Answer:
$586.27/mo
Explanation:
Factor doesn’t compound like interest does, 8.78 factor of $65,000 comes out to be $5,707 over the 30 years is $15.85/mo. The loan $65,000, 10% interest rate, 30 years comes out to a monthly payment of $570.42.
$570.42+$15.85= $586.27/mo.
Answer:
WIP assembly 56,000 debit
WIP Finishing 40,000 debit
Factory Overhead 96,000 credit
Explanation:
<u>Assembly</u>
DM 24000
DL 35000
FO 35,000 x 160% = 56,000
<u>Finishing</u>
26000
25000
FO 25,000 x 160% = 40,000
<span>This economist would advise me on the trends in the apple-picking business. Where to invest, where to sell my products and services, etc. Which equipments to buy, which market to watch and any other thing that may influence one way or the other the direction of the company.</span>
Answer:
($340,000)
Explanation:
The computation of the net cash outflows from investing activities is shown below:
Cash flows from investing activities:
Cash from proceeds of sale of land $20,00
Purchase of Bond investments ($360,000)
Net Cash Outflows from investing activities ($340,000)
The positive sign shows the inflow of cash and the negative sign shows the outflow of cash and the same is considered in the above computation part
Answer:
Based on the profitability index method, the investment should not be accepted.
It does not produce enough cash flows to justify the investment.
Explanation:
The profitability index method measures the present value of benefits for by dividing the present value of benefits by the present of initial investments.
The present value of initial investment in this project remains RM400,000. The present value of incremental annual cash flows of RM80,000 after taxes for 5 years will be equal to:
RM80,000 * 3.668 = RM293,440
Then the next step is to divide the present value of benefits by the initial investment as follows:
RM293,440/RM400,000 = 0.7336 = 73.36%
The implication is that the present value of the benefits is less than the initial investment costs. The project should then be rejected.