Answer:
<u>Stock-out</u> cost
Explanation:
Stock out is a scenario in business where a company sells all available units of a product and runs out of inventory for that product. <u>When this happens, the organization loses revenue as it cannot meet the subsequent demands of customers</u>.
This cost incurred is known as stock out cost.
So, <em>even though Jeff Murrah, the sales manager, was delighted with the product's success, his excitement was overshadowed by the </em><u><em>stock out cost</em></u><em> his division would incur.</em>
Answer:
5.52%
Explanation:
Cost of Furniture= $150,000
discount= 5.25% (120-day note)
To get the exporter's true effective annual financing cost, we have:
![150,000*[1-(0.0525*120/360)] = 147,375](https://tex.z-dn.net/?f=%20150%2C000%2A%5B1-%280.0525%2A120%2F360%29%5D%20%3D%20147%2C375%20)
=(150,000/147,375) 365/120-1 = 5.52%
Therefore, the exporter's true effective annual financing cost is 5.52%
The answer is we educators....
Answer:
The amount of gain or loss that DUNN should report is $0.
Explanation:
Here we have to take out what would be the gain or loss for Dunn when he sells the stock given to him as a gift by his grandparents. Here we have to clear out what would be the Dunn basis for gain or loss, so that we can tell whether he earned a gain or loss.
For Dunn to take out the basis for gain would be similar to the donors ( in this case his grandparents ) basis for gain which is $32,000 AND Dunn has sold the stock for $29,000, so he definitely hasn't made the gain.
For Dunn to take out the basis for loss , he will suffer loss when if the amount at which he sells the stock is less than the amount which was at the date of transfer of stock $27,000, and as it is given he sells the stock at $29,000 , which is more than $27,000, so he definitely hasn't suffered loss also.
Thus we can say that he has neither suffered loss nor earn a gain.
Answer:
The lease would be a better option as their net preset worth is lower than purcahse the machine and carry their cost.
Explanation:
<u>Option A purchase</u>
F0 -160,000
operating cost 5000 per year we solve for the present value of an annuity
C 5,000.00
time 10
rate 0.12
PV -$28,251.1151
PV of the salvage value
Maturity $10,000.0000
time 10.00
rate 0.12000
PV 3,219.7324
<u><em>present worth</em></u>
-160,000 - 28,251.11 + 3,219.73 = -185.031,38
<u>Option B Lease</u>
10 payment beginning immediatly of $25,000
Therefore, it is an annuity-due
C 25,000.00
time 10
rate 0.12
PV -$158,206.2448
