Answer:
The answer is $252415.91
Explanation:
Solution
Now
A step bu step solution is provided below in showing the present value of the savings
Given that:
Year Annual Revenues Calculations Present value
1 $47000 $47000 / (1.071)^1 $43884.22
2
$47000 $47000 / (1.071)^2 $40975
3 $47000 $47000 / (1.071)^3 $38258.63
4 $47000 $47000 / (1.071)^4 $35722.35
5 $47000 $47000 / (1.071)^5 $33354.2
6 $47000 $47000 / (1.071)^6 $31143.04
7 $47000 $47000 / (1.071)^7 $29078.47
Total present value $252415.91
Hence the current or present value of the savings is $252415.91
Answer:
a. True
Explanation:
In the case when the information is precalled so here the sources that considered to be best should be the own salespeople as it would emphathize the situation of the sales person
So as per the given situation, the given statement is true
Hence, the option a is correct
Therefore, the second option is wrong
Answer and Explanation:
The classification is as follows;
Inventory = current assets
Retained Earnings = stockholder equity
Dividends = dividend
Cost of Goods Sold = expense
Utilities Payable = current liabilities
Service Revenue = revenue
Accounts Payable = current liabilities
Rent Expense = expense
In this way it could be classified and the same is relevant
Answer: $126,613
Explanation:
Net Present value of Project A is:
= Present value of $50,000 annuity + Present value of residual value - Initial investment
Present value of $50,000 annuity:
= 50,000 * ( 1 - ( 1 + rate)^-number of periods) / rate
= 50,000 * ( 1 - ( 1 + 12%) ⁻⁸) / 12%
= $248,382
Present value of residual value:
= 8,000 / ( 1 + 12%)⁸
= $3,231
Net present value
= 248,382 + 3,231 - 125,000
= $126,613
