True or false. the consumer sector is the largest part of the macroeconomy.

Bricktown Exchange purchases a copyright for $50,000. The copyright has a remaining legal life of 25 years, but only an expected

son4ous [18]

Answer:

Correct option is (D)

Explanation:

Given:

Purchase price of copyright = $50,000

Expected useful life = 5 years

Annual depreciation expense as per straight line method:

= Purchase price ÷ useful life

= 50,000 ÷ 5

= $10,000

Only useful life is considered and not legal life.

Carrying value of asset at the end of year = Book value of asset - annual depreciation

Carrying value of copyright at then end of first year = 50,000 - 10,000 = $40,000

Carrying value of copyright at then end of second year = 40,000 - 10,000 = $30,000

5 0

3 years ago

You have entered into a long forward contract on a dividend-paying stock some time ago, and this will expire in six months. It h

Vlad1618 [11]

Answer:

correct option is B. -$4.02

Explanation:

given data

delivery price = $40

current stock price = $35

fixed dividend yield = 8% = 0.08

risk free rate = 12% = 0.12

solution

as we know that forward contract is a agreement that is made between 2 parties ( seller or buyer ) asset in future at today fix price in specified time,

we get here long forward contract value that is express as

long forward contract = $\frac{stock\ price}{(1+dividend\ rate)^t} -\frac{forward\ rate}{e^{r*t}}$ ...................1

put here value we get

long forward contract = $\frac{35}{(1+0.08)^{6/12}} -\frac{40}{e^{0.12*6/12}}$

solve it we get

long forward contract = -$4.02

so correct option is B. -$4.02

5 0

3 years ago

At the beginning of the year, Rangle Company expected to incur $59,000 of overhead costs in producing 5,900 units of product. Th

kaheart [24]

Answer: Total cost of the units made in January = $38,500

Explanation:

Given that,

At the beginning of the year, overhead costs = $59,000

Units produced at this cost = 5900 units

Direct material cost = $25 per unit

Direct labor cost = $35 per unit

Units produced during January = 550 units

Predetermined overhead rate = $\frac{Total\ expected\ overhead\ cost}{Number\ of\ units}$

= $\frac{59000}{5900}$

= $10 per unit

Now,

Costs incurred in January:

Direct material cost = $25 per unit × 550 units = $13750

Direct labor cost = $35 per unit × 550 units = $19250

Overhead cost = $10 per unit × 550 units = $5500

∴ Total cost of the units made in January = Direct material cost + Direct labor cost + Overhead cost

= 13750 + 19250 + 5500

= $38,500

4 0

3 years ago

Jose's only debt obligations are a car loan payment of $436 and a credit card payment of $50 every month. What is the minimum am

Nikitich [7]

I think it is A and D.

6 0

2 years ago

Read 2 more answers

Consider the following: Lumber Revenues, $120,000; Hardware Revenues, $90,000; Cost of Sales, $130,000; All other costs and expe

lord [1]

Answer:

19.05%

Explanation:

Data provided in the question:

Lumber Revenues = $120,000

Hardware Revenues = $90,000

Cost of Sales = $130,000

All other costs and expenses = $35,000

Investment Income = $8,000

Income Tax Expense = $13,000

Net Income = $40,000

Now,

The net profit margin = [( Net income) ÷ (Total revenue ) ] × 100%

or

The net profit margin = [ $40,000 ÷ ( $120,000 + $90,000 ) ] × 100%

or

The net profit margin = [ $40,000 ÷ $210,000 ] × 100%

or

The net profit margin = 0.1905 × 100%

or

The net profit margin = 19.05%

5 0

3 years ago