Answer:
<u>Prize is $22,071.39 worth today</u>
Explanation:
Present value of Annuity = A*[(1-(1+r)^-n)/r]
A - Annuity payment = 500
r - rate per period = 6/12 = .5%
n - no. of periods = 50
Present value of Annuity = 500*[(1-(1.005)^-50)/.005]
= 500*[(1-0.77928606825)/.005]
= 500*44.14278635
= $22,071.39
Answer:
a. by finding the percentage increase in net profits over time
Explanation:
The primary reason why companies engage in business is to make profit. When profits are made, that means there will be opportunity for expansion. A company that does not make profit will not expand hence the possibility of its survival will not exist.
Companies make profit to finance business operation, purchase critical assets etc. Companies measure their profit growth to know how well their profit increase overtime and it is measured by finding the percentage increase in net profits overtime.
Answer:
Equilibrium Price = 48
Equilibrium Quantity = 164
Explanation:
Market equilibrium at : Market Quantity Demand = Market Quantity Supplied
QD = QS
500 - 7P = 20 + 3P
500 - 20 = 3P + 7P
480 = 10 P
P = 480 / 10
Equilibrium Price = 48
Equilibrium Quantity : Quantity Demanded = Quantity Supplied
Putting value of equilibrium price in QD & QS (equalised), we get :
500 - 7(48) = 20 + 3 (48)
Equilibrium Quantity = 164
Answer:
manufacturing overhead underallocated for the year $124,102.4
Explanation:
we distribute the expecte rate over the cost dirver
582,100 / 135,000 = 4.3185
150400 x 4.3185 = 649502.4 applied overhead
applied - actual = over or underappied
if actual > applied = underapplied
if actual < applied = overhead
525,400 - 649,502.4 = -124,102.4