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nikklg [1K]
3 years ago
5

Lane co. has a machine that cost $500,000. it is to be leased for 20 years with rent received at the beginning of each year. lan

e wants a return of 10%. calculate the amount of the annual rent.
Business
1 answer:
Pavlova-9 [17]3 years ago
3 0
Use the formula of the present value of an annuity due which is
Pv=pmt [(1-(1+r)^(-n))÷r]×(1+r)
Pv present value 500000
PMT amount of the annual rent?
R rate of return 0.1
N time 20 years

Solve the formula for PMT
PMT=pv÷[(1-(1+r)^(-n))÷r]×(1+r)
PMT=500,000÷(((1−(1+0.1)^(−20))
÷(0.1))×(1+0.1))
=53,390.73 round your answer to get 53391
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3 years ago
Historically, a factory has been able to produce a very specialized nano-technology component with 35% reliability, i.e., 35% of
pochemuha

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Yes

Explanation:

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The  Probability of getting 13 or more passed

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5 0
3 years ago
Inventory records for Marvin Company revealed the following:
lbvjy [14]

Answer:

Ending inventory= $5,592.45

Explanation:

Giving the following information:

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Mar. 10: Purchase: 510 units at $7.75

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Mar. 23: Purchase: 510 units at $9.05

First, we need to calculate the number of units in ending inventory:

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6 0
3 years ago
Zorn Co. budgeted $600,000 of factory overhead cost for the coming year. Its plantwide allocation base, machine hours, is budget
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Answer:

False.

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Now, finding plantwide factory overhead rate.

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⇒ Plantwide factory overhead rate= \frac{600000}{100000} = \$ 6 per\ hours

Hence, Zorn´s plantwide factory overhead rate is $6 per hour not $3 per hour.

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3 years ago
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