Answer:
Melody's net income for may is $ 1,075.
Explanation:
New income in cash basis = collection from instruction - piano rental bill
= $ 1,575 - $ 500
= $ 1,075
Therefore, Melody's net income for may is $ 1,075.
Answer:
NPV = $55,894.45
Explanation:
the initial outlay of the project is $200,000
the salvage value is $10,000
useful life 10 years
annual costs $9,000
annual savings $50,000
luckily there are no taxes in space
we must determine the effective interest rate in order to be able to discount the future cash flows
(1 + 0.0478/6)¹² - 1 = 9.99%
the net cash flow per year (for years 1 - 9) = $50,000 - $9,000 = $41,000
net cash flow for year 10 = $41,000 + $10,000 = $51,000
using a financial calculator, the NPV = $55,894.45
Answer: Accounting profit= $44,500
Economic Profit = $4,150
Explanation: <em>Accounting profit</em> are the profit earned by subtracting explicit cost from the total revenue earned.

<em>Economic profit</em> are profits lefts out after subtracting implicit (opportunity) cost and explicit ( monetary) costs. It is given by

In this case, the explicit cost include rental cost, office supplies, office staff and telephone expenses.
While, implicit cost include the 7% interest foregone on the $5000 savings and the salary foregone ($40,000) by choosing to startup a business than take up the job.
Do you have answer choices?
beacause there are multiple sites out there :)