Answer: 500kg
Explanation:
Economic Order Quantity (EOQ) is the amount of units that should be added by a company to its inventory so.as to reduce total inventory cost.
From the question, the economic order quantity will be calculated as:
Drmqnd per year will be:
= 250 days/$0.04
= 12500 kg/year
The annual carrying cost per unit will be:
= $0.04/250
= $10/year
Ordering cost = 100
EOQ =[√(2×12500×100)/10]
= √2500000/10
= ✓250000
= 500 kg
Answer:
D. 10.0%
Explanation:
As the bank reqiresd 10% compensating balance the actual amount unrestricted for the loan is 48,000 x (1 - 10%) = 43,200
and from this amount we have to solve for the effective rate:
principal x rate = interest
48,000 x 0.09 = 4,320
now we divide the interest over the actual principal to know the effective rate:
4,320 / 43,200 = 0.10 = 10%
Answer: $650,000
Explanation:
Given that,
Fair and par value of issued bonds = $150,000
Prior acquisition, McGuire reported
Total assets = $500,000
Liabilities = $280,000
Stockholders’ equity = $220,000
At that date, Able reported
Total assets = $400,000
Liabilities = $250,000
Stockholders’ equity = $150,000
Account payable to McGuire = $20,000
Total assets reported by McGuire after acquisition:
= Total assets + Fair value of investment
= $500,000 + $150,000
= $650,000
Use the formula of the present value of an annuity ordinary which is
Pv=pmt [(1-(1+r)^(-n))÷r]
Pv initial investment?
PMT annual cash flow 10000
R interest rate 0.14
N time 5years
Pv=10,000×((1−(1+0.14)^(−5))÷(0.14))
pv=34,330.81
Answer:
B.
Current Ratio 3.86
Quick Ratio 1.48
NWC to total assets ratio 0.458
C. Debt to asset 0.452
Debt to equity 1.18
Interest Coverage 6 times
D. Net profit margin 5.8%
sales to total asset 2.48 times
return on assets 14.5%
E. Equity multiplier 2.18 times
Explanation:
<u>A.</u>
<u>Income Statement :</u>
Sales $325,000
Operating costs $285,000
Gross profit $40,000
Less Expense :
depreciation $10,000
Earning before Interest and Tax $30,000
Interest Expense $5,000
Earning after Tax $25,000
Tax expense $6,000
Net Income $19,000
<u>Balance Sheet:</u>
Assets:
Cash $1,000
Receivables $30,000
Inventories $50,000
Current Assets $81,000
Fixed Assets $50,000
Total Assets $131,000
Equity:
Stockholder's Equity $60,000
Liabilities:
Payables $11,000
Accruals $10,000
Current Liabilities $21,000
Long term Loan $50,000
Total equity and liabilities $131,000
