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olchik [2.2K]
4 years ago
8

On January 1, Garcia Supply leased a truck for a three-year period, at which time possession of the truck will revert back to th

e lessor. Annual lease payments are $17,000 due on December 31 of each year, calculated by the lessor using a 5% discount rate. Negotiations led to Garcia guaranteeing a $47,700 residual value at the end of the lease term. Garcia estimates that the residual value after four years will be
Business
1 answer:
Brut [27]4 years ago
3 0

Answer:

PV=?

N=3

FV= 47,700

PMT= 17,000

I= 5%

Put values in financial calculator

Pv=$87,500

Now use this value to calculate residual value at the end of year 4

PV= 87,500

N=4

Fv=?

PMT= -17,000

I=5

$33,084= residual value in 4 years.

Explanation:

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In terms of the global marketplace there are three primary types of companies: __________, multinational firms, and transnationa
Allushta [10]

Option D

In terms of the global marketplace there are three primary types of companies: international, multinational firms, and transnational firms

<h3><u>Explanation:</u></h3>

Global marketing is larger than only trading a product internationally. Preferably, it covers the entire process of preparation, manufacturing, fixing, and selling a company’s goods in a worldwide market.

An international company is included in transporting and trading its goods and services to different nations, but other than shipping has no other financing in these other nations. All of the business purposes and headquarters reside in the country of origin, and there are no parts of the company across in any of the nations the market trades with.

8 0
3 years ago
Services United is considering a new project that requires an initial cash investment of $78,000. The project will generate cash
Alla [95]

Answer:

2.85405 years

Explanation:

Cash Flows

Year 0           ($78,000)    

Year 1            $29,500

Year 2           $32,700

Year 3           $18,500

Year 4           $10,000

Services United would receive $29,500 in year 1 therefore remaining balance is = 78,000 - 29,500 = 48,500

Services United would receive $32,700 in year 2 therefore remaining balance is = 48,500 - 32,700 = 15,800

Services United would receive $18,500 in year 3 therefore remaining balance is = 15,800 - 18,500 = -2700

We observe that the company would recover the initial amount somewhere in year 3

15800 / 18500 = 0.85405 years

Total payback period = 2 years + 0.85405 years = 2.85405 years

5 0
3 years ago
Read 2 more answers
Which of the following help to build credit?
solniwko [45]

Answer:

Good rental history and employment stability are two things that help to bulid a good credit score.

6 0
2 years ago
Inflows or other enhancements of assets of an entity or settlements of its liabilities from delivering or producing goods, rende
deff fn [24]

Answer:

REVENUES

Explanation:

Revenue, often referred to as sales, are the inflows or other enhancements of assets of an entity or settlements of its liabilities (Income) received from the entity's ongoing operations. Includes discounts and deductions for returned merchandise. It is the first income on a company's Income Statement from which all charges, costs, and expenses are subtracted to arrive at net income.

4 0
3 years ago
How does creating assortments help a channel intermediary reduce the number of transactions and create efficiency for manufactur
LenaWriter [7]

Answer:

E.  By providing a variety of products in one location

Explanation:

Assortment refers to different varieties of products and services a business creates, subsequently made available for sale.

Assortment is includes the number of product lines of a business, the number of products in a particular business line and how related the product lines are to one another.

Intermediaries are the ones who operate between manufacturers and customers and all parties who are involved in the transfer of products from the place of manufacture to their ultimate delivery to the customers.

Intermediaries are basically wholesalers, retailers, agents, etc.

With assortment, the intermediaries provide different types of products i.e assorted products, making them available at one single place, removing the barrier of place, thereby creating efficiency for both manufacturers and customers.

6 0
3 years ago
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