Uninsured motorists. Make sure you have it.
Answer:
Project A Project B
Initial investments ($170,000) ($115,000)
CF Year 1 $42,500 $34,500
CF Year 2 $58,500 $52,500
CF Year 3 $82,795 $68,500
CF Year 4 $92,900 $68,500
CF Year 5 $67,500 $68,500
using an excel spreadsheet and the IRR function, the internal rate of return of each project is:
- Project A's IRR = 26.02%
- Project B's IRR = 36.31%
We can use the discount rate (12%) to calculate the projects' NPV, we do not need it to calculate their IRR:
- Project A's NPV = $70,855
- Project B's NPV = $88,815
Employee Benefit refers to the division of a company's profits among its workers.
Employee perks, also known as fringe benefits, perquisites, or perks, refer to various forms of non-wage remuneration given to employees in addition to their regular earnings or salaries. Employee perks, particularly in British English, also refer to rewards in kind.
Salary packaging or salary exchange arrangements are situations where an employee trades in (cash) compensation for another type of perk. The majority of employee benefits are at least partially taxable in most nations. Housing (provided by the employer or paid for by the employer), furnished or not, with or without utilities free, group insurance (health, dental, life, etc.), disability income protection, retirement benefits, daycare, tuition reimbursement, sick leave, and paid vacation are some examples of these benefits.
Learn more about Employee Benefit here.
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Answer:
$27.2
Explanation:
First we have to calculate the total estimated manufacturing overheads which shall be determined as follows:
Estimated total manufacturing overheads=Variable manufacturing overhead+ Fixed manufacturing overheads
Variable manufacturing overhead=Estimated labour hours*manufacturing overhead per labour hour
=75,000*$10.70=$802,500
Fixed manufacturing overheads=$1,237,500
Estimated total manufacturing overheads=$802,50+$1,237,500
=$2,040,000
Now we will compute the predetermined overhead rate which shall be determined using the following formula:
Predetermined overhead rate=Estimated total manufacturing overheads/Estimated labour hours
Predetermined overhead rate=$2,040,000/75,000=$27.2