Answer:
Instructions are listed below.
Explanation:
Giving the following information:
Year A B
0 -$6000
1 -$500
2 -$1000
3 -$1500
4 -$2000
5 -$2500
-$6000 -$7500
We don´t have enough information to determine which project is the best. We need the cash flow of Project B.
But, I can provide with the Net Present Value (NPV) formula and calculate the NPV of project A. The project with the higher NPV is more profitable.
To calculate the Net present value, we need to discount the cash flows.
NPV= -Io + ∑[Cf/(1+i)^n]
Cf= cash flow
Project A:
NPV= -6,000 + 500/1.09 + 1,000/1.09^2 + 1,500/1.09^3 + 2,000/1.09^4 + 2,500/1.09^5
NPV= -$499.65
Answer:
b) Mm-hmm, uh-uh, uh-huh.
Explanation:
Full verbatim can be regarded as a transcript which encompass absolutely everything that is been said by the speaker, or just exactly it has been said by the speakers. In this case all the "ums"as well as "uhs" and grammatical/ vocabulary mistakes are included. Therefore, correct form(s) of affirmation for Full Verbatim is here is Mm-hmm, uh-uh, uh-huh.
Answer:
= $ 28,000.00
Explanation:
Warranty expenses are accounted for in the period in which they are incurred. This is in accordance with the accounting reporting standards.
For Blazer company: Year 1 sales 2800 units
Warranty per unit: $ 10 per unit
expected warranty cost: = 2800x $10
= $ 28,000.00
Answer:
We are going to pay $892.137 or less for the bonds.
Explanation:
We need to calculate the present value of the bond at 11% interet rate
Cashflow from the bond:
Principal x interest = interest service
1,000 x 9.5% = 95
Present value of annuity of 95 during 15 year at 11%
Present value of the interest service 683,1326097
Second we have to calculate the present value of the 1,000 principal in 15 years
209.0043467
Finally we add both together for the present value fothe bond at our rate
209.0043467+ 683,1326097 = 892.1369564 = 892.137
Answer:
$2,000
Explanation:
The recognized gain is computed below:
Recognized gain = Received amount from the insurance company - Alex basis in car value
= $22,000 - $20,000
= $2,000
The recognized gain shows a difference between the received amount and his basis in car
The other information which is mentioned is ignored as it is not relevant for the computation part