darby writes a check to education loan management inc, that is drawn on darbys account at federal bank. if thr bank does not acc
1 answer:
You might be interested in
Answer:
a. $25.50
b. $9,725,000
c. Cash = 8,888.89 units
Accounting = 35,555.56 units
Explanation:
a. Variable cost per unit = material cost + labor cost = $18.50 + $7.00 = $25.50
b. Total cost = Fixed + Variable
Variable = $25.50 350,000 = $8,925,000
Fixed = $800,000
Total = $800,000 + $8,925,000 = $9,725,000.00
c. Cash break even point = (Fixed cost - Depreciation)/Contribution per unit
Fixed cost = $800,000
Depreciation = $600,000
Contribution per unit = $48 (Selling price) - $25.50 (Variable cost) = $22.5
Cash Break even point = ($800,000 - $600,000)/$22.5 = 8,888.89 units
Accounting Break Even Point = Total fixed cost/ Contribution per unit
=$800,000/$22.5 = 35,555.56 units
Final Answer
a. $25.50
b. $9,725,000
c. Cash = 8,888.89 units
Accounting = 35,555.56 units
Answer:
Bond Price = $97.4457408 million rounded off to $97.45 million
Explanation:
To calculate the price of the bond today, we will use the formula for the price of the bond. We assume that the interest rate provided is stated in annual terms. As the bond is an annual bond, the coupon payment, number of periods and annual YTM will be,
Coupon Payment (C) = 113 million * 0.05 = 5.65 million
Total periods (n) = 30
r or YTM = 0.06 or 6%
The formula to calculate the price of the bonds today is attached.
Bond Price =5.65 * [( 1 - (1+0.06)^-30) / 0.06] + 113 / (1+0.06)^30
Bond Price = $97.4457408 million rounded off to $97.45 million
