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Natalija [7]
3 years ago
13

A company purchased equipment and signed a 6-year installment loan at 8% annual interest. The annual payments equal $9,400. The

present value of an annuity factor for 6 years at 8% is 4.6229. The present value of a single sum factor for 6 years at 8% is .6302. The present value of the loan is:_________.
a. $9,400.
b. $5,924.
c. $14,916.
d. $56,400.
e. $43,455.
Business
1 answer:
AlekseyPX3 years ago
8 0

Answer: e. $43,455

Explanation:

Annual payments are constant so this is an annuity. To calculate the present value of an annuity, multiply the annity by the present value of an annuity factor corresponding with its discount rate and number of periods.

Present value of loan = 9,400 * present value of an annuity factor, 6 years, 8%

= 9,400 * 4.6229

= $43,455.26‬

= $43,455

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<span>The breakeven point in units for Fuschia is 7000 units. You find this figure by taking the total fixed costs (84,000) and dividing it by the contribution margin (12). This gets you to the breakeven point that the company can expect.</span>
7 0
4 years ago
Magpie Corporation uses the total cost concept of product pricing. Below is the cost information for the production and sale of
skelet666 [1.2K]

Answer:

Correct answer is C. $ dollars.

Calculation:

Rate of Retun PU = (21%*605,000)/58,700 = 2.16

Fixed factory overhead PU = 38,500/58,700 = 0.66

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By adding all above mentioned per unit cost we get 15 dollars aprox

so

Correct answer is 15 dollar.

3 0
3 years ago
The difference between total assets of a firm and its total liabilities is called_______.
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The difference between the total assets of a firm and its total liabilities is called <u>net worth</u>.

Net worth is the value of all of your property, minus the whole of all your liabilities. Positioned every other manner, it's miles what you personal minus what you owe. If you owe extra than you own, you have got a bad internet worth. if you very own greater than you owe you will have a nice net well worth.

Net worth is the price of all of the non-economic and economic assets owned with the aid of a man or woman or group minus the fee of all its fantastic liabilities. Net actual worth is the cost of all assets, minus the whole of all liabilities. placed any other manner, internet well worth is what's owned minus what is owed.

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4 0
1 year ago
You buy a share of The Ludwig Corporation stock for $21.70. You expect it to pay dividends of $1.00, $1.16, and $1.3456 in Years
Vesnalui [34]

Answer:

g = 16%

dividends yield:

Year 1 4.60%

Year 3: 4.78%

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year 1 20.6%

year 3 20.78%

<u></u>

Explanation:

<u>grow rate:</u>

D1 /D0 = g

1.16/1.00 - 1 = 0.16

1.3456/1.16 - 1 = 0.16

the grow rate is 16%

<u>dividend yield:</u>

dividends/stock price =  dividend yield

1/21.7 = 0,0460 = 4.60%

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dividend yield + grow rate

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8 0
3 years ago
Creating a different and unique product is called a
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Answer:

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This is simply a strategy used by marketers to make their product different from that of their competitors.

Product Differentiation aims to make a product different so that potential buyers would identify the uniqueness of the product from other similar products.

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