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andreyandreev [35.5K]
2 years ago
15

The replacement of a planning machine is being considered by the Reardorn Furniture Company.​ (There is an indefinite future nee

d for this type of​ machine.) The best challenger will cost ​$30 comma 000 for installation and will have an estimated economic life of 13 years and a ​$1 comma 500 MV at that time. It is estimated that annual expenses will average ​$13 comma 000 per year. The defender has a present BV of ​$6 comma 500 and a present MV of ​$5000. Data for the defender for the next three years are given below. Using a​ before-tax interest rate of 18​% per​ year, make a comparison to determine whether it is economical to make the replacement now.
Business
1 answer:
Yuliya22 [10]2 years ago
3 0

Answer:

We have the comparison below

Explanation:

                                                     1          2           3

Expenses for the year 20000    27000      34000

PVIF at 12%                      0.89286   0.79719      0.71178

PV of expenses                 17857    21524       24201

Cumulative PV of expenses 17857 39381 63582

EOY MV                                        -1000 -1750 -2500

PV of MV                                 -893 -1395 -1779

Total PW (4000+ PV of expenses - PV of MV) 22750   44776    69361

P/A                                            0.89286 1.69005 2.40183

EUAC                                     25480 26494 28879

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Answer:

D. $193,750

Explanation:

Calculation for the wages and salaries in the flexible budget for July

FLEXIBLE BUDGET FOR JULY

Using this formula

Flexible budget= Wages and salaries Cost formula per month+Actual activity press runs*Wages and salaries per press runs+Actual activity book set-ups*Wages and salaries book set-up

Let plug in the formula

Flexible budget=$8,850+201*400+110*950

Flexible budget=$193,750

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Suppose you would like to make a global change to the font type and font color for all slides with the comparison layout. Which
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D. Use slide master.

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27) Cooley Landscaping Company needs to borrow $30,000 for a new front-end dirt loader. The bank is willing to loan the funds at
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Answer:

The annual payment at the end of each year: $4,572.23

Explanation:

The formular for calculating Present value of Annuity is applied in this case to help us find the equal annual payment.

Applying information in the question, we have the annuity that have:

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The formular for PV of Annuity: PV = (C/i) x [ 1- (1+i)^(-n)] <=> C = (PV x i) / [ 1- (1+i)^(-n)]

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Answer:

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Explanation:

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3             Purchase             5            $20             $100

10            Sale                     3

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20           Sale                     6

23           Sale                     3

30           Purchase           10             $30            $300

using the first in, first out method, the COGS is calculated based on the oldest price of the units in merchandise inventory:

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