A piece of labor-saving equipment has just come onto the market that Mitsui Electronics, Ltd., could use to reduce costs in one of its plants in Japan. Relevant data relating to the equipment follow: Purchase cost of the equipment $ 448,000 Annual cost savings that will be provided by the equipment $ 80,000 Life of the equipment 10 years Required: 1a. Compute the payback period for the equipment. 1b. If the company requires a payback period of four years or less, would the equipment be purchased? 2a. Compute the simple rate of return on the equipment. Use straight-line depreciation based on the equipment’s useful life. 2b. Would the equipment be purchased if the company’s required rate of return is 13%?

Answers

Answer 1

Answer:

Mitsui Electronics, Ltd.

1a. Payback period = 5.6 years

1b. No.  The equipment would not be purchased if the company requires a payback period of four years or less.

2a. Simple rate of return = 17.86%

2b. Yes. The equipment would be purchased if the company's required rate of return is 13%.

Explanation:

a) Data and Calculations:

Purchase cost of the equipment = $ 448,000

Annual cost savings that will be provided by the equipment = $ 80,000

Life of the equipment = 10 years

1a. Payback period = 5.6 years ($448,000/$80,000)

1b. No.  The equipment would not be purchased if the company requires a payback period of four years or less.

Annual return = $80,000

Initial cost of the equipment = $448,000

2a. Simple rate of return = 17.86% ($80,000/$448,000 * 100)

2b. Yes. The equipment would be purchased if the company's required rate of return is 13%.


Related Questions

You are currently in a sorting module. Turn off browse mode or quick nav, Tab to items, Space or Enter to pick up, Tab to move, Space or Enter to drop. Which of the statements are true regarding the inflation tax?IncreasedDecreasedNot affectedAnswer Banka. rate of the forward reactionb. activation energy of the forward reactionc. activation energy of the reverse reactiond. rate of the reverse reaction

Answers

Answer:

The federal government reserves the power to print money. By printing money to pay its debts, the government decreases the value of money and causes the inflation tax.

Explanation:

As per the Constitution, the Federal government reserves the sole right to print currency. This ensures that all the states have a stable medium of exchange thereby allowing goods and services to flow across states undisturbed.

When the government prints money to enable it pay off its debt, the value of the currency decreases because the supply of money has increased relative to its demand. As a result, the currency will only be able to buy less than it was able to buy before thereby creating a sort of inflation tax because people would be paying an extra amount in order to purchase goods and services

what are the characteristics of effective communication​

Answers

Answer:

Clear—main ideas easily identified and understood.

Concise—gets to the point without using unneeded words or images.

Concrete—includes specific examples or explanations.

Correct—in information, word choice, and grammar.

Coherent—information presented in a logical sequence.

Completeness. Effective communications are complete, i.e. the receiver gets all the information he needs to process the message and take action. ...

Conciseness. Conciseness is about keeping your message to a point. ...

Consideration. ...

Concreteness. ...

Courtesy. ...

Clearness. ...

Correctness.

Explanation:

Hope this helps.

When a firm uses the LIFO inventory cost flow assumption: ____________
a) ending inventory will be greater than if FIFO were used.
b) cost of goods sold will be the same as if FIFO were used.
c) net income will be greater than if FIFO were used.
d) better matching of revenue and expense is achieved than under FIFO.

Answers

Answer:

Answer is D. better matching of revenue and expense is achieved than under FIFO.

Explanation:

The inventory cost flow assumption describes the flow of product cost: from the inventory and to cost of goods sold. When a firm uses the LIFO inventory cost flow assumption: better matching of revenue and expense is achieved than under FIFO.

The company's bank reconciliation at June 30 included interest earned in the amount of $150. Complete the necessary journal entry by selecting the account names and dollar amounts from the drop-down menus.

Answers

Answer:

Dr Cash $150

Cr Interest Revenue $150

Explanation:

Based on the information given ifnThe bank statement included a CREDIT MEMORANDUM in the amount of $150 for interest which means that the journal entry will be :

Dr Cash $150

Cr Interest Revenue $150

A jewelry manufacturer incurred the following costs: 15,000 units produced with costs of $557,500, and 5,000 units produced with costs of $292,500. Which cost formula would you estimate using the high-low method? Group of answer choices Y=$265,000+$37.17X Y=$160,000+$17.67X Y=$265,000+$58.50X Y=$160,000+$26.50X

Answers

Answer:

Y=$160,000+$26.50X

Explanation:

Variable Cost = $26.50

Fixed Cost = $160,000

cost formula would you estimate using the high-low method : Y=$160,000+$26.50X

process which is followed to monitor the movement of stock in a company

Answers

Answer:

it known as stock control

The North Division of XYZ Corporation had average operating assets of $1,110,000 and net operating income of $295,200 in January. The company uses residual income to evaluate the performance of its divisions, with a minimum required rate of return of 20%.
Required:
What was the North Division's residual income in January?

Answers

Answer:

$73,200

Explanation:

From the above details, we know that;

Residual income =

[Net operating income - (Average operating assets × minimum rate of return)]

= [$295,200 - ($1,110,000 × 20%)]

= [$295,200 - $222,000]

= $73,200

Therefore, the North division's residual income in January is $73,200

For several years, Mountain Home University had used IBM computers. Recently, Apple Computers offered them a better machine at lower a price for one of the University's labs; however Mountain Home did not buy them because the _____ costs were too high. Group of answer choices transactional opportunity marginal switching

Answers

Answer:

switching

Explanation:

From the question we are informed about instance where by For several years, Mountain Home University had used IBM computers. Recently, Apple Computers offered them a better machine at lower a price for one of the University's labs; however in this case, Mountain Home did not buy them because the switching costs were too high. Switching costs can be regarded as the costs that a consumer pays due to switching of particular brands or products. Switching costs can appear as effort-based monetary base or time-based. Companies that has difficult-to-perfect products as well as low competition can make use of

high switching costs in order to maximize profits.

Ming Chen began a professional practice on June 1 and plans to prepare financial statements at the end of each month. During June, Ming Chen (the owner) completed these transactions.a. Owner invested $60,000 cash in the company along with equipment that had a $15,000 market value.b. The company paid $1,500 cash for rent of office space for the month.c. The company purchased $10,000 of additional equipment on credit (payment due within 30 days).d. The company completed work for a client and immediately collected the $2,500 cash earned.e. The company completed work for a client and sent a bill for $8,000 to be received within 30 days.f. The company purchased additional equipment for $6,000 cash.g. The company paid an assistant $3,000 cash as wages for the month.h. The company collected $5,000 cash as a partial payment for the amount owed by the client in transaction e.i. The company paid $10,000 cash to settle the liability created in transaction c.j. Owner withdrew $1,000 cash from the company for personal use.RequiredCreate the following table similar to the one in Exhibit 1.9.Equity Assets Liabilities + Expenses Cash + Receivable + Equipment = Payable + M. Chen, Capital M. Chen, + Revenues AccoThen use additions and subtractions to show the dollar effects of the transactions on individual items of the accounting equation. Show new balances after each transaction.

Answers

Answer:

The accounting equation holds as follows:

Asset = Liabilities + Equity = $80,000

Explanation:

Note: See the attached excel file for the analysis of the Effect of June Transactions on the Accounting Equation

From the last balances in the attached excel file, we have:

Assets = Cash + Receivable + Equipment = $41,000 + $8,000 + $31,000 = $80,000

Liabilities = Payable = $0

Equity = M. Chen, Capital - M. Chen, Withdrawals + Revenue - Expenses = $75,000 - $1,000 + $10,500 - $4,500 = $80,000

Liabilities + Equity = $0 + $80,000 = $80,000

Therefore, the accounting equation holds as follows:

Asset = Liabilities + Equity = $80,000

However, similar to bonds, preferred stockholders receive a fixed payment—their dividend—before the company’s residual earnings are paid out to its common stockholders and, as with common stock, preferred stockholders can benefit from an appreciation in the value of the firm’s stock securities. Consider the following case of Wellington Industries: Wellington Industries pays an annual dividend rate of 8.00% on its preferred stock that currently returns 10.72% and has a par value of $100.00 per share. What is the value of Wellington’s preferred stock?

Answers

Answer: $74.63

Explanation:

Preferred shares are treated like perpetuities which means that the value is:

= Annual dividend/required return

Annual dividend:

= Dividend rate * Par value

= 8% * 100

= $8.00

Value of share = 8 / 10.72%

= $74.6269

= $74.63

A monetary growth rule means that :__________a) the Fed will raise interest rates if it thinks the economy is growing faster than potential. b) the Fed will lower interest rates if it thinks a recession is on the horizon. c) the money supply should grow in response to economic conditions. d) the money supply should grow at a constant rate.

Answers

Answer:

d) the money supply should grow at a constant rate.

Explanation:

The Federal Reserve System (popularly referred to as the 'Fed') was created by the Federal Reserve Act, passed by the U.S Congress on the 23rd of December, 1913. The Fed began operations in 1914 and just like all central banks, the Federal Reserve is a United States government agency.

Generally, the Fed controls the issuance of currency in United States of America: it promotes public goals such as economic growth, low inflation, and the smooth operation of financial markets.

Monetary growth rule is a theory that was proposed by Friedman and it states that the Federal Reserve System (Fed) should be required to set or target the money supply growth rate to be equal to the growth rate of Real gross domestic product (GDP) each year and leaving the price level of goods and services unchanged.

Basically, this growth rate of gross domestic product (GDP) is usually set between 1% and 4%. Also, the monetary growth rule is also referred to as the K-Percent rule.

Hence, a monetary growth rule means that the money supply should grow at a constant rate.

Compute the payback period for a project that requires an initial outlay of $297,771 that is expected to generate $40,000 per year for 9 years.

Answers

Answer:

7.44

Explanation:

The computation of the payback period is given below:

Time        Amount       Cumulative

0              (297,771)        (297,771)

1                40,000         (257,771)

2              40,000           (217,771)

3              40,000            (177,771)

4               40,000            (137,771)

5                40,000           (97,771)

6                40,000          (57,771)

7                40,000           (17,771)

8                40,000           22,229

9               40,000              62,229

Now the payback period is  

=7 + (17,771 ÷ 40,000)

= 7.44

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Answers

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Adel wants to get $100 immediately to pay for concert tickets. He currently has no cash or income, but he has a nice gold watch that is worth $500. He is looking for a place to loan him the $100 by using his watch as collateral. Even though it can be risky, what type of business could best meet Adel’s needs? A. rent-to-own service B. pawnshop C. check cashing business D. payday loan business

Answers

Correct Answer: pawnshop

The type of business could best meet Adel’s needs "Pawnshop" where short-term loans individuals can use valuable items like his gold watch as collateral. The correct option is B.

He repays the loan along with interest within a specified period, he can retrieve his watch. Pawnshops are designed to offer immediate cash based on the value of the pledged item.

This solution suits Adel's situation as he can secure the funds he needs for the concert tickets using his watch as collateral even though it involves some risk due to the possibility of losing the watch if he doesn't repay the loan.

Therefore, the correct option is B.

To know more about short-term loans here,

https://brainly.com/question/34338114

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On December 31, the company estimates future sales refunds to be $900. As of that date, the company has an unadjusted debit balance in Accounts Receivable of $25,000 and an unadjusted credit balance of $300 in Sales Refunds Payable.

Requried:
Write down the necessary adjusting entry.

Answers

Answer:

Date      Account titles and Explanation       Debit    Credit

Dec 31   Sales return and allowance               $600

                     Sales refund payable                                $600

                     ($900 - $300)

              (To record the expected refund of sales)

Credit terms are terms for a.when payments for merchandise are to be made with cash. b.when the payments for merchandise are to be made. c.when the returns of merchandise are to be made. d.when inventory is purchased.

Answers

Answer: b.when the payments for merchandise are to be made.

Explanation:

Credit terms refers to the payment terms which are mentioned on the invoice when a good is bought.

Credit terms are terms for when payments for merchandise are to be made. Credit Terms are made during sales on account. The credit term shows the discount rate tahts offered to the costumer and the time limit that the creditor is expected to pay.

QS 5-1 Inventory ownership LO C1 Homestead Crafts, a distributor of handmade gifts, operates out of owner Emma Finn’s house. At the end of the current period, Emma looks over her inventory and finds that she has 1,800 units (products) in her basement, 27 of which were damaged by water and cannot be sold. 100 units in her van, ready to deliver per a customer order, terms FOB destination. 120 units out on consignment to a friend who owns a retail store. How many units should Emma include in her company’s period-end inventory?

Answers

Answer:

1,993 units

Explanation:

Calculation to determine How many units should Emma include in her company's period-end inventory

Units in Ending Inventory:

Units of Product on hand: 1,800 units

Add Units in transit 100

Add Units on consignment 120

Less:Damaged units (27)

Total units in period-end inventory 1,993 units

Therefore How many units should Emma include in her company's period-end inventory is 1,993 units

Uniform Supply accepted a $6,300, 90-day, 8% note from Tracy Janitorial on October 17. If the note is dishonored, but Uniform Supply intends to continue collection efforts, what entry should Uniform Supply make on January 15 of the next year? (Assume no reversing entries are made.) (Use 360 days a year.)

Answers

Answer:

Debit Cash $6,426; credit Interest Revenue $21; credit Interest Receivable $105, redit Notes Receivable $6,300.

Explanation:

Based on the information given the appropriate journal entry that Uniform Supply should make on January 15 of the next year will be:

Debit Cash $6,426

($6300+$105+$21)

Credit Interest Revenue $21

($6300*8%*15/360)

Credit Interest Receivable $105

(6300*8%*75/360)

Credit Notes Receivable $6,300

Bond X is a premium bond making semiannual payments. The bond pays a coupon rate of 6.8 percent, has a YTM of 6.2 percent, and has 13 years to maturity. Bond Y is a discount bond making semiannual payments. This bond pays a coupon rate of 6.2 percent, has a YTM of 6.8 percent, and also has 13 years to maturity. The bonds have a par value of $1,000. What is the price of each bond today

Answers

Answer:

Bond X $1,053.02

Bond Y  $948.76

Explanation:

The bond price is the present value of all future cash flows(all semiannual coupons and face value) discounted at the semiannual yield to maturity since coupons are expected semiannually.

Using a financial calculator bearing in mind that the calculator would be set to its default end mode before making the following inputs:

Bond X:

N=26(semiannual coupons in 13 years=13*2=26)

PMT=34(seminnual coupon=$1000*6.8%/2=$34)

I/Y=3.10(semiannual yield to maturity=6.2%/=3.10%)

FV=1000(the face value is $1000)

CPT

PV=$1,053.02  

Bond Y:

N=26(semiannual coupons in 13 years=13*2=26)

PMT=31(seminnual coupon=$1000*6.2%/2=$31)

I/Y=3.40(semiannual yield to maturity=6.8%/=3.40%)

FV=1000(the face value is $1000)

CPT

PV=$948.76  

During its first year of operations, Mario Lupo formed Lupo Company as a corporation and personally invested $15,000 in the business in exchange for common stock. Lupo Company also paid dividends of $2,000. The company earned $35,000 of revenues and incurred $23,000 of expenses. At the end of the year, the company's equity totaled:_____.
a. $13,000.
b. $15,000.
c. $25,000.
d. $75,000.

Answers

Answer:

c. $25,000

Explanation:

Calculation to determine At the end of the year, the company's equity totaled:

First step is to calculate the Net income using this formula

Net income= Revenues- Expense

Let plug in the formula

Net income= 35000-23000

Net income=12000

Second step is to calculate Net income added to capital using this formula

Net income added to capital = Net income-Cash dividend

Let plug in the formula

Net income added to capital=12000-2000

Net income added to capital=10000

Now let determine the Ending company total equity using this formula

Ending company total equity= Opening invested capital + Net income added to capital

Let plug in the formula

Ending company total equity=15000+10000

Ending company total equity=$25000

Therefore At the end of the year, the company's equity totaled:$25,000

Good Note Company specializes in the repair of music equipment and is owned and operated by Robin Stahl. On November 30, 2016, the end of the current year, the accountant for Good Note Company prepared an unadjusted trial balance and an adjusted trial balance.Compare the unadjusted trial balance to the adjusted trial balance. Journalize the seven entries that adjusted the accounts at November 30. None of the accounts were affected by more than one adjusting entry. Refer to the Chart of Accounts for exact wording of account titles.Adjusted Trial BalanceGood Note CompanyADJUSTED TRIAL BALANCENovember 30, 2016 ACCOUNT TITLE DEBIT CREDIT1 Cash 38,250.002 Accounts Receivable 89,500.003 Supplies 2,400.004 Prepaid Insurance 3,850.00 5 Equipment 290,450.006 Accumulated Depreciation-Equipment 106,100.007 Automobiles 129,500.008 Accumulated Depreciation-Automobiles 62,050.009 Accounts Payable 26,130.0010 Salaries Payable 8,100.0011 Unearned Service Fees 9,000.0012 Common Stock 100,000.0013 Retained Earnings 224,020.0014 Dividends 75,000.0015 Service Fees Earned 742,800.0016 Salaries Expense 525,000.0017 Rent Expense 54,000.0018 Supplies Expense 8,850.0019 Depreciation Expense-Equipment 11,600.0020 Depreciation Expense-Automobiles 7,300.0021 Utilities Expense 14,100.0022 Taxes Expense 8,175.0023 Insurance Expense 10,400.0024 Miscellaneous Expense 9,825.0025 Totals 1,278,200.00 1,278,200.00Chart of AccountsCHART OF ACCOUNTSGood Note CompanyGeneral Ledger ASSETS11 Cash12 Accounts Receivable13 Supplies14 Prepaid Insurance16 Equipment17 Accumulated Depreciation-Equipment18 Automobiles19 Accumulated Depreciation-Automobiles LIABILITIES21 Accounts Payable22 Salaries Payable23 Unearned Service Fees EQUITY31 Common Stock32 Retained Earnings33 Dividends REVENUE41 Service Fees Earned EXPENSES51 Salaries Expense52 Rent Expense53 Supplies Expense54 Depreciation Expense-Equipment55 Depreciation Expense-Automobiles56 Utilities Expense57 Taxes Expense58 Insurance Expense59 Miscellaneous ExpenseJournalShaded cells have feedback.Compare the unadjusted trial balance to the adjusted trial balance. Journalize the seven entries that adjusted the accounts at November 30. None of the accounts were affected by more than one adjusting entry. Refer to the Chart of Accounts for exact wording of account titles.

Answers

Answer:

Good Note Company

Journal Entries:

Debit 23 Unearned Service Fees $9,000

Credit 41 Service Fees Earned $9,000

To record earned fees.

Debit 51 Salaries Expense $8,100

Credit 22 Salaries Payable $8,100

To record accrued salaries.

Debit 53 Supplies Expense $8,850

Credit 13 Supplies $8,850

To record used supplies.

Debit 54 Depreciation Expense-Equipment 11,600

Credit 17 Accumulated Depreciation-Equipment $11,600

To record depreciation expense for the period.

Debit 55 Depreciation Expense-Automobiles 7,300

Credit 19 Accumulated Depreciation-Automobiles  $7,300

To record depreciation expense for the period.

Debit 56 Utilities Expense $1,200

Credit 21 Accounts Payable $1,200

To record accrued utilities expense.

Debit 58 Insurance Expense $10,400

Credit 14 Prepaid Insurance $10,400

To record expired insurance.

Explanation:

a) Data and Calculations:

Good Note Company

UNADJUSTED TRIAL BALANCE

November 30, 2016

  ACCOUNT TITLE          DEBIT           CREDIT

1  Cash                                     38,250

2  Accounts Receivable         89,500

3 Supplies                               11,250

4 Prepaid Insurance             14,250

5 Equipment                     290,450

6 Accumulated Depreciation-Equipment     94,500

7 Automobiles                   129,500

8 Accumulated Depreciation-Automobiles 54,750

9  Accounts Payable            24,930

10  Salaries Payable

11   Unearned Service Fees                           18,000

12  Common Stock                                      100,000

13  Retained Earnings                                224,020

14  Dividends                                                75,000

15 Service Fees Earned                            733,800

16  Salaries Expense                                 516,900

17  Rent Expense                                        54,000

18  Supplies Expense

19  Depreciation Expense-Equipment

20 Depreciation Expense-Automobiles

21  Utilities Expense            12,900

22  Taxes Expense                8,175

23 Insurance Expense

24  Miscellaneous Expense  9,825

25 Totals                        1,250,000       1,250,000

Good Note Company

ADJUSTED TRIAL BALANCE

November 30, 2016

ACCOUNT TITLE DEBIT CREDIT

1 Cash 38,250

2 Accounts Receivable 89,500

3 Supplies 2,400

4 Prepaid Insurance 3,850

5 Equipment 290,450

6 Accumulated Depreciation-Equipment 106,100

7 Automobiles 129,500

8 Accumulated Depreciation-Automobiles 62,050

9 Accounts Payable 26,130

10 Salaries Payable 8,100

11 Unearned Service Fees 9,000

12 Common Stock 100,000

13 Retained Earnings 224,020

14 Dividends 75,000

15 Service Fees Earned 742,800

16 Salaries Expense 525,000

17 Rent Expense 54,000

18 Supplies Expense 8,850

19 Depreciation Expense-Equipment 11,600

20 Depreciation Expense-Automobiles 7,300

21 Utilities Expense 14,100

22 Taxes Expense 8,175

23 Insurance Expense 10,400

24 Miscellaneous Expense 9,825

25 Totals 1,278,200.00 1,278,200

Analysis of Adjustments:

23 Unearned Service Fees $9,000 41 Service Fees Earned $9,000

51 Salaries Expense $8,100 22  Salaries Payable $8,100

53 Supplies Expense $8,850 13 Supplies $8,850

54 Depreciation Expense-Equipment 11,600 17 Accumulated Depreciation-Equipment $11,600

55 Depreciation Expense-Automobiles 7,300 19 Accumulated Depreciation-Automobiles  $7,300

56 Utilities Expense $1,200 21 Accounts Payable $1,200

58 Insurance Expense $10,400 14 Prepaid Insurance $10,400

Annenbaum Corporation uses the weighted-average method in its process costing system. This month, the beginning inventory in the first processing department consisted of 2,200 units. The costs and percentage completion of these units in beginning inventory were: Cost Percent Complete Materials costs $ 7,500 65% Conversion costs $ 8,600 45% A total of 10,100 units were started and 7,700 units were transferred to the second processing department during the month. The following costs were incurred in the first processing department during the month: Cost Materials costs $ 127,300 Conversion costs $ 208,800 The ending inventory was 50% complete with respect to materials and 35% complete with respect to conversion costs. What are the equivalent units for conversion costs for the month in the first processing department

Answers

Answer:

$23.35

Explanation:

Units completed and transferred out = 7,700

WIP, Ending = 2,200 + 10,100 - 7,700 = 4,600. Conversion = 4,600*35% = 1,610

Equivalent unit of production = Units completed and transferred out + Conversion

Equivalent unit of production = 7,700 + 1,610

Equivalent unit of production = 9,310

Cost per equivalent unit = $8,600 + $208,800 / 9,310 units

Cost per equivalent unit = $217,400 / 9,310 units

Cost per equivalent unit = $23.351235231

Cost per equivalent unit = $23.35

A portfolio with a level of systematic risk that is the same as that of the market has a beta that is equal to one. less than zero. equal to zero. less than the beta of the

Answers

Answer:

equal to one.

Explanation:

Systemic risk are risk that are inherent in the economy. They cannot be diversified away. They are also known as market risk. examples of this risk include recession, inflation, and high interest rates. Investors should seek compensation for systemic risk. Systemic risk is measured by beta. The higher beta is, the higher the systemic risk and the higher the compensation demanded for by investors

The market has a beta of one. If a portfolio has the same level of systematic risk that is the same as that of the market, its beta would be equal to 1.

If the portfolio is less risky than the market, its beta would be less than one

If the portfolio is more risky than the market, its beta would be greater than one

If budgeted beginning inventory is $8,300, budgeted ending inventory is $9,400, and budgeted cost of goods sold is $10,260, budgeted purchases should be: Group of answer choices $9,160 $11,360 $1,960 $860 $1,100

Answers

Answer: $11,360

Explanation:

Budgeted cost of goods sold = Budgeted beginning inventory + Budgeted purchases - Budgeted ending inventory

10,260 = 8,300 + Budgeted purchases - 9,400

Budgeted purchases = 10,260 - 8,300 + 9,400

= $11,360

Derek decides to buy a new car. The dealership offers him a choice of paying $600.00 per month for 5 years (with the first payment due next month) or paying some amount today. He can borrow money from his bank to buy the car. The bank requires a 5.00% interest rate. What is the most that he would be willing to pay today rather than making the payments

Answers

Answer:

PV= $31,794.12

Explanation:

Giving the following information:

Monthly payment= $600

Number of months= 5*12= 60 months

Interest rate= 0.05/12= 0.004167

To calculate the present value of the monthly payments, we need to use the following formula:

PV= A*{(1/i) - 1/[i*(1 + i)^n]}

A= monthly payments

PV= 600*{(1/0.004167) - 1/ [0.004167*(1.004167^60)]}

PV= $31,794.12

The following data relates to Black-Out Company's estimated amounts for next year. Estimated: Department 1 Department 2 Manufacturing overhead costs $ 300,000 $ 400,000 Direct labor hours 60,000 DLH 80,000 DLH Machine hours 1,000 MH 2,000 MH What is the company's plantwide overhead rate if machine hours are the allocation base

Answers

Answer:

Predetermined manufacturing overhead rate= $233.33 per machine hour

Explanation:

Giving the following information:

Total estimated overhead= 300,000 + 400,000= $700,000

Machine hours= 1,000 + 2,000= 3,000

To calculate the predetermined manufacturing overhead rate we need to use the following formula:

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Predetermined manufacturing overhead rate= 700,000 / 3,000

Predetermined manufacturing overhead rate= $233.33 per machine hour

How are changes in U.S. demographics affecting the workplace relative to demographic changes in our traditional competitors

Answers

Answer:

The changes in demographics are affecting the workplaces in both positive and negative manner. With continuous immigration of workforce from Asian countries and neighbor countries like Mexico, America is facing some serious crises of jobs shortage.

On the other hand, due to such import of human resource companies are able to get best talent inn hand to operate their activities.

If the government lowers tax rates and tax revenue falls by $100 million, we can expect consumption spending to ________ and equilibrium output to ________.

Answers

Answer: increase; increase by more than $100 million

Explanation:

If the government lowers tax rates and tax revenue falls by $100 million, we can expect consumption spending to increase and equilibrium output to increase by more than $100 million.

It should be noted that when there's reduction in tax rate, this implies that there'll be more money available to the households and the firms and this will then lead to more money which can be spent on goods or services. Also, due to this, the equilibrium output will increase as well by more than $100 million.

The purpose of a college degree is to give you priority over all professional opportunities.
A
True
B) False

Answers

Answer:

A) True

Explanation:

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A. True
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During its first year of operations a company recorded accrued expenses totaling $375,000 for book purposes. For tax purposes, $175,000 of the expenses are deductible during the first year of operations and $200,000 are deductible during the second year of operations. The enacted income tax rate was 21% during the first year of operations and 25% during the second year of operations. The balance sheet at the end of the first year of operations will report a deferred tax:

Answers

Answer:

$50,000

Explanation:

Optiins includes "asset of $42,000. liability of $42,000.  liability of $50,000. asset of $50,000."

Deferred tax assets = Future deductible amount * Tax rate of future year

Deferred tax assets = $200,000* 25%

Deferred tax assets = $50,000

So, the balance sheet at the end of the first year of operations will report a deferred tax of $50,000

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