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3 years ago

Economies of scale give an advantage to what type of company?

Business

1 answer:

Mashutka [201]3 years ago

7 0

Answer:

Explanation:

Economies scale is reduction in average cost which is achieved by bigger companies by producing and selling the products at large scale

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Hire someone to manage the restaurant for the next year and retire. This will require the owner to spend $50,000 now, but will

AnnZ [28]

Answer:

The first alternative is better and should be selected because it generated a higher NPV

Explanation:

To determine the better alternative , we will compare the Net present value of the two options. The option with the higher NPV would be selected

NPV = Present value of cash inflow - initial cost

PV of inflow = 1.15^(-1) × 100,000 + 1.15^(-1) × 350,000=$ 391,304.3478

NPV = 391,304.3478 - 50,000= $341,304.3478

NPV =$341,304.34

PV of inflow = 1.15^(-1) × 75,000 + 1.15^(-1) × 350,000=369565.2174

NPV = 369,565.2174 - 40,000 =$329,565.2174

NPV =$329,565.21

The first alternative is better and should be selected

5 0

4 years ago

Of the following statements, which are true for the corporate form of organization? (Select all that apply.)a. Owners have limit

zepelin [54]

Answer: Option A , B , C , D ,

Explanation:

A. As from the perspective of corporate law, the owners and company are two different entities thus the company itself is liable for its debt. Hence, It is true.

B. The basic characteristic of a corporate entity is that it has perpetual existence, thus, it has a continuous life. Hence, It is true.

C. Usually a corporate entity has one director for all of its major operations to control business activities of that department. Hence, It is true.

D. The ownership rights of corporate entities trade in share market in form of common stocks and can be sold or purchased easily. Hence, it is true.

8 0

3 years ago

Simmons Consulting Co. has the following accounts in ts ledger Cash: Accounts Receivable Supplies: Office Equipment Accounts Pay

Alchen [17]

Answer:

Simmons Consulting Co

General Journal

Oct 1

Rent Expense $4,800 (debit)

Cash $4,800 (credit)

Paid Rent Expense

Oct 3

Advertising expense $2,500 (debit)

Cash $2,500 (credit)

Paid Advertising Expense

Oct 5

Supplies $1,390 (debit)

Cash $1,390 (credit)

Paid for Supplies

Oct 6

Office equipment $10,670 (debit)

Office Equipment Accounts Payable $10,670 (credit)

Bought Office equipment on credit

Oct 10

Accounts Receivable $19,730 (debit)

Cash $19,730 (credit)

Received payment from accounts

Oct 15

Cash $59,480 (debit)

Accounts Payable $59,480 (credit)

Made payment to Accounts Payable

Oct 27

Miscellaneous Expenses $530 (debit)

Cash $530 (credit)

Paid for Miscellaneous Expenses

Oct 30

Utilities expense $220 (debit)

Cash $220 (credit)

Paid for telephone bill

Oct 31

Cash $538,620 (debit)

Fees Earned $538,620 (credit)

Cash received for Fees Earned

Oct 31

Utilities expense $1,540 (debit)

Cash $1,540 (credit)

Paid for electricity bill

Oct 31

Drawings $56,700 (debit)

Cash $56,700(credit)

Cash drawings by owner

Explanation:

I have prepared the journals and their narrations, see the above.

8 0

3 years ago

The current price on a 46-inch flat panel LCD HD television is $2,300. Big screen HD television prices have dropped at an averag

Alona [7]

Answer:

$1,776.06

Explanation:

The price of LED television after 3 years will be the equivalent of the current value of $2300 discounted at 9 % for 3 years.

The presented value will FV/(1+r)n

PV =$2300

r=9%

n=3 years

PV=$2300 / (1+9/100)3

=$2300 / (1 + 0.09)3

=$2300/1.2950

=$1,776.06

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4 years ago

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Olegator [25]

Explanation:

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3 years ago