OpenSeas, Inc. is evaluating the purchase of a new cruise ship. The ship will cost $497 ​million, and will operate for 20 years. OpenSeas expects annual cash flows from operating the ship to be $70.1 million and its cost of capital is 12.1%.

a. Prepare an NPV profile of the purchase.

b. Identify the IRR on the graph.

c. Should OpenSeas proceed with the​ purchase?

d. How far off could​ OpenSeas' cost of capital estimate be before your purchase decision would​ change?

​OpenSeas, Inc. is evaluating the purchase of a new cruise ship. The ship will cost $ 495 ​million, and will operate for 20 years. OpenSeas expects annual cash flows from operating the ship to be $ 70.7 million and its cost of capital is 12.1 %. a. Prepare an NPV profile of the purchase. b. Identify the IRR on the graph. c. Should OpenSeas proceed with the​ purchase? d. How far off could​ OpenSeas' cost of capital estimate be before your purchase decision would​ change?

Suppose you need to sell raffle tickets to benefit the local chapter of the Red Cross. The raffle tickets each cost $1 and the raffle prize is a 7 day cruise to the Bahamas. Using what you know about the psychology of influence, state 5 specific compliance tactics you would use to sell raffle tickets. For each compliance tactic you mention, give a detailed description of how you would carry out that tactic to sell raffle tickets.

President Trump passed an executive bill, banning Chinese airplanes from landing in America, and Chinese Post Graduate students from studying in America. As Chinese tourists and students contribute greatly to the US economy, how do you think this law by President trump will affect US productivity and economic growth? Comment particularly on human capital, physical capital, technology, natural resources, and labour

The continents of Europe (or more exactly, Eurasia) and North America are separating at a speed of about 3 cm per year.

a) Assuming they were once together and have moved at a constant speed, estimate roughly how long has it taken the continents to reach their current separation (in years)?

b) Estimate roughly the kinetic energy of North America moving at 3 cm per year (in erg or J).

Suppose 65% of households in America have no cats, 20% have one cat, and 15% have exactly two cats.(For this question, we are assuming no one has more than two cats.) If we take a random sample of households in America, of size 20, what is the standard deviation of the corresponding sample, mean of the number of cats in each household? Round to TWO decimal places.

"Revenge of the​ Panthers" becomes a wildly successful movie for Ork Studios. It cost $105 million to​ make, and grossed $360million at the box office worldwide. Its​ star, J.P.​ Cruise, has demanded an additional $18 million fee to star in​ "Revenge of the Panthers​ 2". Factoring in this fee​ increase, and an average drop of​ 30% in revenue for a​ sequel, Ork Studios can expect a profit of

​$______million from this sequel. ​(Enter your response rounded to one decimal​ place.)

Considering the marginal benefit and marginal​ cost, will​ "Revenge of the Panthers​ 2" be made into a​ film? Yes or No

After​ "Revenge of the Panthers​ 2" is​ released, Ork Studios is considering whether to make​ "Revenge of the Panthers​ 3: On the​ Prowl". J.P. Cruise will only agree to star in this movie if it is done in IMAX​ 3-D, which adds an additional $45 million to the cost of making the film. He also demands an additional $20 million to star in this film​ (above what he was paid for Revenge of the Panthers​ 2).

Factoring in these increased costs and a drop of​ 30% in revenue from the first​ sequel, the profit of producing​ "Revenge of the Panthers​ 3: On the​ Prowl" is

​$____ million. ​(Enter your response rounded to one decimal place and include a minus sign if​ necessary.)

Considering the marginal benefit and marginal​ cost, will​ "Revenge of the Panthers​ 3: On the​ Prowl" be made into a​ film?

Consider the following information:

You will work for (maybe) 45 years and, then, retire.

You will live for an additional 25 years (more or less) after you retire.

You estimate that you will need $12,000 per month through your retirement years. (You are not absolutely sure about the amount or if you need it at the beginning or end of each month.)

You want to leave (about) $1,000,000 to your heirs upon your demise.

You expect to earn (around) 12% on your retirement fund during your working years and (at least) 2% after you retire.

You want to take an around-the-world cruise 1 year before you retire. Based on current prices and estimated inflation, the cruise for you and your travelling companion will cost (at least) $40,000.

In the worksheet labeled Retirement, construct a dynamic spreadsheet that incorporates the items listed above and allows for easy modifications of the inputs. Your output (clearly identified and labeled) should be the monthly savings required to meet your goals.

For this project, consider only the information and conditions provided. When constructing your worksheets, remember to consider economy and aesthetics. Your worksheets should be labeled so that an informed reader could open any worksheet and understand its purpose, inputs and outputs.

A cruise line estimates that it can sell 3,400 tours to Alaska at a price of $900 each, but it will lose 100 sales for each $50 increase in its price. Let p be the price and q the number of tours sold.

(a) Write q as a linear function of p.

(b) Write the revenue R as a function of p and find the marginal revenue with respect to p (i.e., the rate of change of R with respect to p).

(c) Suppose it costs $400 per passenger to operate the tour. Write the cost as a function of the price p and find the marginal cost with respect to p.

(d) Find the marginal profit with respect to p.

(e) The company priced its tour at $1,050 last year. If it increases the price this year, will it increase or decrease its profit? Explain your answer.

(f) Answer the same question and explain your answer if last year’s price was $1,550.

Stephanie is planning a cruise to the Caribbeans and has a budget for new evening wear of $500. She plans to purchase new shoes and dresses. The average price for a pair of shoes is $50 while the average price for an evening dress is $100. Her current budget constraint is pictured in the graph. Stephanie catches an end of season sale on dresses and the average price of dresses falls to $50. As a result:

A. The opportunity cost of each individual dress increases as a result of the price reduction.

B. Stephanie's new budget constraint will be flatter.

C. Stephanie will be able to afford more dresses for a given number of shoes.