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ahrayia [7]
3 years ago
10

If $ 10,000 is invested in a certain business at the start of the​ year, the investor will receive $ 3 comma 000 at the end of e

ach of the next four years. What is the present value of this business opportunity if the interest rate is 4​% per​ year?
Business
1 answer:
Vlada [557]3 years ago
7 0

Answer:

$889.70

Explanation:

The computation of the net present value is shown below:

= Present value of all yearly cash inflows after applying discount factor - initial investment  

where,  

The Initial investment is $10,000

All yearly cash flows would be

= Annual amount received × PVIFA for 4 years at 4%  

= $3,000 × 3.6299

= $10,889.70

Refer to the PVIFA table

So, the net present value is

= $10,889.70 - $10,000

= $889.70

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Selected accounts with amounts omitted are as follows: Work in Process Aug. 1 Balance 268,300 Aug. 31 Goods finished 168,800 31
Darina [25.2K]

Answer:

b.$12,990

Explanation:

Calculation to determine the amount debited to Work in Process for factory overhead in August, assuming a factory overhead rate of 30% of direct labor costs

Using this formula

Overhead applied = Direct labor cost * Predetermined overhead rate

Let plug in the formula

Overhead applied= 43,300 * 30%

Overhead applied= $12,990

Therefore the amount debited to Work in Process for factory overhead in August, assuming a factory overhead rate of 30% of direct labor costs is $12,990

8 0
3 years ago
Suppose that you just purchased 150 shares of XYZ stock for $60 per share. a. If the initial margin requirement is 71.00%, how m
Kisachek [45]

Answer:

$2,610

Explanation:

Calculation for how much money you must borrow.

Using this formula

Amount to be borrowed =( Purchased shares* Per share price*(Initial margin requirement percentage)

Let plug in the formula

Amount to be borrowed= 150 shares*$60 per shares *(1-0.71)

Amount to be borrowed=$9,000*(0.29)

Amount to be borrowed=$2,610

Therefore how much money you must borrow will be $2,610

5 0
3 years ago
Equity securities acquired by a corporation which are accounted for by recognizing unrealized holding gains or losses are Group
yawa3891 [41]

Answer

Associate: where a company has holdings of between 20% and 50%.

Minority Interest: where a company has holdings of less than 20%

Parent Company: where a company has holdings of more than 50%.

Explanation:

<u>An associate company </u>(or associate) is a company that owns a business beyond 20% and not more than 50%. In business valuation such a company that has invested significantly in the shares of another company will have voting rights in the board of the acquired company.

<u>Minority Interest</u> is the term used to describe the investments of one company in another company, when such investments are less than 20% of the total value of the acquired company.

<u>Parent Company</u> is a company that owns more than half (50%) of the shares or value of another company.

4 0
3 years ago
What is the difference between reward management and compensation management
Genrish500 [490]

Answer:

Compensation management is the act of distributing some type of monetary value to an employee for their work by means of the company's policy or procedures. ... Reward management consists of analysing and controlling employee remuneration, compensation and all of the other benefits for the employees

8 0
3 years ago
Why delegate authority and not responsibility​
MArishka [77]

Answer:

Authorities can be assigned, but never delegated obligations. Subordinates are responsible for "results" and managers are responsible for their subordinates ' actions. You can't be held responsible for a mission if you have little competence.

Explanation:

The delegation lets you pass the power to professional team members to work on more urgent matters. But you are still responsible for doing these in the right way. It is therefore necessary to periodically track the status or interact with the team member

Let us recognize some of the fundamental principles to be observed in delegating: 1. The delegated authority to subordinates should be adequate to achieve the desired performance.

2. The power may be delegated but never assigned responsibility. Subordinate accountability is "efficiency" and managers are "responsible for their subordinates ' activities."

3. A duty can not be held accountable if it only has limited authority. A balance between authority and responsibility must be created.

4. A single superior's presence brings to mind the subordinate more personally responsible.

8 0
3 years ago
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