Determining the baseline performance occurs in the six sigma dmaic step known as: measure
Answer: barter
Explanation:
Barter is an exchange system whereby money isn't used as the medium of exchange but rather, there's a direct exchange of goods or services.
From the question, we are given the information that Italy agrees to buy 5,000 cars from Comfort Cars Inc. in exchange for 5,000 barrels of oil. This shows that a barter system took place.
Answer:
c. Reject the project because the NPV is negative $120,921
Explanation:
As we know that the depreciation is a non-cash expense so here we need to add the depreciation expense again
Now the cash inflow would be $100,000 each year i.e. for 5 years
And, the initial investment is $500,000
Now we have to use the formula of NPV in an excel by using the NPV function
=NPV(rate,Year1 to Year5 cashflows)-Year0 cashflow
=NPV(10%,Year1 to Year5 cashflows)-500000
=-120,921
So as we can see that the npv comes in negative so the project should be rejected
Therefore the correct option is c.
B. Direct write off method records bad debt expense only one account is determined to be worthless
Answer:
130%
Explanation:
Calculation for the predetermined overhead rate
Using this formula
Predetermined Overhead rate = Total Overhead Costs / Total direct materials costs
Let plug in the formula
Predetermined Overhead rate= $1,170,000 / $900,000
Predetermined Overhead rate=1.3*100
Predetermined Overhead rate= 130%
Therefore the Predetermined Overhead rate will be 130%