Solution:
Given Information,
Heat input is (
) = 5.5 ×
Btu/h
Combustion efficiency of the boiler (
) = 0.7
Combustion efficiency after turn up (
) = 0.8
Operation Hour (t) = 5200h
Unit cost (c) = 
Calculate heat output from the boiler
=
x 
= 5.5 x
x 0.7
= 3.85 x
Btu/h
Calculate the heat input to the boiler after the tune-up
=
/ 
= 3.85 x
/ 0.8
= 4.8125 x
Btu/h
Calculate the saved energy after the tune-up
=
- 
= 5.5 x
- 4.8125 x
Btu/h
= 0.6875 x
Btu/h
Calculate the annual energy saving (
)
=
x t
= ( 0.6875 x
Btu/h ) ( 5200 hr/yr)
= 3575 x
Btu/h
Calculate the annual cost saving
Annual cost saving =
x Unit cost
= 3575 x
Btu/h x 
= 82225
Hariette should choose cash basis of accounting when she runs the profit and loss report. A company's reporting guidelines and practices for revenues and expenses make up its accounting method. Cash accounting and accrual accounting are the two primary accounting techniques.
Revenues and costs are recorded in cash accounting when they are received and paid. There are three different accounting methods: modified cash basis, cash basis, and accrual basis. Let's briefly review the fundamentals before we discuss which types of firms use certain accounting techniques.
If you only consider popularity, accrual accounting comes out on top since it is both the most popular and the most accurate techniques.
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Answer:
$84,000
Explanation:
Open a Raw Materials T - Account and find the Ending inventory of Direct Materials as a Balancing Figure as follows :
Raw Materials T - Account
Debit :
Beginning Inventory $26,000
Purchases $148,000
Total $174,000
Credit:
Requisitioned in Manufacturing $90,000
Ending Inventory<em>(Balancing figure) </em>$84,000
Total $174,000
Therefore, the cost of the ending inventory of Direct Materials is $84,000
Answer:
1/3
Explanation:
What is the size of MRSTO = 1 /3
The marginal rate of substitution calculates the rate at which a consumer would give up a unit of one good in exchange for one unit of another good while maintaining the same level of utility.
The interest rate is 7%.
<u>Solution:</u>
The real rate of interest is always above the nominal interest rate when inflation is positive. In this case, we are told inflation is 3%. Since the real rate of return is the nominal interest rate minus inflation, we need a nominal interest rate of <u>5%+3%=8%</u> to get a real interest rate of 5%.
To calculate the real interest rate subtract the inflation rate from the nominal interest rate. Mathematically it looks like this The real interest rate is the nominal interest rate minus the inflation rate. Creeping inflation is a type of inflation in which the price level rises steadily at a moderate rate over an extended period of time.
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