Answers
This statement is true: financing activities do not include cash outflows to stockholders to repurchase common stock.
A business that frequently relies on additional debt or equity for funding may display a positive cash flow from financing activities. However, it can indicate that the business is not making enough money. In addition, debt servicing expenses increase along with rising interest rates. Investors should look more into the data because a firm with a healthy cash flow may not be a smart idea if it is already heavily indebted.
On the other hand, it could be a red flag if a corporation is repurchasing stock and paying dividends when its earnings are underwhelming. The management of the company might be working to support the price of its shares and appease investors, but their actions might not be best for the business in the long run.
Investors should look into the transactions if there are any major changes in the cash flow from financing activities. It is crucial to take into account all of the many areas of a company's cash flow statement that affect the overall change in its cash position.
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Related Questions
Let MAC1 = 100 – 10E and MAC2 = 50 – 10E. Graph each function and compute the aggregate MAC curve. Let MD = 30E, compute the socially efficient equilibrium. For the equations given above, suppose the government sets the pollution level at four units. What are the net social costs of this policy?
Suppose a technological change occurs that reduces the marginal costs of abatement for polluter 1 in the above equation to that of polluter 2. How does this affect the socially efficient level of pollution? Solve numerically and graphically.
Answers
If the marginal costs of abatement for polluter 1 become equal to polluter 2, it does not impact the socially efficient level of pollution. The level is still determined by equating Marginal Damage with the Aggregate MAC.
To graph each function, we can plot MAC1 and MAC2 on a graph with the quantity of emissions (E) on the x-axis and the marginal abatement cost (MAC) on the y-axis.
For MAC1: MAC1 = 100 - 10E
For MAC2: MAC2 = 50 - 10E
To compute the aggregate MAC curve, we add the individual MAC curves together. So, Aggregate MAC = MAC1 + MAC2.
Aggregate MAC = (100 - 10E) + (50 - 10E) = 150 - 20E
Now, let's calculate the socially efficient equilibrium by setting the Marginal Damage (MD) equal to the Aggregate MAC.
MD = Aggregate MAC
30E = 150 - 20E
Simplifying the equation, we get:
50E = 150
E = 3
Therefore, the socially efficient equilibrium occurs when the quantity of emissions (E) is 3.
Now, let's calculate the net social costs of the policy when the government sets the pollution level at four units.
Net social costs = Aggregate MAC - MD
Net social costs = (150 - 20(4)) - (30(4))
Net social costs = 110 - 120
Net social costs = -10
The net social costs of this policy would be -10, indicating a net benefit to society.
If a technological change occurs that reduces the marginal costs of abatement for polluter 1 to that of polluter 2, it means that MAC1 will become equal to MAC2.
Setting MAC1 equal to MAC2:
100 - 10E = 50 - 10E
Simplifying the equation, we find that E can have any value, as both sides are equal.
Graphically, this change would mean that MAC1 and MAC2 become parallel lines on the graph, with the same slope and intercept. The socially efficient level of pollution would still be determined by equating MD with the aggregate MAC.
In conclusion, if the marginal costs of abatement for polluter 1 become equal to polluter 2, it does not affect the socially efficient level of pollution. The socially efficient level is still determined by equating the Marginal Damage with the Aggregate MAC, regardless of the marginal costs of individual polluters.
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Problem 8, MacroSoft Inc. has capitalized $600,000 of software costs. Sales from this product were $360,000 in the first year. MacroSoft estimates additional revenues of $840,000 over the product’s economic life of 5 years.
Instructions
Prepare the journal entry to record software cost amortization for the first year. Show all computations.
Answers
Journal Entry:
Date: [First year-end date]
The amortization expense for the first year is $120,000.
Debit: Amortization Expense - Software Cost - Year 1 ($600,000 / 5 years) = $120,000Credit: Accumulated Amortization - Software Cost - Year 1 ($600,000 / 5 years) = $120,000Explanation:To record the software cost amortization for the first year, we need to allocate a portion of the capitalized software costs as an expense. Since the software has an estimated economic life of 5 years, we divide the total software cost ($600,000) by 5 to determine the annual amortization expense. In this case, the amortization expense for the first year is $120,000. We debit the Amortization Expense - Software Cost account to recognize the expense and credit the Accumulated Amortization - Software Cost account to accumulate the amortization over time.For more such questions on Journal Entry
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A taxpayer who claims a bad debt in the year the debt becomes worthless has how lomg to file an amended return
Answers
Answer: You must deduct a bad debt in the year it becomes worthless. If you realize you could have reported and taken a deduction for an unpaid debt years ago but didn't, you generally have only three years to amend your return in order to claim it on your tax return.
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May 1: Prepaid rent for three months, $1,800 May 5: Received and paid electricity bill, $50 May 9: Received cash for meals served to customers, $340 May 14: Paid cash for kitchen equipment, $2,900 May 23: Served a banquet on account, $1,560 May 31: Made the adjusting entry for rent (from May 1). May 31: Accrued salary expense, $2,700 May 31: Recorded depreciation for May on kitchen equipment, $570 If Sweet Catering had recorded transactions using the Cash method, how much net income (loss) would they have recorded for the month of May? If there is a loss, enter it with parentheses or a negative sign.
Answers
If Sweet Catering had recorded transactions using the Cash method, the net income (loss) they would have recorded for May is ($4,410) instead of ($1,480) under the accrual method.
What is the difference between the cash method and the accrual method?The cash method records revenue and expenses when cash is received or payment is made.
On the other hand, the accrual method recognizes revenue and expenses for the period, whether cash is received/paid or not.
The accrual method records revenue when an invoice is raised and when a bill is received, unlike the cash method.
Transaction Analysis:May 1 Prepaid Rent $1,800 Cash $1,800
May 5 Electricity Expense $50 Cash $50
May 9 Cash $340 Service Revenue $340
May 14 Kitchen Equipment $2,900 Cash $2,900
May 23 Accounts Receivable $1,560 Service Revenue $1,560
May 31 Rent Expense $600 Prepaid Rent $600
May 31 Salary Expense $2,700 Salary Payable $2,700
May 31 Depreciation Expense $570 Accumulated Depreciation $570
Cash Method for Income Statement:Service revenue $340
Expenses:
Rent $1,800
Electricity 50
Kitchen equipment $2,900
Total cash expenses = $4,750
Net income (loss) = ($4,410)
Accrual Method for Income Statement:Service revenue $1,900
Expenses:
Rent $60
Electricity 50
Salary $2,700
Depreciation $570
Total expenses = $3,380
Net income (loss) = ($1,480)
For the purchase of kitchen equipment, the accrual method records depreciation expense for the month while the cash method records the full amount paid for kitchen equipment on May 14.
Thus, a higher net loss is recorded for May when Sweet Catering uses the Cash method than the Accrual method.
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What is the main difference between a generic market and a product market
Answers
Answer:
The main difference between a generic market and a product-market is that: a generic-market involves a less similar set of needs than does a product-market. A basic difference between a "generic market" and a "product-market" is: how similar the competing sellers' products are.
Explanation:
On July 9, Mifflin Company receives an $8,500, 90-day, 8% note from customer Payton Summers as payment on account. Compute the amount due at maturity for the note and interest. (Use 360 days a year.)
Answers
Answer:
$8,670 and $170
Explanation:
The computation of the amount due at the time of maturity and the interest is shown below:
For interest, it is
= Received amount × rate of interest × number of months ÷ total number of months in a year
= $8,500 × 8% × 90 ÷ 360 days
= $170
And, the amount due at the time of maturity of the note is
= Received amount + interest
= $8,500 + $170
= $8,670
Which of the following statements about striving to reduce labor costs per pair produced at each of the company's plants is true?
a. A company cannot achieve labor costs per pair produced that are close to the lowest in the industry (in those geographic regions where it has plants) unless its annual total compensation of plant workers is below the average annual total compensation paid by all companies with plants in these same regions.
b. All companies, regardless of the strategy being employed, should pursue actions to manage employee compensation and labor productivity in a manner that results in labor costs per pair produced that are equal to (or very close to) the industry-low in each region where the company has plants.
c. It is very difficult for a company producing branded footwear with a high S/Q rating to achieve labor costs per pair produced that are below the industry average in each geographic region where the company has plants.
d. A company pursuing a low-cost provider strategy is better able to pursue actions aimed at achieving low labor costs per pair produced in each of its plants (as compared to the labor costs of companies with plants in the same regions) than is a company pursuing a differentiation strategy.
e. It is more cost effective for a company to compensate plant workers at levels that are close to the highest in the industry in each geographic region where it has plants than it is for a company to pursue actions to keep labor costs per pair produced below the industry average in each geographic region where it has plants.
Answers
Answer:
b. All companies, regardless of the strategy being employed, should pursue actions to manage employee compensation and labor productivity in a manner that results in labor costs per pair produced that are equal to (or very close to) the industry-low in each region where the company has plants.
Explanation:
The less labor cost of production per pair could be attained in following two ways
1. The productivity level is icnreased
2. The compensation should be managed and it provides the combination of both fixed and variable. Also it pays the high compensation but at the more productivity rate due to which the labor cost per pair would fall
So as per the given situation, the option b is correct
On December 31,2018,Infinity Inc.records an adjusting entry to accrue interest on a note.On January 31,2019,Infinity receives a check for $4,680,which represents two months of accumulated interest on the note.Upon receipt of this interest payment,Infinity should debit: A)Interest Receivable for $2,340,debit Cash $2,340,and credit Interest Revenue for $4,680. B)Cash for $4,680,credit Interest Receivable for $2,340,and credit Interest Revenue for $2,340. C)Cash for $4,680 and credit Interest Receivable for $4,680. D)Cash for $4,680 and credit Interest Revenue for $4,680.
Answers
Answer:
D)Cash for $4,680 and credit Interest Revenue for $4,680.
Explanation:
The Journal entry with their narrations and explanation is here shown below:-
Cash Dr, $4,680
To Interest revenue $4,680
(Being receipt of interest payment is recorded)
Therefore for recording this entry here we debited the cash as it is received and we credited the interest revenue as it is decreasing.
Solution : (Valuing preferred stock) Kendra Corporation’s preferred shares are trading for $25 in the market and pay a $4.50 annual dividend. Assume that the market’s required yield is 14 percent. a. What is the stock’s value to you, the investor? b. Should you purchase the stock?
Answers
A. The stock's value to the investor is $32.14.
B. Yes, the investor should purchase the stock as it is trading at a price lower than its value.
a. The stock’s value to you, the investor:
The annual dividend of the Kendra Corporation's preferred shares = $4.50
The market price of the stock = $25
Market's required yield = 14%
To calculate the stock's value to an investor, we use the formula:
P=D/R
Where,
P = stock’s value to you, the investor
D = Annual dividend
R = Required yield of the market
By putting the given values, we have: P= 4.5/0.14P= 32.14
Hence, the stock's value to the investor is $32.14.
b. Should you purchase the stock:
Yes, the investor should purchase the stock as it is trading at a price lower than its value. Since the stock's value to an investor is greater than its current market price, this is considered a good investment opportunity. Therefore, the investor should purchase the stock.
A brief explanation: Since the stock's market price is lower than its actual value, it indicates that the investor will receive a higher yield on the investment if they purchase the stock. In other words, the difference between the stock's market price and its value represents a discount for the investor. Therefore, it is a good investment opportunity.
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What is the relationship of
Stores function and other
departments
Answers
Answer:
Explanation:
The store function has the responsibility for the receipt custody and distribution of stocks and for the determination of appropriate quantities and qualities of material to be held since order that operational needs, may be in an economic possible therefore, store management can become an important tool. Therefore,every department in a store is supposed to work together to get sales. Managers of each department should work together to ensure each department is staffed and there is enough products.
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sment / ACCT100 Assessment 3
Superhub Ltd carries an inventory of a type of electrical device for electrician. The store uses the FIFO method and a perpetual inventory
system. Business records indicate the following transactions for the device.
July 1 (beginning): the store had 100 units of device costing $103 each
July 10: 150 devices were purchased each costing $91
July 15: 173 devices were sold
July 22: 200 devices were bought for $113 each.
July 30: 194 devices were sold
Determine the amounts of Superhub Ltd's ending inventory (at 31 July) in the month of July using the FIFO method.
st
Answer:
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Answers
Answer:
The value of closing inventory using FIFO under perpetual inventory system is $9379
Explanation:
The FIFO or first in first out method is a method of inventory valuation which basis the value of ending inventory on the assumption that the inventories that were purchased first were the ones that were sold first and the closing or ending inventory is comprised of the most recent purchases.
The perpetual method of inventory recording makes real time record and changes in the inventory level as soon as a transaction relating to inventory occurs.
The ending inventory of the business can be calculated as follows:
Transaction Purchases Sale Balance
1. Opening Inventory (100 * 103) 10300
2. July 10 purchase (150 * 91) 13650 23950
3. July 15 sale (100*103 + 73*91) 16943 7007
4. July 22 purchase (200 * 113) 22600 29607
5. July 30 sale (77*91 + 117*113) 20228 9379
Totals 36250 37171 9379
The value of closing inventory is $9379. The sale made on July 15 was made through using 100 units of opening inventory at a cost of $103 per unit and 73 units from July 10 purchases at $91 per unit.The sale made on July 30 was made through using the remaining units of July 10 purchases (150 - 73 = 77) at $91 per unit and using the units from July 22 purchase (194 - 77 = 117) at $113 per unit.The closing inventory in units is = 200 - 117 = 83The cost of closing inventory is 83 * 113 = $9379When does a student need to file a FAFSA
Answers
Answer: financial aid for tuition
Explanation:
upper and lower extremity of bursitis
Answers
Answer:
the answer is your bookjdjhmmBooynoheCNN
based on predicted production of 48,000 units, a company budgets $600,000 of fixed costs and $492,000 of variable costs. if the company actually produces 40,000 units, the flexible budget amount of fixed costs is $600,000.
Answers
Fixed cost that will remain same as $600000 because it does not change even after the increase or decrease of the goods.
Fixed cost is the cost of a business expense that doesn't change even when there's an increase or decrease in the number of goods and services produced or sold. Fixed costs are commonly related to recurring expenses that aren't directly related to production such as rent, interest payments, and insurance. Fixed costs remain the same irrespective of the level of output. Thus the fixed cost in the flexible budget would remain the same as in the static budget. Thus the fixed costs would be $600,000. it will not change.
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1.2 The communication process is a highly complex one that is hard to analyze as it is an ever-changing process and unending. Identify and explain the different elements of communication in this scenario (15) Word count: 200-300 words
Answers
The communication process is a dynamic framework that outlines the numerous ways in which a message can be sent to and received from a sender and recipient.Verbal communication is the act of conveying information orally.
How would you characterise the intricate process of communication?Oral, written, and kinetic modes of communication are all complicated processes that are deeply ingrained in everything we do as individuals or as a member of a social system.
is a difficult procedure. Whom the communication process begins and concludes with is unclear?Given the complexity of communication, it can be challenging to pinpoint the beginning and finish of a communication interaction. Communication models streamline the procedure by giving a visual depiction of the
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Discuss the different types of competitive pressures that firms competing in a global marketplace face. How can firms respond to such pressures?
Answers
Explanation:
There are several types of competitive pressures that companies that compete in a global market face, we can mention as more relevant the number of companies that are in the market offering similar products, which means that there may be barriers for new entrants, and make companies need to significantly lower their unit costs and achieve economies of scale to keep their products / services at competitive prices.
In the global market there is also the pressure of socio-environmental responsibility that a company has in the locality in which it is operating, which makes it necessary to adapt the strategies and marketing of the company's operations, products and services to meet the legal and regulatory requirements. meet the demands of consumers according to their wishes and preferences to meet their needs and remain competitive and well positioned in the global market.
why does location matter?
Answers
answer: you need to know where your at
SBA a business from any of the THREE sectors and conduct a research using newspaper clips, business articles, any business magazines, News 24 and a other business websites to answer the following Research (Part A) for your Select a business business questions. (Collect FIVE resources) must be NB After choosing the sector you able to motivate your answer then provide picture/ newspaper article of the business -You must identify challenges experienced by the business and classify those challenges according to the three Business Environments and state the extent of control.
Answers
Selecting a business from one of the three sectors, conducting research using newspaper clips, business articles, any business magazines, News 24, and other business websites to answer research (Part A) questions. This article will discuss the challenges faced by the business and classify them based on the three business environments. The business selected for this research is Sasol, which belongs to the primary sector. Sasol is an integrated energy and chemicals firm with operations in over 30 countries and more than 30,000 employees. It mines coal and convert it into synthetic fuels and chemical feedstock. Sasol operates in a challenging environment, and it faces many challenges. However, in this research, we will discuss the most important challenges faced by Sasol. The following are the difficulties Sasol faces: Environmental challenges: Sasol is a large company, and it emits greenhouse gases, which affect the environment. Furthermore, environmental regulations have become more stringent, which is a significant challenge for the company. Sasol must adhere to environmental regulations, which will impact its operations. Sasol must also protect its reputation, which is critical to its success. Sasol should be proactive in responding to environmental challenges by investing in renewable energy and ensuring that it adheres to environmental regulations. Economic challenges: Sasol faces economic challenges, including fluctuating oil prices, currency volatility, and rising operating costs. These issues are beyond the company's control, and they can have a significant impact on Sasol's financial performance. Sasol must adapt to economic changes by diversifying its revenue streams and improving its operational efficiency. Social challenges: Sasol faces social challenges such as workforce diversity, employee engagement, and community relations. Sasol must address these challenges by fostering a diverse and inclusive culture, promoting employee engagement, and engaging with the community. Sasol must also ensure that its business practices align with the expectations of its stakeholders, including customers, employees, and investors. In conclusion, Sasol faces many challenges, which can be classified into three categories: environmental, economic, and social. Sasol has limited control over some of these challenges, but it must be proactive in responding to them to ensure its long-term success.
A business that you can select for this analysis is the importation of cars into a country. Some challenges that may affect the importation of cars include import duties and trade agreements between nations.
What are business challenges?Business challenges refer to those problems that are encountered by entrepreneurs who want to go into any area of trade. For those into the importation of cars and other such items, excessive import duties might be limiting to them.
They may also experieice trade agreements sbetween nations and rising forex that amy not be favorable for trade.
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Mazu Mavuso is a 43-year-old South African resident who was employed by Veg & Fruit Limited, a South African company, until 30 November 2022. On 30 November 2022, Veg & Fruit Limited ceased its operations and the pension fund that Veg & Fruit Limited established for its employees also closed down. The Veg & Fruit Limited pension fund paid out R80 000 to Mazu Mavuso during the 2023 year of assessment. All Mazu Mavuso's pension fund contributions have been deducted in the determination of his taxable Income. Mazu Mavuso also decided to join a retirement annuity fund, to which he made a total contribution of R7 000 during the 2023 year of assessment. For the 2023 year of assessment, Mazu Mavuzo's receipts and expenses were as follow: Salary Director's fees earned Local dividends from South African companies Local interest from a non 'tax free investment' Pension fund contributions at 6.5% of his salary Retirement annuity fund contributions Qualifying medical expenses paid Donation to a qualifying section 18A Public Benefit Organisation R 720 000 110 000 45 000 24 500 ? 7 000 61 630 6 000 Calculate Mazu Mavuso’s taxable income for the 2023 year of assessment. (25 marks) 1.2) Calculate Mazu Mavuso’s total normal tax liability for the 2023 year of assessment. Assume that Mazu Mavuso had a taxable income of: • R770 900 before any retirement fund lump sum withdrawal benefits. • R843 900 after any retirement fund lump sum withdrawal benefits. (17 marks) Competency Framework Reference: E1.2 Interpretation of tax legislation b) Demonstrate the ability to apply the principles of tax interpretation to any new or unfamiliar tax legislation. E1.3 Application of tax legislation to calculate tax obligation a) Analyse the taxpayer’s tax profile. c) Apply the relevant law to the facts, determine the tax position and compute the tax payable (VAT or normal tax) for individuals and companies.
Answers
Explanation:
to calculated this question to solve
Fill in the blankthe ____ describes a situation faced in command economies in which producers have no reason to adjust production in response to shortages and surpluses in the economy.
Answers
The incentive problem describes a situation faced in command economies in which producers have no reason to adjust production in response to shortages and surpluses in the economy.
An incentive problem arises from the character's ability and desire to steer the mastering system, and therefore the salary process, with the aid of taking unobserved movements that affect contemporary performance. Incentives are advantages or costs of a movement that influence humans' decisions and conduct. stated any other manner, incentives could make people do something they would not otherwise do.
Cultural norms might also provide incentives through rewarding with social acclaim individuals who help the needy or may offer disincentives with the aid of punishing individuals who engage in robbery. economic incentives may additionally involve providing monetary prizes or economic fines for good or bad conduct, or often only trade in the fee that ends up together.
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Reggie, who is 55, had AGI of $35,200 in 2022. During the year, he paid the following medical expenses:
Drugs (prescribed by physicians)
Marijuana (prescribed by physicians)
Health insurance premiums-after taxes
Doctors' fees
Eyeglasses
Over-the-counter drugs
$ 570
1,470
1,280
1,320
445
270
Required:
Reggie received $570 in 2022 for a portion of the doctors' fees from his insurance. What is Reggie's medical expense deduction?
Answers
Reggie's medical expense deduction is $7,276.
AGI, or adjusted gross income, is a person's total income minus certain deductions and is used to calculate taxable income.
Reggie, who is 55 years old, had an AGI of $35,200 in 2022. During the year, he incurred the following medical expenses:
Drugs (prescribed by physicians): $5,701
Marijuana (prescribed by physicians): $1,470
Health insurance premiums-after taxes: $1,280
Doctors' fees: $1,320
Eyeglasses: $445
Over-the-counter drugs: $270
Reggie was reimbursed $570 by his insurance company for a portion of the doctors' fees. To calculate his medical expense deduction, we first need to subtract any reimbursements from his total medical expenses.
Total medical expenses: $5,701 + $1,470 + $1,280 + $1,320 + $445 + $270 = $10,486
Reimbursements: $570
Medical expenses after reimbursements: $10,486 - $570 = $9,916
To claim a medical expense deduction, the expenses must exceed a certain percentage of AGI, which varies depending on the taxpayer's age. For taxpayers who are 65 or younger, the threshold is 7.5% of AGI. For taxpayers who are over 65, the threshold is 7%.
Since Reggie is 55 years old, the threshold is 7.5% of his AGI or $35,200 x 0.075 = $2,640.
Therefore, Reggie can deduct the portion of his medical expenses that exceed $2,640.
Amount of medical expenses that exceed the threshold: $9,916 - $2,640 = $7,276
Therefore, Reggie's medical expense deduction is $7,276.
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The gap between what food handlers are required to know to perform their jobs and what they actually know
Answers
Answer:
training needs
Explanation:
Training can be regarded as
performance improvement tool that can be used when performance of employee is below the expectation or not meeting up to a required standard
It should be noted that training needs
The gap between what food handlers are required to know to perform their jobs and what they actually know
Respond by (1) Identifying the type of syllogism below (Categorical, Disjunctive, Conditional) and (2) explain, in your own words, why the structure of the syllogism may be correct, but the conclusion could be false.
Major Premise: If the sidewalk is wet, then it must have just rained.
Minor Premise: The sidewalk is wet.
Conclusion: Therefore, it just rained.
Answers
The type of syllogism being used in the given sentence is a conditional syllogism.
What is Syllogism?This refers to the use of reasoning in order to draw conclusions about something based on two premises.
Hence, we can see that conditional syllogism was used in the given premises and this is because it made use of either-or to show that if the sidewalk was wet, then that means that it must have rained.
This reasoning is faulty because there are different possible reasons for the sidewalk to be wet and not just rainfall.
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2.
Which form of interest provides the greater return?
a. simple
b. compound
C. complex
d. fragment
Answers
True or false many small businesses fail every year
Answers
Answer:false
Explanation:
Assume real income increased in the United States. Draw a correctly labeled graph of the foreign exchange market for the yen, and show the effect of the increased real income in the United States on the equilibrium exchange rate for the yen.
Answers
Note that when the actual income of US rises, so does the country's import demand. This means that at every level of the exchange rate, there will be more demand for Yen to conduct these import-related activities.
What is the rationale for the above response?It is to be noted that Like any other general market, the Foreign Exchange market (Forex) has a supply and demand side. There is the SS of the foreign currency on the supply (SS) side and the DD for the foreign currency under consideration on the demand (DD) side.
Hence, when the actual income of US rises, so does the country's import demand. This means that at every level of the exchange rate, there will be more demand for Yen to conduct these import-related activities. As a result, the Yd curve will change from Yd0 to Yd1. As a result, the equilibrium $/Yean exchange rate will rise from e0 to e1, indicating that the Yen has increased in value relative to the Dollars.
See attached graph for more details.
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C. Imagine you Deposit K10, 000 every six months for the next five years at an interest rate of 10% per annum. You would want to know what this value will be at the end of the period.
Required:
i. Using simple interest (5 Marks)
ii. Using compounded interest (5 Marks)
iii. If the deposits were made at the beginning of every six months (5 Marks)
iv. If the deposits were made at the end of every six months (5 Marks
Answers
i) Using simple interest, if the deposits were made at the beginning of every six months, the ending (future value) would be K127,500.
ii) Using simple interest, if the deposits were made at the end of every six months, the ending (future value) would be K122,500.
iii) Using compounded interest, if the deposits were made at the beginning of every six months, the ending (future value) would be K132,067.87.
iv) Using compounded interest, if the deposits were made at the end of every six months, the ending (future value) would be K125,778.93.
What differentiates simple interest from compound interest?The difference between simple interest and compound interest is that simple interest is only based on the principal.
On the other hand, compound interest computes interest on both the principal and accumulated interest.
Simple Interest (Deposits at Beginning):Period Principal Interest Balance
1 K10,000 K500 K10,500 (K10,000 + K500)
2 20,000 1,000 21,500 (K10,500 + K10,000 + K1,000)
3 30,000 1,500 33,000
4 40,000 2,000 45,000
5 50,000 2,500 57,500
6 60,000 3,000 70,500
7 70,000 3,500 84,000
8 80,000 4,000 98,000
9 90,000 4,500 112,500
10 100,000 5,000 127,500
Simple Interest (Deposits at Ending):Period Principal Interest Balance
1 K10,000 K0 K10,000
2 20,000 500 20,500 (K10,000 + K10,000 + K500)
3 30,000 1,000 31,500
4 40,000 1,500 43,000
5 50,000 2,000 55,000
6 60,000 2,500 67,500
7 70,000 3,000 80,500
8 80,000 3,500 94,000
9 90,000 4,000 108,000
10 100,000 4,500 122,500
Compound Interest at Ending:N (# of periods) = 10 (5 x 2)
I/Y (Interest per year) = 10%
PV (Present Value) = K0
PMT (Periodic Payment) = K10,000
Results:
FV = K125,778.93
Sum of all periodic deposits = K100,000 (K10,000 x 2 x 5)
Total Interest = K25,778.93
Compound Interest at Beginning:N (# of periods) = 10 (5 x 2)
I/Y (Interest per year) = 10%
PV (Present Value) = K0
PMT (Periodic Payment) = K10,000
Results:
FV = $132,067.87
Sum of all periodic deposits = K100,000 (K10,000 x 2 x 5)
Total Interest = K32,067.87
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How much time is involved in an electrician?
Answers
Answer:
Maintenance electricians usually have regular work which they complete in a typical 40-hour week. Most keep regular business hours on weekdays and don't usually work on weekends, public holidays, or late at night. Some electricians work on-call and put in extra hours to troubleshoot urgent problems.Sep 20, 2017
Explanation:
The information of manufacturing cost of product A and products B in
THANH company in 200N as follows:
Production cost per unit (S)
Product A
Materials 200
Wages 100
Fixed overhead 350
Variable overhead 150
Profit 200
Selling price 1000
Output per week 200
Product B
Materials 150
Wages 200
Fixed overhead 100
Variable overhead 200
Profit 350
Selling price 1000
Output per week 100
Required:
Comments on the relative profitability of product A and products B in THANH company in 200N
Answers
Manufacturing cost of both product A and product B have a profit margin of $0 per unit.
To assess the relative profitability of product A and product B in the THANH company in 200N, we need to compare their profit margins. Profit margin is calculated by subtracting the production cost per unit from the selling price per unit.
Let's calculate the profit margins for both products:
Product A:
Selling price per unit: $1000
Production cost per unit: $200 (Materials) + $100 (Wages) + $350 (Fixed overhead) + $150 (Variable overhead) + $200 (Profit) = $1000
Profit margin per unit = Selling price per unit - Production cost per unit = $1000 - $1000 = $0
Product B:
Selling price per unit: $1000
Production cost per unit: $150 (Materials) + $200 (Wages) + $100 (Fixed overhead) + $200 (Variable overhead) + $350 (Profit) = $1000
Profit margin per unit = Selling price per unit - Production cost per unit = $1000 - $1000 = $0
From the calculations, both product A and product B have a profit margin of $0 per unit.
Based solely on the profit margins, it appears that neither product A nor product B is profitable for the THANH company in 200N. However, it's important to note that this analysis only considers the production cost per unit and does not take into account other factors such as demand, market conditions, or overall company profitability.
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1) using information in this case study , estimate Mylans yearly profit.Do not include opportunity cost and assume families do not use discounts or coupons
2) 2. (1 point) Again, use information in this case study. Assume that the cost to develop the Epi-Pen was the average cost to bring a new drug to market, and that every Epi-Pen is sold at full price. At a price of $600 per two-pack, how many two-packs would be necessary to recoup the costs? What about a price of $100 per two-pack?
3) (1 point) What might cause Mylan to reduce the price of the Epi-Pen?bu
Answers
its 200
Explanation:
600-100=500-2=498 600+100=700-2=798 798-498= 200