write one paragraph, If we must borrow significant amounts ofmoney, how do we account for...

write one paragraph, If we must borrow significant amounts of money, how do we account for the cost of the loan in the pricing of the product (pick and place robot) ? What economic considerations arose in pick and place ro

Expert Solution

How to account for cost of loan for product pricing :

It can be done under the following three ways

Price to competition - what is the cost of loan charged by the competitors in the market

Cost plus pricing - this accounts by calculating all the direct and indirect expenses than add a margin and then put forward the loan cost

Perceived value of customer - here bank determines , what is the maximum a borrower will pay for perceived value of banker's expertise and bank's problem solving

Economic considerations :

Credit score - it tells about the financial health of the person whether the person has given or repaid loans on time or not or he is a defaulter
Down payment - this means larger the down payment lower will be interest rate and more the chances of getting the loan
Loan term - the shorter is the time of loan the banks favours to give loan for it,longer the period it becomes difficult to approve
Interest rate type - it can be fixed or adjustable which initially can be fixed and overtime it can be flexible making , to charge higher rate in latter period of loan.
Loan type - what is the purpose of loan , as loans that would be yeilding returns as in business tend to get approved easily than non productive loans
Age - a mid aged person is most preferred as he can pay back the loan by working however an old person cannot get as his income sources are not sure
Occupation - people with secured jobs as in military or blue chip company employees or government employees tend to have higher probability of getting loan than a self employed people
Relation with bank - the older customer you are of bank ,loan approvement chances are more as it is easier for them to analyse you back financial records
Surplus income - with the ones who have surplus income getting a loan is easier for them as they can easily give EMI's.

These all are part of loan cost for product pricing.

Rahul Sunny answered 2 years ago

What do you think of the materials used in Smartphones? You must write one paragraph, with...

What do you think of the materials used in Smartphones? You must write one paragraph, with a topic sentence and supporting ideas, and citations and an APA reference list.

Write about the challenges of honesty at job interview? How must we do it when it...

Write about the challenges of honesty at job interview? How must we do it when it is about our weaknesses. business communication

write a two paragraph discussion on how microflora influence our health and what can we do...

write a two paragraph discussion on how microflora influence our health and what can we do to sustain a healthy microflora in our body?

Windows: Write one paragraph on the the benefits of BitLocker. Write one paragraph on the benefits...

Windows: Write one paragraph on the the benefits of BitLocker. Write one paragraph on the benefits of Implementing Windows Server Update Services (WSUS) Solution. Write in your own words.

1. Auditors must obtain evidence that there are no significant amounts of unregistered withdrawals of property,...

1. Auditors must obtain evidence that there are no significant amounts of unregistered withdrawals of property, plant and equipment. A- Describe two ways in which auditors obtain evidence that there are no significant amounts of unregistered property withdrawals (land). B- Describe three ways in which auditors obtain evidence that there are no significant amounts of unregistered equipment withdrawals. NOTE: Could you please don't use your handwriting to answer this question to be easy for me to solve...Thanks

How do we check if the independent variables are statistically significant and contribute to the multiple...

How do we check if the independent variables are statistically significant and contribute to the multiple regression models?

2) Write at least one paragraph to discuss how plasma forms at the core of a...

2) Write at least one paragraph to discuss how plasma forms at the core of a star. Be sure to include the definition of plasma and why the conditions are able to sustain fusion here. 3) Use the search engine of your choice to find the temperature at which hydrogen fusion takes place. Also find the temperature at which helium fusion takes place. Which one is higher, and by what factor? Discuss your interpretation of why one of the processes...

How do you think of this paragraph? We know that bonds are basically when companies or...

How do you think of this paragraph? We know that bonds are basically when companies or governments agencies need money to complete their projects, they will issue bonds to investors. The investor may recover the funds and receive the interest at the interest rate set at that time on the bond repayment date. In this world, in order to consider the needs of investors, companies or governments may develop different types of bonds in the market. So, it causes that...

a) A buffer contains significant amounts of both ammonia (NH3) and ammonium chloride (NH4Cl). Write the...

a) A buffer contains significant amounts of both ammonia (NH3) and ammonium chloride (NH4Cl). Write the net ionic equation showing how this buffer neutralizes added HI. Express your answer as a chemical equation. b)A buffer contains significant amounts of both ammonia (NH3) and ammonium chloride (NH4Cl). Write the net ionic equation showing how this buffer neutralizes added NaOH. Express your answer as a chemical equation.

a) A buffer contains significant amounts of hydrofluoric (HF) and sodium fluoride (NaF). Write the net...

a) A buffer contains significant amounts of hydrofluoric (HF) and sodium fluoride (NaF). Write the net ionic equation showing how this buffer neutralizes added HNO3. Express your answer as a chemical equation. Identify all of the phases in your answer b) Write the net ionic equation showing how this buffer neutralizes added KOH. Express your answer as a chemical equation. Identify all of the phases in your answer

Question