In this issue the 0.22 is parameter, it is a numerical or other quantifiable variable shaping one of a set that characterizes a framework or sets the states of its operation. I trust the appropriate response will help you.
The equity cost of capital for the Jumbuck Exploration is 22%
Explanation:
Equity cost refers to the return offered to the customers in place of their investment in the organisation stocks. It is calculated by the formula
Rₐ = (D₁/P₀)+g
Where Rₐ= cost of equity
D₁= dividends announced
P₀=share price (current)
g= growth rate
Now given details-
Dividend announced (D₁)- $ 0.26
Current market price (P₀) - $ 2.00
Expected price= $ 2.10
growth rate= expected price- current price
growth rate (g) =$ 0.10
Putting the values to find Rₐ
Rₐ=(0.26/2.00)+0.10
Rₐ=0.23 or 23%
Nearest answer is 22%
Hence the equity cost of the capital is 22%
Based on accounting principles, Simar Sales Co. sells and installs kitchen appliances. Simar guarantees parts and labor for one year after installation. Simar would record potential claims in a(n) <u>Warranty Liability account</u>.
This is because a <u>Warranty Liability</u> <u>account</u> is a type of account that is established to record the number of the repair or replacement costs that a company expects to incur for commodities already shipped or services already conducted.
Warranty Liability account or Estimated Warranty Liability account are used mostly by firms that offer products that have warranty periods.
Hence, in this case, it is concluded that the correct answer is a Warranty Liability account.
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Well obviously the economy is shrinking. people aren’t buying/trading much because they don’t want to risk going out and going through avoidable things you know?
Answer:
Total cost= $114,800
Explanation:
Giving the following information:
Direct materials $ 6.80
Direct labor $ 4.30
Variable manufacturing overhead $1.60
Sales commissions $ 1.20
Variable administrative expense $ 0.45
Unitary variable cost= $14.35
<u>Total cost for 8,000 units:</u>
Total cost= 14.35*8,000= $114,800