Answer: See Explanation
Explanation:
The payback period for both projects would be calculated as:
Alpha Project
Cost = $530,000
Annual net cash flow = $60,000
Payback period = Cash / Annual net cash flow
= $530,000 / $60,000
= 8.83
Beta Project
Cost = $170,000
Annual net cash flow = $18,000
Payback period = Cash / Annual net cash flow
= $170,000 / $18,000
= 9.4
We can see that Alpha Project is better as the payback period is lesser than Beta project
Answer:
240
Explanation:
The computation of the optimal fee per unit of output is as follows:
As we know that
Marginal cost = Price
MC = P
1Q = 2,400 - Q
1Q + Q = 2,400
2Q = 2,400
Q = 2,400 ÷ 2
= 1,200
MC = 0.8Q
= 0.8 (1,200)
= 960
Now the optimal fee per unit of output is
= 1,200 - 960
= 240
When there is a technological advance in the ice cream industry, consumer surplus in that market will increase.
Technology is the result of accumulated knowledge and the application of skills, methods, and processes used in industrial production and scientific research. Technology is embedded in the operation of all mechanical and electronic devices, with or without detailed knowledge of their function, for the intended purpose of an organization. The technology of society consists of so-called systems. A system works by taking input, modifying that input through what is called a process, and producing a result that achieves the intended purpose of the system.
The earliest and simplest form of technology is the development of knowledge leading to the application of basic tools. The prehistoric invention of carved stone tools and the discovery of ways to control fire increased the food sources available to humans. This led to mobile technologies that helped exchange information and raw materials more quickly. Humanity then proceeded to develop the printing press, telephones, computers, and the Internet.
Learn more about technology here: brainly.com/question/25110079
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Answer:
The cost of preferred stock is 10.2%
Explanation:
The actual amount realized from issuing the preferred of $100 per share par value is the par value less cost of issuing and selling stock of $2 per share, in other words,$98($100-$2) was realized per share from the issuance.
Having known the net amount realized, the cost of preferred stock can be calculated as follows:
cost of preferred stock =return on preferred stock/net amount realized
return is 10% of $100(par value), i.e $10 per share
cost of preferred stock =$10/$98=10.2%
Note that preferred is not tax deductible like debt financing , hence the rate of tax given is not considered in determining the cost of preferred stock.