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NEW QUESTION: 1
You have a choice of accepting a fixed price contract for $115,000 with a liquidated damages clause or $100,000 without the clause. There is a 60% chance your cost will be $90,000 and 40% chance your cost will be $80,000. There is a 98% chance of meeting your schedule but the penalty if missed is $50,000. Which is the best contract choice and how much profit would you make?
A. Contract without the clause; profit is $14,000
B. Contract with the clause; profit is $14,000
C. None of the above
D. Contract without the clause; profit is $27,980
Answer: C
Explanation:
A liquidated damages clause is a clause in the contract that specifies a dollar amount to be paid if some provision of the contract is not met. It is a way of contractually setting the damages for some failure to perform. The answer to the problem is (from a previous post):You get the expected value multiplying an outcome by the probability of it occurring, and adding up these products for all outcomes. For the contract without the clause, you get paid $100,000. One outcome is that you will spend $90,000. Your profit will be $10,000. There is a 60% chance of this outcome occurring, so you get $10,000*0.6=$6,000. The other outcome is that you will spend $80,000. Your profit will be $20,000. There is a 40% chance of this outcome occurring, so you get $20,000*0.4=$8,000. If you add these two up, you get$14,000. If you decide to take the $100,000 contract, your "average" profit will be $14,000.For the contract with the clause, you get paid $115,000. If you will spend $90,000, your profit will be $25,000. There is a 60% chance of this outcome occurring, so you get $25,000*0.6=$15,000. If you spend $80,000, your profit will be $35,000. There is a 40% chance of this outcome occurring, so you get $35,000*0.4=$14,000. Since the problem doesn't say otherwise, assume that no matter how much you spend, there is a 2% of missing the schedule. If you do, you pay $50,000. $50,000*0.02=$1,000. You will subtract this amount from the total, since this money would come out of your profit. If you add these all up, you get $15,000+$14,000-$1,000=$28,000. If you decide to take the $115,000 contract with the liquidated damages clause, your "average" profit will be $28,000.Answer contract with clause, expected profit $28,000.
NEW QUESTION: 2
You set up three pay-when-paid (PWP) terms and assign them to the vendors for a project. For the first PWP term, you set the account code for all vendors (All). For the second PWP term, you set the account code for an individual vendor (Table). For the third PWP term, you set the account code for a group of vendors (Group). What is the order of precedence for assigning the PWP terms when you create a project purchase order?
A. Table, All, Group
B. Table, Group, All
C. All, Table, Group
D. All, Group, Table
Answer: B
NEW QUESTION: 3
Select the class of Anti-diabetic medication that works in the specified organ to prevent hyperglycemia. Select all that applies. Alpha cells in pancreases
A. Sulfonylureas
B. DPP4 Inhibitors
C. Thiazolidinediones
D. Alpha- Glucosidase Inhibitors
E. Glucagon-like peptide-1 receptor agonists
F. Biguanide
G. SGLT2 inhibitors
Answer: B
Explanation:
Explanation
DPP4 Inhibitors, D Glucagon-like peptide-1 receptor agonists Sulfonylureas work in beta cells in the pancreas that are still functioning to enhance insulin secretion. Alpha-Glucosidase Inhibitors stop -glucosidase enzymes in the small intestine and delay digestion and absorption of starch and disaccharides which lowers the levels of glucose after meals. DPP4 blocks the degradation ofGLP-1, GIP, and a variety of other peptides, including brain natriuretic peptide. Glucagon-like peptide-1 receptor agonists work in various organs of the body.
Glucagon-like peptide-1 receptor agonists enhance glucose homeostasis through: (i) stimulation of insulin secretion; (ii) inhibition of glucagon secretion; (iii) direct and indirect suppression of endogenous glucose production; (iv) suppression of appetite; (v) enhanced insulin sensitivity secondary to weight loss; (vi) delayed gastric emptying, resulting in decreased postprandial hyperglycaemia. Thiazolidinediones are the only true insulin-sensitising agents, exerting their effects in skeletal and cardiac muscle, liver, and adipose tissue. It ameliorates insulin resistance, decreases visceral fat. Biguanides work in liver, muscle, adipose tissue via activation of AMP-activated protein kinase (AMPK) reduce hepatic glucose production. SGLT2 inhibitors work in the kidneys to inhibit sodium-glucose transport proteins to reabsorb glucose into the blood from muscle cells; overall this helps to improve insulin release from the beta cells of the pancreas.
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