Answer:
E. $63,401
Explanation:
gain on disposal = salvage value of plant - book value on date of sale
= $5,790 - $4,820
= $970
tax on disposal = $970*35%
= $339.50
after tax salvage value = $5,790 - $339.50
= $5,450.50
total cash flow in 4 years
= annual operating cash flow + net working capital + after tax salvage value
= $53,500 + $4,450 + $5,450.50
= $63,401
Therefore, The Year 4 cash flow is $63,401.
Answer:
The concept of equivalence, also known as economic equivalence, describes the reduction of a series of cash inflows (benefits) and cash outflows (costs) to a single point in time, using a single interest rate, which enables the cash flows to be compared or equated. This implies that while the amounts and timing of the cash flows (both inflows and outflows) may differ, an appropriate interest rate, factoring in the time value of money, will cause one set to be equal to the other. Therefore, to establish economic equivalence, series of cash flows that occur at different points in time must be equalized using a single interest rate through present value calculations.
Explanation:
The concept of equivalence describes a combination of a single interest rate and the idea of the time value of money. This combination helps to determine the different amounts of money at different points in time that are equal in economic value, such that a person would not hesitate to trade one for the other.
For example, if the interest rate is 10% in Year 1 and in Year 2 and you are to be paid $1,000 in Year 1, it will not make any difference to you if you are paid $1,100 in Year 2. This is because, given the prevailing interest rate of 10%, the value you receive in Year 1 and Year 2 are equivalent.
The term that is being referred above is the Personal Balance Sheet or Statement. This shows the result of your assessment as to what you own and what you can owe. This assessment aims to check your financial health and the status of your personal finances. Answer to this is the first option.
Answer: B. classification is a political issue—these groups fear that their political clout will decline if their numbers go down
Explanation:
These organisations fear that their numbers will go down because should a multiracial category be added, they will have less people classified as the races their organisation caters for. More numbers in an organisation means greater power and influence and we've seen this when large trade unions hold entire companies hostage simply because they have the numbers.
A great example would be the Ikwere people of Southern Nigeria. They share a common ancestry with the Igbos of Eastern Nigeria and generally have very similar customs. Even the language is similar and they had always been considered Igbo until after the Civil War in Nigeria broke out with the Igbos being the main rebels. With the Civil war concluded, the Federal Government officially recognized the Ikwere as an ethic group independent of the Igbo. The Ikwere occupied crude oil rich areas and this recognition therefore robbed the Igbo of valuable lands and political clout.
Whilst not strictly the same as these organisations losing people to the multiracial category, it shows what can happen to an organisation should their numbers decrease
Answer: Efficiency wage theory
Explanation:
The efficiency wage theory is refers to the labor economics that argues about the wages fir the labor or workers in the market.
The main aim of the efficient wage theory is that it helps in increase the efficiency and the labor productivity by reducing the cost of the turnover in industries.
This theory is mainly developed by the Alfred Marshall as they denote the wages per unit labor efficiency. Therefore, the efficiency wage theory is the correct answer.
