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johnpaech johnpaech
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6 years ago
You are up late watching TV one night and see an ad from Ronco for the Dial-o-matic food slicer.  You learn that the Dial-o-matic sells for $29.95.  But wait, there is more.  Ronco is also including in this deal a set of Ginsu steak knives worth $10.95 and another free gift worth $7.95.  Assuming that there is a competitive market for Ronco items, at what price must Ronco be selling this three item Dial-o-matic deal to insure the absence of an arbitrage opportunity and uphold the law of one price?
Textbook 
Corporate Finance: The Core

Corporate Finance: The Core


Edition: 4th
Authors:
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deusmarotodeusmaroto
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6 years ago
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johnpaech Author
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6 years ago
Smart ... Thanks!
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You make an excellent tutor!
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This calls for a celebration Person Raising Both Hands in Celebration
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