Driving a motor vehicle is _________

A newly established company, The Malt Company, wishes to enter the beer market in Country A by building a new brewery there. Man

Alina [70]

Answer: barriers to entry

Explanation:

Barriers to entry are also known as economic barrier to entry. They are hindrances which makes entering a particular market difficult by new entrant.

Barrier to entry are fixed cost that must be incur by a new company irrespective of their sales or production level, this cost are incur by new entrant which those who have been in the industry before do not have to incur.

Few common barriers to entry includes technology, government regulation and policy, economies of scale, etc.

4 0

3 years ago

"Rico's Grill, Inc. is solely owned by Rico Vito. Rico's Grill borrows $10,000 from a local bank to finance the purchase of a ne

Aneli [31]

Answer:

Need not make any special disclosure

Explanation:

The reason is that it is not a parent-subsidiary transaction which means if the group as a whole trade with each other then they must add a special disclosure in the financial statement otherwise it must be neglected. The company must not specially disclose small borrowings from the lenders when it is presenting that figure in the financial statement borrowing figures. If the transaction is between the group or the borrowings are prominent it must be disclosed separately in the note to financial statement.

8 0

3 years ago

Carlos bought 20 pounds of vegetables at the farmers market. 60% of the vegetables were organically grown. How many pounds of ve

Margarita [4]

All you have to do is multiply 20 and .40. the answer is 8

3 0

3 years ago

The accounting records for Portland Products report the following manufacturing costs for the past year. Direct materials $ 390,

Novay_Z [31]

Answer:

Results are below.

Explanation:

First, we need to calculate the unitary costs:

Direct materials= 390,000/180,000= $2.17

Direct labor= 261,000/180,000= $1.45

Variable overhead= 235,000/180,000= $1.31

Now, we determine the new costs:

Direct materials= 2.17*1.2= $2.604

Direct labor= 1.45*1.04= $1.508

Fixed overhead= 851,000*1.1= $936,100

Total cost for 144,000 units:

Total cost= 144,000*(2,604 + 1,508 + 1.31) + 936,100

Total cost= 144,000*5.422 + 936,100

Total cost= $1,716,868

Finally, the unitary cos for both years:

Last year= 2.17 + 1.45 + 1.31= $4.93

This year= $5.422

7 0

3 years ago

Two incinerators are being considered by a waste management company. Design A has an initial cost of $2,500,000, has annual oper

Vika [28.1K]

Answer:

Desing A: 23,024,370‬

Desing B: 22,520,274.6

It should purchase desing B as the capitalized cost is lower.

Explanation:

We consider annuity for the overhauls and then, perpetuity to consider this incinerators will last indefinitely.

maintenance cost: 800,000 / 0.05 = 16,000,000

Overhaul:

The company will need to fund 1,250,000 every 5 years. We need to determinate the annuity to obtain this future value:

$FV \div \frac{(1+r)^{time} -1}{rate} = C\\$

PV 1,250,000

time 5

rate 0.05

$1250000 \div \frac{(1+0.05)^{5} -1}{0.05} = C\\$

C $ $ 226,218.498

Then at perpetuity:

$ 226,218.498 / 0.05 = 4,524,370

Desing A capitalized cost:

2,500,000 + 16,000,000 + 4,524,370 = 23,024,370‬

We do the same for Desing B:

investment: 5,750,000

maintenance: 600,000 / 0.05 = 12,000,000

overhaul:

$3000000 \div \frac{1-(1+0.05)^{-10} }{0.05} = C\\$

C $ 238,513.725

238,513.73/0.05 = 4,770,274.6

Capitalized cost: 5,750,000 + 12,000,000 + 4,770,274.6 = 22,520,274.6‬

8 0

3 years ago

Driving a motor vehicle is __________