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3 years ago

What type of assets (or liabilities) more readily lend themselves to fair value measurements?

2 answers:

Ivan3 years ago

3 0

Financial assets and liabilities have been shown to lend themselves more readily to fair value. Financial assets refer to cash, equity in another company and contracts that will result in cash, while financial liabilities refer to contractual obligations, or owing of cash.

Elanso [62]3 years ago

3 0

<span>Financial assets and liabilities more readily lend themselves to fair value measurements. Fair value measurements are the price that would be received to sell an asset or transfer a liability between those in the market by a certain date. Financial assets include cash, equity, contracts and other ways the company can bring in income. Liabilities are obligations owed to individuals or other corporations or owing someone cash.</span>

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Eddie is a production engineer for a major supplier of component parts for cars. He has determined that a robot can be installed

Musya8 [376]

Answer:

Eddie should recommend the purchase of the robot.

Explanation:

This can be determined using the following 3 steps:

Step 1: Calculation of the present worth (PW) of the cost of one employee

This can be calculated using the formula for calculating the the present value (PV) of a growing annuity as follows:

PWE = (P / (r - g)) * (1 - ((1 + g) / (1 + r))^n) .................... (1)

Where;

PWE = Present worth of the cost of one employee = ?

P = first or this year annual cost = $58,240

r = interest rate = 15%, or 0.15

g = annual growth rate of cost of the one employee = 6%, or 0.06

n = number of years = 10

Substituting the values into equation (1), we have:

PWE = ($58,240 / (0.15 - 0.06)) * (1 - ((1 + 0.06) / (1 + 0.15))^10) = $360,654.33

Step 2: Calculation of the present worth (PW) of the cost of the robot

This can be calculated using the following formula:

PWR = C + ((P / (r - g)) * (1 - ((1 + g) / (1 + r))^n)) - (SV / (1 + r)^n) .................... (2)

Where;

PWR = Present worth of the cost of the robot = ?

C = cost of installing the robot = $75,000

P = first year cost of operating the robot = $16,500

r = interest rate = 15%, or 0.15

g = annual growth rate of cost of operating the robot = Annual increase in cost / P = $1500 / $16,500 = 0.0909090909090909

n = number of years = 10

SV = Salvage value = $5,000

Substituting the values into equation (2), we have:

PWR = $75,000 + (($16,500 / (0.15 - 0.0909090909090909)) * (1 - ((1 + 0.0909090909090909) / (1 + 0.15))^10)) - (SV / (1 + 0.15)^10) = $188,227.75

Step 3: Recommendation

PWE = Present worth of the cost of one employee = $360,654.33

PWR = Present worth of the cost of the robot = $188,227.75

Since present worth of the cost of the robot of $188,227.75 is lower than the present worth of the cost of one employee of $360,654.33, Eddie should recommend the purchase of the robot.

6 0

3 years ago

Search and wait unemployment is another way to describe rev:

sasho [114]

Answer:

d. frictional unemployment

Explanation:

Frictional unemployment is the type of employment associated with people who are intentionally unemployed, as a result of searching for a better and well paid job. It is called search and wait unemployment because of the time delay workers have to wait before getting a new job.

This type of unemployment usually occur in a health economy which is due to an economy's employment transition. Here, workers who are changing their jobs and those who will be hired for the first time constitute what is called frictional unemployment.

7 0

3 years ago

A company incurs $12,000 in direct labor costs when they produce 480 units and $12,500 in direct labor costs when they produce 5

Xelga [282]

The direct labor cost per unit is $ $25$ per unit.

Direct labor cost:

Wages paid to employees directly related to producing goods or rendering customer services are referred to as direct labor costs. The overall direct labor cost exceeds wages paid by a significant amount.
Any employee directly involved in a product's manufacturing is referred to as direct labor.
The overall cost of creating a product or taking part in a project includes direct labor expenditures, which are a significant component. The amount of time that employees spend on various activities must be recorded in order to determine direct labor costs. The time they invested in a project is then compounded by their hourly rate.

When you obtain a bigger loan, your mortgage broker makes more money.

Cost of direct labor per unit calculation:

Direct labor cost per unit

= total direct labor cost / unit produced

= $ $12,000/480$ units (or) $ $12,500/500$ units

=$ $$25$ per unit

Direct labor cost per unit = $ $25$ per unit

Learn more about direct labor cost here brainly.com/question/26245657

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6 0

1 year ago

The Financial Accounting Standards Board (FASB) is the body authorized to establish accounting principles for all colleges and u

liraira [26]

Answer:

The given statement is "False".

Explanation:

The agency or institution including all businesses, profit-oriented accept or reject, once again to create accountability guidelines, is determined as FASB.
These are predicated on the notion that sometimes business, as well as the profession of investment products, function efficiently when there is trustworthy, succinct, as well as straightforward contact reporting.

Thus the above is the correct answer.

3 0

3 years ago

The Target Copy Company is contemplating the replacement of its old printing machine with a new model costing $60,000. The old m

uranmaximum [27]

Answer:

$33,600

Explanation:

For computing the initial after tax outlay , we need to do the following calculations:

1. Determine the profit or loss on sale of old printing machine:

Loss = Sale value - Book value

= $24,000 - $30,000

= $6,000

2. Determine the tax on loss on sale of machine:

= Loss × tax rate

= $6,000 × 40%

= $2,400

3. The after-tax salvage value is shown below:

= Salvage value + loss on tax

= $24,000 + $2,400

= $26,400

4. Now the initial after tax outlay would be

= Machine cost - after-tax salvage value

= $60,000 - $26,400

= $33,600

4 0

3 years ago