Answer:
$1,200
Explanation:
Given that
Purchase of a customer delivery van = $50,000
discount rate = 20%
Present value of future cost savings = $51,200
Yield = 20%
Based on the above information, as per the net present value the initial cost of the equipment should not be more than the present value of cash inflows i.e. $51,200
So the more than amount is
= $51,200 - $50,000
= $1,200
Answer:
False
Explanation:
Illiquidity in the context of a business refers to a company that does not have the cash flows necessary to make its required debt payments, although it does not mean the company is without assets.
Answer:
The answer is <u>"$110 billion".</u>
Explanation:
Firms increase their investment by $11 billion
mpc = 0.9
gdp = ?
To find the gdp, first we have to find expenditure multiplier;
we will find that by using the formula;
expenditure multiplier = 1/(1-0.9) = 1/0.1 = 10
Now gdp = 10 x $11 billion
= $110 billion
Thus the <u>gdp is $110 billion.</u>
Answer:
Predetermined manufacturing overhead rate= $33.1 per direct labor hour
Explanation:
Giving the following information:
Salary of factory supervisor $37,800
Heating and lighting costs for factory $22,900
Depreciation on factory equipment $5500
The company estimates that 2000 direct labor hours will be worked in the upcoming year.
<u>To calculate the predetermined manufacturing overhead rate we need to use the following formula:</u>
Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Predetermined manufacturing overhead rate= (37,800 + 22,900 + 5,500) / 2,000
Predetermined manufacturing overhead rate= $33.1 per direct labor hour
