Answer:
a.
4,730 units
b.
16 production runs
c.
1 day
Explanation:
a.
Use the following formula to calculate the optimal run size
Optimal run size = Economic production quantity = 
x 
Where
D = Annual Demand = Daily demand x Numbers operating days = 250 x 295 days = 73,750
S = Ordering cost = $65
H = Holding cost = $0.45 per unit
p = Daily production = 5,250 per day
d = daily dmand = 250 per day
Placing values in the formula
Optimal run size = 
x 
Optimal run size = 4,615.79 x 1.0246951 = 4,729.77 = 4,730 units
b.
Numbers of production run = Demand / Optimal run size = 73,750 / 4,730 = 15.5919 production runs = 16 production runs
c.
Length (in days) of a run = Optimal run size / Daiy production = 4,730 / 5,250 = 0.901 days = 0.90 days = 1 days
Answer:
The sale of the plant assets reported in the Income statement is at profit or loss whereas the asset sold reported in the Statement of Cash flows will show a positive balance of $15,000 from investing activities.
Explanation:
The sale of Non current assets or fixed assets are always the amount that we received after the sale of the fixed asset. So the amount represented in the Statement of Cash Flows must be Total amount which is $15,000.
Answer:
1. True
2. True
3. False
4. True
5. False
6. True
7. True
Explanation:
1- Bond are a form of interest bearing notes payable, they are used by and corporations (also issued by them), universities and governmental entities as well.
2- Secured bond is a type of bond that is secure by the issuer`s pledge of a specific asset and that is a form of collateral on the loan.
3- It is the opposite, whenever a bond is unsecured, it can be referred to as a debenture, this kind of bond generally have a more specific purpose, they are typically issued to raise capital to meet the expenses of a project or to pay for a expansion in business.
4- Conversion are features added to bonds because it able to them to lower the coupon rate on debt and to delay dilution. It gives the holder the option to convert or exchange the bonde for a predetermined number of shares in the issuing company, they also have lower interest rate what is more attractive to bond buyers.
5-The rate used to determine the amount of cash interest the borrower pays is called the coupon rate.
6- The rate of interest the bond issuer will pay quoted as the face value of the bond is expressed as a percentage, for example: a 4% coupon rate means that bondholders will receive 4%* $1000 (face value) = $40 every year.
7- The present value of a bond is determinate by an amount you have been promised to receive in the future, but valued today, so if you want to sell it then you should sell it taking into consideration its present value.
