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Tesla Motors
"Going green" doesn't have to be boring.The Tesla Roadster Sport is an electric car that goes from 0 to 60 in four seconds and drives more like a race car than an environmentally-friendly ride.But that level of performance will set you back $128,500.As of 2009,Silicon Valley-based Tesla Motors,Inc.was the only company offering highway-compatible electric cars.Most Roadster Sport buyers are car enthusiasts and are buying them for the "fun toy" aspect of having an electric car rather than for environmental reasons.
-Refer to Tesla Motors.If total fixed costs are $23,400,000 and the average variable costs is $50,500,how many Roadsters must Tesla sell to break-even?
Expected Return
The anticipated profit or loss from an investment, taking into account the probability of varying outcomes.
Pure Time Value
The portion of an option's price that reflects the potential for value change based on the time remaining until its expiration.
Market Risk Premium
The bonus yield an investor projects to receive by placing their money in a risky market portfolio instead of in assets that carry no risk.
Market Rate
The prevailing interest rate available in the marketplace.
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