Answer:
If compounded weekly =
No of weeks in a year=52
N= 52
EAR= (1+I/N)^N -1
=(1+0.12/52)^52 -1
=0.127=12.7% EAR
If compounded semiannually
N= 2
EAR= (1+0.13/2)^2 -1
=13.42%
It is better to borrow at 12% compounded weekly as the EAR is lower than 13% compounded semi annually.
Explanation:
Answer:
d.$18,900
Explanation:
Gross Profit is the net of Sales value and production cost in the period for the units sold. Under absorption costing all the direct and indirect costs incurred in the production of products are included in the total production cost. As the cost is available for 100 units produced we need to calculate the cost of 90 unit and deduct this cost from the sales value to determine the gross profit and then deduct the operating expenses to calculate the operating income.
Sales (90 units) $90,000
Less: Production costs:
Direct materials ( $40,000 x 90/100 ) $36,000
Direct labor ( 20,000 x 90/100 ) $18,000
Variable factory overhead ( 2,000 x 90/100 ) $1,800
Fixed factory overhead ( 7,000 x 90/100 ) <u>$6,300</u>
Total Production cost <u>($62,100)</u>
Gross Profit $27,900
Less Operating expenses:
Variable operating expenses $8,000
Fixed operating expenses $1,000
<u>($9,000)</u>
Operating Income <u>$18,900</u>
Answer:
there are no options there ....
hope you may add the options
What is your favorite food that come from your culture mine are probably Tomales
Based on the amounts that you are offered and their present values, the offer you should pick is Birr 10,000 in 12 years.
<h3>Which offer should you pick?</h3>
You should pick the offer with the highest present value.
Offer 1 present value:
= Birr 1,000
Offer 2 present value:
= 10,000 / (1 + 11%)²
= Birr 2,858
Offer 3 present value:
= 25,000 / (1 + 11%)³
= Birr 1,840
In conclusion, option 2 has the highest present value and so should be picked.
Find out more on present value calculations at brainly.com/question/27821989.
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