Lecture 12 Competitive Advantage Competitive Strategy and Game Theory Economic Value Added (or Economic Profit) • Net operating income less a charge for the cost of capital that is employed to produce the income. • EVA = NOPAT − WACC × Capital (1) where NOPAT is net operating profit after tax‚ and WACC is the weighted average cost of capital to the firm‚ an implicit market price that reflects the risk to the supplier of finance. Competitive Strategy and Game Theory Economic
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Managerial Economics Fall 2011 Conceptual and Computational Questions 4 points 2. What is the maximum amount you would pay for an asset that gen- 2 pt for a erates an income of $150‚000 at the end of each of five years if the reasonable formula‚ opportunity cost of using funds is 9 percent? The maximum you would be willing to pay for this asset is the present 2 points for the value‚ which is correct result 150‚ 000 150‚ 000 150‚ 000 150‚ 000 150‚ 000 + + + + 2 3 4 1 + 0.09 (1 + 0.09) (1 + 0.09) (1
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Assignment 1 - Business consultancy Task 1 - P1 Job description The job description is very simple; it shows the potential employee the basics of the role that he/she is applying for within the business or organisation. In this case it is an ARK ICT Technician for a school. The Starting Date is whenever the person wants to apply for the job‚ in this case its September 2014‚ the salary is anything from £15k - £20k for a statutory IT Technician and £20k - £28k for a Senior IT Technician. The hors
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Chapter 1 Solutions to Practice Questions Questions for Review 2. The opportunity cost of seeing a movie includes the monetary cost of admission plus the time cost of going to the theater and attending the show. The time cost depends on what else you might do with that time; if it’s staying home and watching TV‚ the time cost may be small‚ but if it’s working an extra three hours at your job‚ the time cost is the money you could have earned. 4. Policymakers need to think about
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good such as a private vehicle. This directly relates to an economic principle referred to as Opportunity Cost‚ which explains what must be given up as the result of a choice. It is more economic for some to forego ownership of a private vehicle than to go without food‚ paying mortgage or paying bills. Another economic principle that can be considered is the demand equation which is also linked to opportunity cost. The demand equation reflects that demand can be influenced by an individual’s income
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care of my dog. In this case‚ I have much time after work to care for her. I always take her to a park and have a walk and have dinner almost every day. The reason I can do these things is that I have the day’s school; therefore‚ I have a good opportunity to play with my dog . Getting up in the morning or later at night is a choice depending on different circumstances. The job is one of the most important indicators influencing your getting up early or late every day. For me‚ it affects my decision
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Management Executive Memorandum To: From: Date: November 16‚ 2011 Re: Lookism – Appearance and the discrimination that goes with it Lookism is a more and more pressing problem for companies and corporations‚ that strive to create an equal opportunities work space. The definition of lookism is “bias or discrimination against individuals on the basis of appearance‚ often unconscious.” This discrimination refers to both people who are not perceived as attractive and those who have to deal with the
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SOC 324 Mock Interview Essay Rubric Your Name: Romesh Gajanayake Instructions: 1. Read through all documents on interviewing inside “Required Readings”‚ plus the “30-Second Biography” in “Info Interviewing‚” before you complete this essay! 2. Save this rubric to your computer. Do not delete or alter any portion of the rubric in the process of responding to the questions. If you delete or otherwise alter the rubric in any way other than adding your responses to the questions‚ your
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MATHEMATICAL METHODS 1. Finding An Initial Basic Feasible Solution: An initial basic feasible solution to a transportation problem can be found by any one of the three following methods: I. North West Corner Rule II. The Least Cost Method III. Vogel’s Approximation Method 1. North West Corner Rule The North West corner rule is a method for computing a basic feasible solution of a transportation problem‚ where the basic variables are selected from the North-West Corner
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