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3 years ago

Costs that have been incurred and cannot be eliminated regardless of the alternative chosen are ________.

Business

1 answer:

IrinaK [193]3 years ago

7 0

Answer:

sunk costs

I'm assuming this is multiple choice, but since you haven't provided any of the options I dont know if this will be correct.

Explanation:

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Ken pays $4803.60 for a 3-year annuity of $2,000 per year. What is the Internal Rate of Return?

Veseljchak [2.6K]

Answer:

the internal rate of return is 12%

Explanation:

The computation of the internal rate of return is shown below:

Year Particulars Amount

0 Initial cost -$4,803.6 (C2)

1 Year 1 cash inflows $2,000 (C3)

2 Year 2 cash inflows $2,000 (C4)

3 Year 3 cash inflows $2,000 (C5)

IRR 12.00%

Use this below formula

=IRR(C2:C5)

Hence, the internal rate of return is 12%

5 0

3 years ago

In a process costing system, the application of factory overhead usually would be recorded as an increase in: (CPA adapted) A. F

otez555 [7]

Answer: Factory overhead control

Explanation: Factory overhead is the account where the amount of cost incurred while manufacturing a product is recorded and no direct labour or material is recorded. When the manufactured goods are finished and produced they are recorded as expenses when the goods are sold as manufactured finished products.

All the expenses related to the factory are included in this account such as rent, utility, electricity, supplies, tools. Factory overhead is known as manufacturing burden or expenses.

7 0

4 years ago

Maywood, Inc. signs a $17,000, 8.5%, six-month note dated November 1, 2017. The interest expense recorded for this note in 20

exis [7]

Answer:

$241

Explanation:

Of the six month tenor of the note, the period that falls into 2017 is 2 months (that is, November 1 to December 31). In addition, by default, interest rates are stated on an annual basis except indicated otherwise. Therefore, it is assumed that 8.5% rate indicated in the question is an annual rate.

The computation of the interest that falls into 2017 is as follows:

= $Note Amount*interest rate*\frac{number of months in 2017}{12 months in a year}$

= $17,000 * 8.5% * 2/12

= $240.83

= approx. $241.

5 0

3 years ago

given a cost of 70,000 now year 0 15,000 in year 10 an annual cost of 2000 and an annual revenue of 15,000 over 20 years n what

Damm [24]

Answer:

The maximium cost I would be willing to purchase the asset is 26.033,84‬ above this price the investment will not yield the 6% return.

Explanation:

We calcualte the present value of all cash flows:

annual cashflow:

15,000 revenue - 2,000 expenses = 3,000

$C \times \frac{1-(1+r)^{-time} }{rate} = PV\\$

C 3,000.00

time 20

rate 0.06

$3000 \times \frac{1-(1+0.06)^{-20} }{0.06} = PV\\$

PV $34,409.7637

Pv of the 10th year investment:

$\frac{Maturity}{(1 + rate)^{time} } = PV$

Maturity $15,000.0000

time 10.00

rate 0.06000

$\frac{15000}{(1 + 0.06)^{10} } = PV$

PV 8,375.9217

present value of the cashflow

34,409.7637 - 8,375.92 = 26.033,84‬

3 0

4 years ago

The average lead time of a unit of product through a manufacturing station is 18 minutes. The average work in process inventory

vlabodo [156]

Answer:

Production rate = 1.66 pieces/min (Approx)

Explanation:

Given:

Average lead time = 18 minutes

Average work in process inventory = 30 pieces

Find:

Production rate

Computation:

Production rate = Average work in process inventory/Average lead time

Production rate = 30/18

Production rate = 1.66 pieces/min (Approx)

6 0

3 years ago