Answer:
The special order should be : Accepted
Explanation:
<u>Analysis of whether or not to accept special order</u>
Revenues (3,000 x $25) $75,000
Less Variable expenses :
Costs - Manufacturing (3,000 x $20) ($60,000)
Shipping (3,000 x $3) ($9,000)
Net Income $6,000
Conclusion :
Since Net Income has increased by $6,000 as a result of special order, it should be accepted
Answer:
$50.74 million
Explanation:
Interest rate per annum = 8%
Number of years = 17
Number of compounding per annum = 1
Interest rate per period (r) = 8%/1 = 8%
Number of period (n) =17 * 1 = 17
Growth rate (g) = 5%
First payment (P) = 4 ($'million)
PV of the new Chip = p/(r-g) * [1 - [(1+g)/(1+r)]^n]
PV of the new Chip = 4/(8%-5%) * [1 - [(1+5%)/(1+8%)]^17]
PV of the new Chip = 4/0.03 * [1 - [1.05/1.08]^17]
PV of the new Chip = 4/0.03 * [1 - 0.972222^17]
PV of the new Chip = 133.333 * (1 - 0.6194589804)
PV of the new Chip = 133.333 * 0.3805410196
PV of the new Chip = 50.7386757663268
PV of the new Chip = $50.74 million
Answer:
Plaintiff
Explanation:
The Plaintiff is the person who brings the case against the another in the court of the law.
On the other hand, the defendant is the person who defends himself/herself against the suit filed by Plaintiff in the court of the law.
In the given case, Jill has filed the suit against Jack in the court of the law which means that Jill is the Plaintiff.
Answer:
$5,896,778
Explanation:
The computation of the increase value in the liabilities section is shown below:
= Present value of the first liability due in one year + Present value of the second liability due in three years
= $1,388,889 + $4,507,889
= $5,896,778
For computing the increase value in the liabilities we simply added the present value of two liabilities given in the question