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3 years ago

Which of the following would be relevant in the decision to sell or throw out obsolete inventory?

Business

1 answer:

Rom4ik [11]3 years ago

4 0

Answer:

D) No No

Explanation:

Direct material cost and fixed overhead cost assigned to inventory, both are irrelevant in the decision to sell or throw out obsolete inventory because these costs are already incurred and treated as sunk cost.

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Union Local School District has a bond outstanding with a coupon rate of 2.8 percent paid semiannually and 16 years to maturity.

mafiozo [28]

Answer:

$4,420.35

Explanation:

Bond Price = $C x [1 - (1 + r)^{-n} / r] + F / (1 + r)^{n}$

Where:

C = Coupon
r = Yield to Maturity
n = compounding periods to maturity

Now we plug the amounts into the formula =

$Bond Price = $140 x [1 - (1 + 0.034)^{-32} / 0.034] + $5,000 / (1 + 0.034)^{32}$

$Bond Price = $4,420.35$

3 0

3 years ago

Final Finishing is considering three mutually exclusive alternatives for a new polisher. Each alternative has an expected life o

valkas [14]

Answer:

1. 18.09%

2. 12%

3. 20.02%

Explanation:

As the MARR is 15%, we will accept projects which have IRR more than 15%. As the projects are mutually exclusive, we will choose only one project.

An IRR (Internal Rate of Return) is the rate which makes the NPV (Net Present Value) = ZERO.

The formula to calculate IRR is: 0 = P0 + P1/(1+IRR) + P2/(1+IRR)2 + P3/(1+IRR)3 + . . . +Pn/(1+IRR)n where P0 = Initial cash outflow

And P1, . . . Pn equals the cash inflows in periods 1, 2, . . . n, respectively.

1) IRR of project 1:

0 = -$20,000 + $4,465/(1+IRR)1 + $4,465/(1+IRR)2 + $4,465/(1+IRR)3 + . . . + $4,465/(1+IRR)10

Solving for IRR we have = 18.09%

2) IRR of project 2:

0 = -$10,000 + $1,770/(1+IRR)1 + $1,770/(1+IRR)2 + $1,770/(1+IRR)3 + . . . + $1,770/(1+IRR)10

Solving for IRR we have = 12%

3) IRR of project 3:

0 = -$15,000 + $3,580/(1+IRR)1 + $3,580/(1+IRR)2 + $3,580/(1+IRR)3 + . . . + $3,580/(1+IRR)10

Solving for IRR we have = 20.02%

We will choose project 3 as it has the highest IRR.

8 0

4 years ago

If your employer offers a retirement plan, don’t participate in it. Don’t bother to set target dates for achieving your financia

CaHeK987 [17]

Answer: Please refer to Explanation

Explanation:

If your employer offers a retirement plan, don’t participate in it. Yes.

Having a retirement plan with your employer especially one in which you are a 100% vested is a drain on your income. It might have benefits in future when you retire but if you want to engage in financial planning, you need to have access to every penny and that includes the money going to the retirement plan.

Don’t bother to set target dates for achieving your financial goals. No

Setting a target date for various amounts in your financial goals enables you to work towards them with more determination. It is important to set target dates.

Pay credit card balances in full each month. Yes

Paying your credit card balance in full every month helps you avoid interest accruing as well as increasing your credit score. It is therefore very important to pay off the balance in full every month which will be easier as long as you charge things to it that you can afford.

Start saving early in life and save throughout your life. Yes.

The more you save the more you have to invest. This is why you should start saving early if you want to engage in financial planning. You need to formulate the determination to save every time. And don't just save for saving's case, save to invest.

3 0

3 years ago

The New American Enterprise Mutual Fund's portfolio is valued at $60 million. The fund has liabilities of $2 million, and the in

Vanyuwa [196]

Answer:

$30.40

Explanation:

($40 million − $2 million) / 1.25 million shares = $30.40

8 0

2 years ago

In witch part of a professional email should you try to be brief, but highly descriptive?

oksian1 [2.3K]

I would think the subject/header line of a professional email needs to be very brief and highly descriptive.

Hope this helps! :)

8 0

3 years ago