D. office of student federal aid
Answer:
a. $17.44 per hour
b. $43,600 ; $104,640
Explanation:
The computation is shown below:
a. Single plantwide overhead rate equals to
= Total Overhead Amount ÷ Budgeted Direct Labor Hours
where,
Total overhead amount is
= $625,000 + $900,000 + $105,000 + $175,000 + $300,000 + $75,000
= $2,180,000
And, the budgeted direct labor hours is 125,000
So, the overhead rate is
= $2,180,000 ÷ 125,000
= $17.44 per hour
2. Now the overhead cost is
For Deluxe model
= 2,500 direct labor hours × $17.44 per hour
= $43,600
For basic model
= 6,000 direct labor hours × $17.44 per hour
= $104,640
Answer:
market trends change constantly, funding fall through, business partners flake, and ideas may go wrong
Answer:
The answer is: The insurer should be guaranteed positive economic profits.
Explanation:
The insurer (or insurance company) like any other company in the world, is not 100% sure they will make a profit from a business transaction.
For example, a person that takes a life insurance policy for $1 million might die due to an accident, and the insurance company will lose money with that specific client.
Answer:
Year Cashflow [email protected]% PV
$ $
0 (14,900) 1 (14,900)
1-12 4,000 5.6603 <u>22,640</u>
NPV <u> 7,740</u>
Explanation:
In this respect, we need to calculate the discount factor of annual cash inflows for 12 years at 14 discount rate. For this purpose, present value annuity interest factor will be used since the cash inflows are constant. Then, we will multiply the annual cashflows by the discount factor so as to obtain the present value of cash inflows. Then, we will deduct the initial outlay from the present value of cash inflows in order to obtain the net present value of the proposal.
