The company also rents space where orders are prepared. Rent costs $50 per day. To make the deliveries, the business also rents two delivery cars that cost $10 each per day. Meals (Output Q) D 0|- 30 42 52 60 67 73 79 85 90 95 MPL E 30 12 10 8 7 6 6 6 5 5 F 8 The costs of ingredients for preparing different numbers of meals are provided in the table below. 9 Maria also has to hire between 0 and 10 workers (depending on the number of meals she chooses to make) to buy ingredients, prepare meals, and deliver the orders. 10 She will pay each employee $120 per day. 11 The first two columns of the table below show how many meals different number of workers can…1. The simplest type of business organization, wherein the business is owned entirely by one person. Allprofits obtained from the business are his alone, but he must also bear all losses should they beincurred. Ans.;2. A business type composed of an association of two or more persons for the purpose of engaging in abusiness for profit. Ans.;3. A business type of distinct legal entity, separate from the individuals who owned it, and which canengage in practically any business transaction which a real person could do, considered the mostimportant type of business. Ans.;4. A certificate of indebtedness of a corporation usually for a period not less than 10 years, andguaranteed by a mortgage on certain s of the association. Ans.;5. A bond whose owner’s name is recorded in the books of the corporation. Ans.;6. These are bonds whose security is a mortgage on certain specified assets of the corporation. If thecorporation fails to pay the bond value at the date of maturity, title to the…
- 11:22 Fri 10 Dec VPN O 79% managebac-prod-china.s3.cn-north-1.amazonaws.com.cn A have all axes and curves clearly labeled and must show directional changes. If the question prompts you to "Calculate," you must show how you arrived at your final answer. Tandy's Art is the only art studio and workshop in a small remote town, and Tandy’s Art is the only employer of artists in the area. The graph below shows the market for artists with the marginal factor (resource) cost curve, the labor supply curve, and the marginal revenue product curve. Marginal Factor Cost Supply 28 22 20 16 10 Marginal Revenue Product 4 12 18 24 32 36 40 Quantity of Artists 48 60 80 16 (a) Identify the profit-maximizing number of artists that Tandy's Art will hire. Explain using the labeling on the graph. (b) Identify the profit-maximizing wage rate that Tandy's Art will pay its artists. Explain using the labeling on the graph. (c) If the wage rate is $10, state whether there will be a shortage or a surplus of…5d What is the relationship between accounting profit and economic profit? Which is relevant for a firm’s decision to continue production and why? Give examples as to what may cause a divergence between accounting and economic profit4. It was the initial legislated sharing agreement for share tenancy. * O A. 50-50 О в. 60-40 C. 70-30 O D. 80-20
- A company can rent one of two copying machines. The first costs £34 a month to rent and costs an additional 2 pence per copy to use. The second costs £107 a month to rent and an additional 1 penny per copy to use. How many copies would the company need to make per month in order for it to be worthwhile to rent the second machine? Select one: a. 6,900 O b. 7,300 c. 13,300 d. None of the above. e. 12,4009:48 O O 90% iwe-nnoq-seu ► PROBLEM SOLVING LA bil for a motorbort indicates a cost of P2, s00 dur in 100 deys. but promites a % tistounti Pimbursed within 30 days What is the highest umple interest rate at which the buyer can berrow money in orter to henete trom the tiscnunt? 2. The salling prica ot a TV sat it doutlu that at its net cant, It the TV sut li solit te a ustomer at a profit of 25% af the net cot, how much discount was gven to the customer? 3. A salestady's morthly come at Jessie's Department Stare s partly fied and partiaty variabke, dependng on the value uf her sales for the month When the manthly value uf her salen b P10c00.00, her montiy salary PSOL.cO. Her moothiy income increases to FLO00,00 when hur mnnthiy vales reach PIL00U D0 What must the value of her monthly sales be in order for her monthly salary to reath 4, You re buyng new televnien, From pant experience you estimate future repair cont es S00 during the fiest year, P1800 during second year, P2700 during the…3. Explain the reality of loss-making beginning and uncertainties in taking ECE ideas to market.Briefly explain different means of creating and capturing economic value out of technologypossibilities