Question: Please please solve all questions in these two papers CM 540: APPLICATION QUESTIONS-WEEK3 &4 Ql. Express the markup on cost formula in terms of the
CM 540: APPLICATION QUESTIONS-WEEK3 &4 Ql. Express the markup on cost formula in terms of the markup on price and use this relation to explain why a 100% markup on cost implies a 50% markup on price. The company has the following products and their total costs: Product Total Costs (Material + LaborOverheads) Television La Mobile Washing Machine 1900+ 800+ 1100 1300+600+900 9001000 2000 800+700600 Caleulate the following and comment: A. Total cost of each product and its price to maintain 50% markup on price. B. Percentage of each of the component of total cost to its total cost. Q2. East and West Company, Dubai wants to finance their Construction Equipment costing AED. 500,000 for 20 years under the following options: A. 80% loan from Dubai Islamic Bank at 9% profit rate B. 90% loan from Emirates Islamic Bank at 95% profit rate What would be your investment decision and why? it $ 10,000 in a savings account that earns 7.5% simple interest per year. What is number of years you m Q3. You depos the minimum deposit the $10,000 in another savings account that earns 7% interest compounded yearly. How many years will it take now to double your balance? ust wait to double your balance? Suppose instead that you Q4. You are considering investing AED-30,000 at an interest rate of 8% compounded annually for five years or investing the AED-30,000 at 9% per year simple interest for five years, which option is better and why? Q5. The average price of a new home is AED.1,800,000. If new home prices are increasing at a rate of 6% per year, how much will a new home cost in 10 years? Q6. What will be the amount accumulated by each of these present investments? (a) $7,000 in 5 years at 6% compounded annually (b) $3,250 in 15 years at 5% compounded annually (c) $18,000 in 33 years at 8% compounded annually (d) $20,000 in 8 years at 9% compounded annually Q7. A local newspaper headline blared, "Bo Smith Signed for S30 Million." A reading of the article revealed that on April 1, 2010, Bo Smith, the former record-breaking running back from
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