Answer:
The answer is: D) The sale of the goods.
Explanation:
Article 2 of the Uniform Commercial Code (UCC) governs contracts for the sales of goods. Goods are defined as movable property. Usually the sales of services are not included in Article 2, unless the transaction includes the sales of goods. The sales of intangible assets is not included either.
Answer:
d. Continue production in the short run, but exit the business in the long run unless prices are expected to rise or costs to fall..
Explanation:
Currently, their sales revenue less variable cost is positive as it can sale at $1.50 dollars and the variables cost are less than that. Therefore, there are fixed cost thefirm can pay because it produce.
Now, in the long-run when the firm can exit the market it should consider to do so if it continues to get an average cost above the selling price.
Answer:
a. $2,465.82
b. $3,539.68
c. Yes, we should
Explanation:
Annual cost to maintain old forklift is $5,000
Equivalent Annual Cost (EAC) of new forklift = (Asset price x discount rate)/(1-(1+discount rate)-n), in which n is the number of year for usage of this forklift?
If discount rate is 4% per year, the EAC of new forklift is $2,465.82
= ($20,000x4%)/(1-(1+4%)-10)
If discount rate is 12% per year, the EAC of new forklift is $3,539.68
= ($20,000x12%)/(1-(1+12%)-10)
We should replace because with such above discount rate, the old forklift is more costly than the new one
D. Know ahead of time what the teacher expects of you.
