<span>Fortunately, this is a simple calculation to compute; use the value of your starting direct materials inventory, your direct materials purchased and your direct materials used to find the ending inventory of direct materials.</span>
The metrics based on financial numbers produced by the accounting system are quantitative factors.
Quantitative factors are numerical outcomes from any decision which could be measured. These factors are commonly included in various financial analyses, which are used to evaluate any situation.
Managers are generally taught to rely on quantitative factors as a large part of their decision-making processes.
In other words, managers can easily quantify the effects of a decision. This could include measuring different costs, revenues, or even non-financial data for outcomes to a decision.
To know more about quantitative factors here:
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Here is the answer of the given question above. The decision rule that should be followed when deciding if a business segment should be eliminated is this: Segments with revenues which are less than avoidable expenses should be considered for elimination. <span>Unavoidable expense are those expense which will continue to be incurred whether segment is continued or discontinued. Hope this helps.</span>
Answer:
Q1. Selena would have earned <u>$25</u> in interest by the end of the year.
We calculate interest using the Simple Interest (SI) formula which is :
where
P = Principal or amount deposited
N = No. of years of deposit
R= Interest rate per annum
Substituting the values we have,
Q2. At the end of two years (eight quarters), the balance in the account will be <u>$866.28</u> . That means Suki will have earned <u>$66.28</u> in interest during that time.
We have
Amount deposited (P) = $800
Annual interest rate (i)= 4%
No. of compounding periods in a year (n)= 4
No. of years (t)= 2
We calculate amount at the end of two years with the following formula:
[tex]Compound interest = 866.2853645 - 800 = 66.2853645[/tex]
Q3. It will take <u>18 years</u> for the money to double to $100.
The rule of 72 is used for determining the time period in which an investment doubles itself. We use this rule by dividing 72 by the interest rate.
So,