True or false: if the sales comparison approach cannot be developed because of a lack of sales data, the cost approach cannot be
1 answer:
You might be interested in
Answer:
"2000 units" is the right solution.
Explanation:
The given values are:
Transferred from WIP,
= 53,000 units
Units sold,
= 61,000 units
Beginning inventory,
= 10000 units
Now,
The total number of finished goods will be:
=
On substituting the values, we get
=
=
Answer:
which one of two machines to acquire given equal machine lives but unequal machine costs.
Explanation:
equivalent annual cost (EAC) is used in determining which investment to make when the investments have different life spans.
When investments have different life spans, the net present value(NPV) cannot be used in making decisions on investment.
EAC=
where r = interest rate
n = number of years
The decision rule is to invest in the investment with the higher EAC