Answer:
Achievable
Explanation:
Marketing objectives are set to meet up with the goals of the business. Which isnto.ake profit.
The SMART approach to marketing objectives are outline below. The marketing objectives should be;
- Specific, that is a particular objective should be set. In this case Fatima has set 80% increase on current sales figures.
- Measurable, that is the objective should be quantifiable. 80% of the current performance is measurable.
- Achievable, means that the objective should be within a reasonable scope. Targets should not be set too high.
In this case the economy for the industry has dropped dramatically, so setting objective of 80% sales increase on current performance is most likely not achievable.
- Realistic, are there sufficient personel and resources to achieve the goal.
- Time specific, it must be within a defined time period. In this case 2 months was set to achieve the objective.
Calculate the cash flow to creditors. (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.) f. Calculate the cash flow to stockholders. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.
Answer and Explanation:
Missing information in the question:
Graffiti Advertising, Inc., reported the following financial statements for the last two years. 2016 Income Statement Sales $ 574,200 Costs of goods sold 273,935 Selling and administrative 124,715 Depreciation 54,558 EBIT $ 120,992 Interest 19,692 EBT $ 101,300 Taxes 40,520 Net income $ 60,780 Dividends $ 11,400 Addition to retained earnings $ 49,380 GRAFFITI ADVERTISING, INC. Balance Sheet as of December 31, 2015 Cash $ 13,500 Accounts payable $ 9,486 Accounts receivable 18,976 Notes payable 14,490 Inventory 13,812 Current liabilities $ 23,976 Current assets $ 46,288 Long-term debt $ 135,360 Net fixed assets $ 344,966 Owner's equity $ 231,918 Total assets $ 391,254 Total liabilities and owners’ equity $ 391,254 GRAFFITI ADVERTISING, INC. Balance Sheet as of December 31, 2016 Cash $ 14,486 Accounts payable $ 10,530 Accounts receivable 21,081 Notes payable 16,484 Inventory 22,772 Current liabilities $ 27,014 Current assets $ 58,339 Long-term debt $ 153,800 Net fixed assets $ 406,293 Owner's equity $ 283,818 Total assets $ 464,632 Total liabilities and owners’ equity $ 464,632
The computation is shown below:
Cash flow to creditors is
= Interest expense - long term debt on 2016 + long term debt on 2015
= $19,692 - $153,800 + $135,360
= $1,252
And, the cash flow to stockholder is
= Dividend paid - owner equity 2016 + owner equity 2015 + retained earnings
= $11,400 - $283,818 + $231,918 + $49,380
= $8,880
What is currency in economics
Answer:
Currency, in industrialized nations, portion of the national money supply, consisting of bank notes and government-issued paper money and coins, that does not require endorsement in serving as a medium of exchange; among less developed societies, currency encompasses a wide diversity of items (e.g., livestock, stone carvings, tobacco) used as exchange media as well as signs of value or wealth. In the developed nations, where checks drawn on demand deposits are an important means of transaction, currency may actually account for only a small portion of the total money supply
Explanation:
Since the abandonment of the gold standard in the 1930s, governments have not been obligated to repay the holders of currency in any form of precious metal. Consequently the volume of currency is determined by the actions of the government or central bank and not by the supply of precious metals.
Classify the following cash flows as either operating, investing, or financing activities assume indirect method. 32 (8 01:40:41
1. Received cash from long-term debt issuance.
2. Paid long-term debt with cash.
3. Received cash from short-term debt issuance.
4. Issued common stock for cash.
5. Paid cash for wages and salaries.
6. Received cash interest on a note.
7. Paid cash for property taxes on building.
8. Paid cash for utilities.
9. Sold stock investments for cash.
10. Received cash from sale of equipment.
Answer:
1. Received cash from long-term debt issuance.
Classification: Financing activities
2. Paid long-term debt with cash.
Classification: Financing activities
3. Received cash from short-term debt issuance.
Classification: Financing activities/Operating activities
4. Issued common stock for cash.
Classification: Financing activities
5. Paid cash for wages and salaries.
Classification: Operating activities
6. Received cash interest on a note.
Classification: Operating activities
7. Paid cash for property taxes on building.
Classification: Operating activities
8. Paid cash for utilities.
Classification: Operating activities
9. Sold stock investments for cash.
Classification: Investment activities / Finance activities
10. Received cash from sale of equipment.
Classification: Investment activities
what is the major difference between corporations and other kinds businesses?
Answer:
A corporation is a separate entity apart from that of the owners. A corporation is not responsible for its debts if it fails. A corporation is much larger than other kinds of businesses.
Explanation:
A corporation has a separate legal entity apart from that of the owners and workers.
On January 1, year 2, Connor Corporation signed a $100,000 noninterest-bearing note due in three years at a discount rate of 10%. Connor elects to use the fair value option for reporting its financial liabilities. On December 31, year 2, Connor's credit rating and risk factors indicated that the rate of interest applicable to its borrowings was 9%. The present value factors at 10% and 9% are presented below.
PV factor .751 10%, 3 periods
PV factor .826 10%, 2 periods
PV factor .909 10%, 1 periods
PV factor .772 9%, 3 periods
PV factor .842 9%, 2 periods
PV factor .917 9%, 1 periods
At what amount should Connor present the note on the December 31, year 2 balance sheet?
Answer:
the amount that should present the note in year 2 is $84,200
Explanation:
The computation of the amount that should present the note in year 2 is shown below:
= Amount of non-interest bearing note × present value factor for 2 years at 9%
= $100,000 × 0.842
= $84,200
hence, the amount that should present the note in year 2 is $84,200
A foundry is developing a long-range strategic plan for buying scrap metal for its operations. The foundrycan buy scrap metal in unlimited quantity from two sources: Atlanta and Birmingham, and it receives thescrap daily by railroad cars.The scrap is melted down, and lead and copper are extracted. Each railroad car from Atlanta yields 1 ton ofcopper and 1 ton of lead, and costs $10,000. Each railroad car from Birmingham yields 1 ton of copper and2 tons of lead, and costs $15,000. The foundry needs at least 4 tons of lead and at least 2.5 tons of copperper day for the foreseeable future.1. In order to minimize the long-range scrap metal cost, how many raiload cars of scrap should bepurchased per day from each source
Answer:
The answer is below
Explanation:
Let x represent the number of railroad cars of scrap purchased per day from Atlanta and let y represent the number of railroad cars of scrap purchased per day from Birmingham.
Since Atlanta yields 1 ton of copper and 1 ton of lead while Birmingham yields 1 ton of copper and 2 tons of lead.
The foundry needs at least 2.5 tons of copper per day. Hence:
x + y ≥ 2.5 (1)
The foundry needs at least 4 tons of lead per day. Hence:
x + 2y ≥ 4 (2)
Plotting equations 1 and 2 using geogebra online graphing tool, we get the points that is the solution to the problem as:
(0, 2.5), (4, 0), (1, 1.5)
Car from Atlanta cost $10000 while car from Birmingham costs $15000. Therefore the cost equation is:
Cost = 10000x + 15000y
We are to find the minimum cost:
At (0, 2.5): Cost = 10000(0) + 15000(2.5) = $37500
At (4, 0): Cost = 10000(4) + 15000(0) = $40000
At (1, 1.5): Cost = 10000(1) + 15000(1.5) = $32500
The minimum cost is at (1, 1.5).
Make-or-Buy Decision
Fremont Computer Company has been purchasing carrying cases for its portable computers at a purchase price of $40 per unit. The company, which is currently operating below full capacity, charges factory overhead to production at the rate of 25% of direct labor cost. The unit costs to produce comparable carrying cases are expected to be as follows:
Direct materials $16
Direct labor 20
Factory overhead (25% of direct labor) 5
Total cost per unit $41
If Fremont Computer Company manufactures the carrying cases, fixed factory overhead costs will not increase and variable factory overhead costs associated with the cases are expected to be 5% of the direct labor costs.
a. Prepare a differential analysis dated September 30 to determine whether the company should make (Alternative 1) or buy (Alternative 2) the carrying case. If an amount is zero, enter "0". If required, round your answers to two decimal places. Use a minus sign to indicate a loss.
Differential Analysis
Make Carrying Case (Alt. 1) or Buy Carrying Case (Alt. 2)
September 30
Make Carrying Case (Alternative 1) Buy Carrying Case (Alternative 2) Differential Effect on Income (Alternative 2)
Sales price $ $ $
Unit costs:
Purchase price
Direct materials
Direct labor
Variable factory overhead
Fixed factory overhead
Income (loss) $ $ $
b. Assuming there were no better alternative uses for the spare capacity, it would (Be advisable, Not be advisable) to manufacture the carrying cases. Fixed factory overhead is(Relevant, Irrelevant) to this decision.
Answer:
A. Make carrying case(Alternative 1) $41.00
Buy carrying case (Alternative 2)$44.00
Differential effect on net income (Alternative 2)($3.00)
B. Assuming there were no better alternative uses for the spare capacity, it would BE ADVISABLE to manufacture the CARRYING CASES. Fixed overhead is IRRELEVANT to this decision.
Explanation:
A. Preparation of a Differential Analysis
DIFFERENTIAL ANALYSIS
Make carrying case Buy carrying case
(Alternative 1) (Alternative 2)
Alternative 1 Alternative 2 Differential effect on net income (Alternative 2)
Sales price
$0.00 $0.00 $0.00
Purchase Price
$0.00 $40.00 ($40.00)
Direct materials
$16.00 $0.00 $16.00
Direct labor
$20.00 $0.00 $20.00
Variable manufacture overhead (20*5%=$1.00)
$1.00 $0.00 $1.00
Fixed manufacture overhead($5.00-$1.00) $4.00 $4.00 $0.00
Income(Loss)
$41.00 $44.00 ($3.00)
Based on the above calculation Alternative 1 which is carrying case should be Choose by the Company .
B. Therefore Assuming there were no better alternative uses for the spare capacity, it would BE ADVISABLE to manufacture the CARRYING CASES. Fixed overhead is IRRELEVANT to this decision.
Caleb Co. owns a machine that had cost $44,400 with accumulated depreciation of $19,400. Caleb exchanges the machine for a newer model that has a market value of $55,000. 1. Record the exchange assuming Caleb paid $31,000 cash and the exchange has commercial substance. 2. Record the exchange assuming Caleb paid $23,000 cash and the exchange has commercial substance.
Answer:
Part 1
Debit :New Machine $55,000
Debit : Profit and Loss $39,400
Credit: Accumulated Depreciation: Old Machine $19,400
Credit :Cost: Old Machine $44,400
Credit : Cash $31,000
Part 2
Debit :New Machine $55,000
Debit : Profit and Loss $31,400
Credit: Accumulated Depreciation: Old Machine $19,400
Credit :Cost: Old Machine $44,400
Credit : Cash $23,000
Explanation:
The Standard on Property, Plant and Equipment States that :
"When exchange has commercial substance, Cost Price of item Acquired is measured at Fair Value.
When Fair Values of both assets acquired and given up can be determined reliably, the Fair Value of Asset given up will be used.
Unless the Fair Value of the Asset acquired is more evident, that Value may be used"
From this, we have on Fair Value of Asset Acquired, so we use that as the Cost of the New Asset. Cost of New Asset in Both Cases will be $55,000.
Recognize the New Cost of Asset, Derecognize the Cash Paid, Derecognize Cost of Old Asset and Accumulated Depreciation in a journal to find the Profit or loss resulting from the exchange as above.
The Canon Corporation sells ten copiers to the Title Company on October 15 for $40,000. Canon delivers the copiers to Title on October 20 and Title pays $16,000, agreeing to pay the balance on November 10. Under the cash basis, how much revenue should Canon recognize in October
Answer:
$16,000
Explanation:
Under the cash basis, the revenue is recognized when the cash is received and the expenses is recognized when the cash is paid
So according to the question since the $16,000 is paid so the revenue that should be recognized in the October month is $16,000
Therefore the same would be considered
Way Cool produces two different models of air conditioners. The company produces the mechanical systems in its components department. The mechanical systems are combined with the housing assembly in its finishing department. The activities, costs, and drivers associated with these two manufacturing processes and the production support process follow. Process Activity Overhead Cost Driver Quantity Components Changeover $ 627,450 Number of batches 890 Machining 379,155 Machine hours 8,050 Setups 108,000 Number of setups 60 $ 1,114,605 Finishing Welding $ 220,580 Welding hours 4,100 Inspecting 254,200 Number of inspections 820 Rework 47,200 Rework orders 160 $ 521,980 Support Purchasing $ 158,600 Purchase orders 488 Providing space 30,900 Number of units 8,400 Providing utilities 126,180 Number of units 8,400 $ 315,680 Additional production information concerning its two product lines follows. Model 145 Model 212 Units produced 2,800 5,600 Welding hours 800 3,300 Batches 445 445 Number of inspections 510 310 Machine hours 2,750 5,300 Setups 30 30 Rework orders 90 70 Purchase orders 325 163 Required: 1. Using ABC, compute the overhead cost per unit for each product line. 2. Determine the total cost per unit for each product line if the direct labor and direct materials costs per unit are $200 for Model 145 and $112 for Model 212. 3. If the market price for Model 145 is $515.95 and the market price for Model 212 is $303.34, determine the profit or loss per unit for each model.
Answer:
Way Cool
1. Overhead Cost per unit for each product line:
Model 145 Model 212
Overhead cost per unit $434.97 $457.59
2. Total cost per unit for each product line:
Model 145 Model 212
Total cost per unit $634.97 $569.59
3. The profit or loss per unit for each model:
Model 145 Model 212
Market price 515.95 303.34
Loss per unit $119.02 $266.25
Explanation:
a) Data and Calculations:
Process Activity Overheads Driver Quantity Components O/H rates
Changeover $ 627,450 Number of batches 890 $705
Machining 379,155 Machine hours 8,050 $47.10
Setups 108,000 Number of setups 60 $1,800
Total $ 1,114,605
Finishing
Welding $ 220,580 Welding hours 4,100 $538
Inspecting 254,200 Number of inspections 820 $310
Rework 47,200 Rework orders 160 $295
Total $ 521,980
Support Purchasing $ 158,600 Purchase orders 488 $325
Providing space 30,900 Number of units 8,400 $3.68
Providing utilities 126,180 Number of units 8,400 $15.02
Total $ 315,680
Additional production information concerning its two product lines follows.
Model 145 Model 212
Units produced 2,800 5,600
Welding hours 800 3,300
Batches 445 445
Number of inspections 510 310
Machine hours 2,750 5,300
Setups 30 30
Rework orders 90 70
Purchase orders 325 163
Model 145 Model 212
Units produced 2,800 5,600
Welding hours $430,400 (800*$538) $1,775,400 (3,300 * $538)
Batches 313,725 (445*$705) 313,725 (445*$705)
Number of inspections 158,100 (510*$310) 96,100 (310*$310)
Machine hours 129,525 (2,750*$47.10) 249,630 (5,300*$47.10)
Setups 54,000 (30*$1,800) 54,000 (30*$1,800)
Rework orders 26,550 (90*$295) 20,650 (70*$295)
Purchase orders 105,625 (325*$325) 52,975 (163*$325)
Total overhead costs $1,217,925 $2,562,480
Units produced 2,800 5,600
Overhead cost per unit $434.97 $457.59
Direct labor and materials 200.00 112.00
Total cost per unit $634.97 $569.59
Market price 515.95 303.34
Loss per unit $119.02 $266.25
Name and describe three ways that companies can benefit from being ethical.
On the same day that the sales department at Duffin House received an order for 500 packages from the OHaganBooks Texas headquarters, it received an additional order for 150 packages from FantasyBooks, based in California. Duffin House has warehouses in New York and Illinois. The New York warehouse has 500 packages in stock, but the Illinois warehouse is closing down and has only 250 packages in stock. Shipping costs per package of books are as follows: New York to Texas: $20; New York to California: $50; Illinois to Texas: $30; Illinois to California: $40. What is the lowest total shipping cost for which Duffin House can fill the orders
Answer:
Duffin House
The lowest total shipping cost for which Duffin House can fill the orders is:
= $16,000.
Explanation:
a) Data and Calculations:
Orders received from OHaganBooks, Texas = 500 packages
Orders received from FantasyBooks, California = 150 packages
No. of packages in stock at New York Warehouse = 500
No. of packages in stock at Illinois Warehouse = 250
Shipping cost:
New York to Texas: $20;
New York to California: $50;
Illinois to Texas: $30;
Illinois to California: $40
Lowest shipping cost arrangement:
500 packages from New York to Texas at $20 = $10,000
150 packages from Illinois to California at $40 = $6,000
Total shipping cost = $16,000
Other shipping cost arrangement:
150 packages from New York to California at $50 = $7,500
350 packages from New York to Texas at $20 = $7,000
150 packages from Illinois to Texas at $30 = $4,500
Total shipping cost under this arrangement = $19,000
b) The key in making this shipping arrangement is to identify the lowest shipping cost per package. The order that attracts this shipping cost is taken first. Then identify the next lowest shipping cost that is feasible and have the order fulfilled accordingly.
What would cause a shift of demand curve for snickers bars
A "direct response" social media advertisement offers a 50% discount at your restaurant for one of two people dining
together as a couple on Valentine's Day. The discount will apply to the lower priced
meal. One meal will cost $24.77 and the other costs
$22.56. What will the total cost of the check be with the discount?
a) $24.77
b) $34.95
c) $36.05
d) $47.33
Answer:
36.05
Explanation:
$22.56/2=11.28
$11.28+24.77=$36.05
There are a number of statistics computed to measure the price level, such as the GDP deflator and the CPI. The choice of which of these measures to use depends in many cases on the specific question in which you are interested. For each of the following situations, state whether the CPI or GDP deflator is a more appropriate measure to use and explain why the statistic is preferred.
Question Completion:
a. You are interested in looking at the impact of higher prices of imported oil in the overall cost of living.
b. The government is interested in whether increases in defense spending are affecting the price level.
c. An economic consulting firm is investigating the impact on the aggregate price level of more computers and electronic technology used in production.
Answer:
The GDP Deflator and the CPI
a. The CPI is used here, as its measure is not restricted to domestically produced goods and services.
b. The GDP Deflator is more appropriate here. Defense spending is not related to consumer goods and services but to government spending, which is a component of the GDP.
c. The GDP Deflator is more appropriate with this investigation. Computers and electronic technology used in production relate to business Investments, which are a component of the GDP and are not part of consumer goods and services or a component of the CPI.
Explanation:
The GDP deflator is exclusively used to measure the prices of all goods and services produced domestically in an economy and is based on the nominal or real GDP. On the other hand, the CPI (Consumer Price Index) is used to measure the weighted average prices of a basket of consumer goods and services, whether produced domestically or imported.
Rodriguez Company pays $342,225 for real estate with land, land improvements, and a building. Land is appraised at $245,000; land improvements are appraised at $73,500; and a building is appraised at $171,500. Required: 1. Allocate the total cost among the three assets. 2. Prepare the journal entry to record the purchase.
Answer and Explanation:
a. The allocation of the total cost among the three assets is given below:
(a) (b) (a × b)
Appraise value Total appraised Total cost of Apportioned
value cost
Percentage acquisition
Land $245,000 50% $342,225 $171,112.50
Land
improvements $73,500 15% $342,225 $51,333.75
Building $171,500 35% $342,225 $119,778.75
Total $490,000
b. The journal entry to record the purchase is given below:
Land $171,112.50
Land improvements $51,333.75
Building $119,778.75
To Cash $342,225
(To record the purchase)
Here the asset is debited as it rises the assets and cash is credited as it reduced the assets
What was the opportunity cost in a situation in which you use your available cash to buy gas for your car and then stay hungry the rest of the way home?
Answer:
see below
Explanation:
Opportunity cost is the sacrificed benefit by choosing a preferred option over others. The value of opportunity cost is the foregone benefit from the best alternative.
In this situation, the person had to choose between buying gas for the car or using that money to purchase food. Since the person opted to buy gas, they sacrificed having a meal for the rest of the day. The pleasure derived from eating is the opportunity cost for this person.
A company has3process options with the following costs:Process OptionsABCfixed cost ($)1,200,000220,000580,000variable cost/unit ($)31371)Find the range of forecasted volumes where process Cis optimal.2)The Point of Indifference between Process A and Process Boccurs at a total costof $________.3)The company has chosen process Aand expects to operate at a lossuntil 30,000 units have been sold.What is the price for each unit s
Answer: See explanation
Explanation:
a. First and foremost, we have to get the total cost equations which will be:
Total cost (A) = 1200000 + 3Q
Total Cost (B) = 220000 + 13Q
Total Cost (C) = 580000 + 7Q
To get the range of forecasted volumes where process C is optimal, we have to get the cross-over point between A, B and C which goes thus:
Between A and C will be:
= (1200000 - 580000)/(7 - 3)
= 620000/4
= 155,000
Between B and C will be:
= (220000 - 580000)/(7 - 13)
= 360,000 / 6
= 60,000
Therefore, the range of the forecasted volumes where process C is optimal will be [60000, 155000]
(b) The point of indifference between A and B will be the difference in their fixed cost divided by the difference in their variable cost which will be:
= (1200000 - 220000)/(13 - 3)
= 980,000 / 10
= 98,000
(c) The price for each unit will be:
30,000 = 1200,000 / (Selling price - 3)
Selling price - 3 = 1200,000 / 30,000
Selling price - 3 = 40
Selling price = 40 + 3
Selling price = $43
The following transactions occurred for the City of Fontaine’s General Fund. The budget prepared for the fiscal year included Total estimated revenues of $2,774,000 and appropriations of $2,693,000. Encumbrances issued against the appropriations during the year were $931,000. The current year’s tax levy of $2,005,000 was recorded; uncollectibles were estimated as $65,000. Collections of delinquent taxes from prior years’ levies totaled $132,000; collections of the current year’s levy totaled $1,459,000. Invoices were received and approved for payment for items ordered in documents recorded as encumbrances in Transaction (2) of this problem. The estimated liability was $851,200. Actual costs were $850,500. Revenue other than taxes collected during the year consisted of licenses and permits, $373,000; intergovernmental revenue, $400,000; and $66,000 of miscellaneous revenues. Payments on Vouchers Payable totaled $1,505,000. Prepare the journal entry.
Answer:
Realidades 2 WKBK page 109
Explanation:
Realidades 2 WKBK page 109
Jackson Inc. listed the following data for 2019: Budgeted factory overhead $1,272,000 Budgeted direct labor hours 80,000 Budgeted machine hours 40,000 Actual factory overhead 1,201,400 Actual direct labor hours 86,700 Actual machine hours 39,800 Assuming Jackson Inc. applied overhead based on machine hours, the firm's predetermined overhead rate for 2019 (round calculations to 2 significant digits) is:
Answer: $31.80 per machine hour
Explanation:
Based on the information that have been given in the question, since the overhead was applied by Jackson Inc., therefore, the firm's predetermined overhead rate will be:
= Budgeted factory overhead / Budgeted machine hours
= $1,272,000 / 40000
= $31.80 per machine hour
Banks use a large percentage of their checkable deposits for the purpose of __________.
A.
paying interest
B.
giving loans
C.
employee salaries
D.
maintaining reserves
the answer is D
Answer:
B. giving loans
Explanation:
The reserve requirement system requires commercial banks to maintain a small fraction of their deposits as a reserve. Only a small percentage of the checkable deposits is required to be held in the banks as reserves. The reserves requirement fractions vary with the monetary policy in place.
The percentage of reserve requirement ranges from 3% to 10%. It would hardly get to 20%. The rest other bigger percentage ( over 80%) is available to be used to create loans.
Answer:
D.) maintaining reserves
Explanation:
got it right on the test review
Assume the equivalent units of production for materials and conversion are 5,200 units and 5,000 units, respectively, using the weighted-average method. If 4,660 units were completed and transferred to the next department, then what is the total cost assigned to the units completed and transferred out of the Milling Department
Question Completion:
Milling Department Materials Conversion Total Cost of beginning work in process inventory $ 10,000 $ 15,000 $ 25,000 Costs added during the period 291,600 385,000 676,600 Total cost $ 301,600 $ 400,000 $ 701,600
Answer:
Milling Department
The total cost assigned to the units completed and transferred out is:
= $643,080
Explanation:
a) Data and Calculations:
Milling Department
Cost of production:
Materials Conversion Total Cost
Beginning work in process inventory $ 10,000 $ 15,000 $ 25,000
Costs added during the period 291,600 385,000 676,600
Total cost $ 301,600 $ 400,000 $ 701,600
Equivalent units of production 5,200 5,000
Cost per equivalent unit $58 $80
Cost Assignment:
Units completed and transferred out:
Materials = $270,280 (4,660 * $58)
Conversion 372,800 *4,660 * $80)
Total costs $643,080
Therefore, the costs assigned to ending work in process = $ 58,520 ($701,600 - 643,080)
An investment offers $6,260 per year for 17 years, with the first payment occurring 11 years from now. If the required return is 3 percent, what is the value of the investment? (HINT: Remember that when you calculate the PV of the annuity, the claculator gives you the present value of the annuity 1 period before the annuity starts. So if the annuity starts in year 7, that calculator will to give you the persent value of annuity in year 6. Now you have to bring this number to period 0 by inputting: N=6 (1 period before the annuity starts, in your case it would be a different number depending when your annuity starts) R=3 FV=Present value of annuity you found in step 1. And you solve for PV)
Answer: $61,328.15
Explanation:
The amount paid is per year so this is an annuity. It will begin 11 years from now so one should find the present value in that year:
Present Value of annuity = Annuity * ( 1 - ( 1 + rate) ^ - no. of periods) / rate
= 6,260 * ( 1 - ( 1 + 3%) ⁻¹⁷) / 3%
= $82,419.90
That is the present value if the annuity starts 11 years from now which means that it is the present value 10 years from now (ordinary annuities are paid end of period).
You need to discount to current period:
= 82,419.90 / ( 1 + 3%)¹⁰
= $61,328.15
Argo, a firm organizing adventure travel, has returns that vary with the economy. Argo predicts that there is a 20% probability of a strong economy, a 50% probability of a normal economy, and a 30% probability of a weak economy. Given a strong economy, Argo expects a 35% return, given a normal economy, Argo expects a 14% return, and given a weak economy, Argo expects to lose 20%. What is the expected return for Argo
Answer: 8%
Explanation:
The expected return is a weighted average of the returns given the probability of certain states of the economy:
= (Prob. of boom * return if boom) + (Prob. of normal * return if normal) + (Prob. of weak * return if weak)
= (20% * 35%) + (50% * 14%) + (30% * -20%)
= 0.07 + 0.07 - 0.06
= 8%
Answer:
it is 8% my dear friend
Explanation:
The Sarbanes-Oxley Act of 2002 has: Group of answer choices reduced the annual compliance costs of all publicly traded firms in the U.S. decreased senior management's involvement in the corporate annual report. decreased the number of U.S. firms going public on foreign exchanges. made officers of publicly traded firms personally responsible for the firm's financial statements.
Answer:
made officers of publicly traded firms personally responsible for the firm's financial statements
Explanation:
The Sarbanes-Oxley Act, due to corporate fraud, was created to restore investor confidence in financial markets and to fill loopholes in publicly traded companies.The law created strong audit committees for companies that traded publicly and made officials (companies) personally responsible for the accuracy of financial statements.aAssume that in 2018, the first edition of a comic book was sold at auction for $762,400. The comic book was originally sold in 1938 for $.05. For this to have been true, what was the annual increase in the value of the comic book
Answer:
See below
Explanation:
The above is calculated using;
A = P(1 + r/100)^n
Where
A = Future value
P = Present value
r = rate of interest
n = time period
762,400 = 0.05(1 + r/100) ^ 80
(762,400/0.05)^(1/80) = 1 + r/100
The classic supply chain approach has been based on
forecasting which of the following parts of future
inventory using statistical trending?
Transfer
Demand
olololo
Lifecycle
Safety stock
Answer:
Demand
Explanation:
The classic supply chain approach statistics refers to data regarding past suppliers or sales through the distribution channels. A business can use this information to analyze sales trends. Once the sale trends are determined, future demand for products can be estimated. The business uses historical data from its supply chain to predict future sales and demand.
The present value of a zero-interest-bearing note given for property, goods, or services should be measured by A : using the prime interest rate to discount the note. B : the book value of the property on the seller's books the interest rate on similar notes being offered in the market place for similar property, goods, or services. C : the fair value of the property, goods, or services or by an amount that reasonably approximates the fair value of the note. D : using a negotiated interest rate between the issuer of the note and the owner of the property, goods, or services to discount the note.
Assault and battery is a tort not a crime when the action involves people who know each other
Answer:
it is an assault if they know you, but they can choose if you are accused of it.
Explanation:
One year ago, Deltona Motor Parts deposited $17,500 in an investment account for the purpose of buying new equipment three years from today. Today, it is adding another $21,000 to this account. The company plans on making a final deposit of $13,000 to the account one year from today. How much will be available when it is ready to buy the equipment, assuming the account pays 5.5 interest
Answer:
$58,445.13
Explanation:
Calculation for How much will be available when it is ready to buy the equipment, assuming the account pays 5.5 interest
Using this formula
FV= PV*(1+i)^n
Let plug in the formula
First deposit= 17,500*(1.055^4)
First deposit= $19,316.73
Second deposit=21 ,000*(1.055^3)
Second deposit= $24,659.07
Third deposit= 13,000*(1.055^2)=
Third deposit=$14,469.33
Total= $58,445.13
Therefore How much will be available when it is ready to buy the equipment, assuming the account pays 5.5 interest is $58,445.13