Answer:
$150
Explanation:
The Warranty Expense account is a liability account and it must include all the estimate costs associated to the merchandise sold:
100 radios were sold and the company estimates to replace 5% or them = 100 x 5% = 5 radios
the cost of replacing 5 radios = 5 radios x $30 per radio = $150
Answer:
rise, fall
Explanation:
Money supply refers to the total value of money in the form of currency and other liquid instruments available in an economy.
It includes cash, coins, and other near money substitutes.
Money supply is measured as it influences various activities taking place all around us in the economy.
A larger money supply leads to <u>fall</u> in interest rates. As a result, the prices of those short-term financial assets will <u>rises.</u> Conversely, smaller money supplies leads to rise in interest rates which in turn leads to fall in prices of the short-term financial assets.
Answer:
increase , decrease
Explanation:
Import tariffs are amount levied on the imports of goods. tariffs makes imports more expensive and discourages import.
if an import tariff is in place for a particular good, the import of that good would reduce and this would increase domestic producers to produce more of the good to meet the demand of the good. so output of domestic producers would increase.
Because output is consumed domestically, exports would reduce.
Answer:
differences in national cultures
Explanation:
Based on the scenario being described it can be said that the most likely challenge that Globe Cars is likely to face would be differences in national cultures. This is mainly due to the fact that each company originates from different countries with different cultures and beliefs. Therefore there is a high possibility that some of the values of each culture may contradict with the others.
Answer:
R is a better alternative because it has a higher NPV than Q.
Explanation:
Machines Q R
First costs $380,000 $395,000
Net annual revenue $150,000 in year 1, $152,500
increasing by $500
per year thereafter
Salvage value $4,000 0
Life, years 8 10
MACRS 7 year recovery:
year % Q R
1 14.29% 54,302 56,445.50
2 24.49% 93,062 96,735.50
3 17.49% 66,462 69,085.50
4 12.49% 47,462 49,335.50
5 8.93% 33,934 35,273.50
6 8.92% 33,896 35,234.00
7 8.93% 33,934 35,273.50
8 4.46% 16,948 17,617.00
net cash flow
year Q R
1 116,505.70 118,880.93
2 130,396.70 132,982.43
3 121,411.70 123,304.93
4 115,086.70 116,392.43
5 110,676.90 111,470.73
6 110,930.10 111,456.90
7 111,326.90 111,470.73
8 108,306.80 105,290.95
9 99,125
10 99,125
Using a financial calculator, I calculated the NPV using a 12% discount rate:
- Q's NPV = $200,636.15
- R's NPV = $259,221.01
