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AfilCa [17]
3 years ago
13

Dave Krug finances a new automobile by paying $6,500 cash and agreeing to make 20 monthly payments of $580 each, the first payme

nt to be made one month after the purchase. The loan bears interest at an annual rate of 12%. What is the cost of the automobile? (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided. Round PVA factor to 4 decimal places.)
Business
1 answer:
Sonbull [250]3 years ago
5 0

Answer:

$16,966.68

Explanation:

the cost of the car = down payment + present value of the monthly installment payments

  • down payment = $6,500
  • PV of monthly installment payments = $580 x 18.046 (PV annuity factor, 1%, 20 periods) = $10,466.68

the cost of the car = $6,500 + $10,466.68 = $16,966.68

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Wholesale Company began the year with merchandise inventory of $ 8 comma 000. During the​ year, Upper S purchased $ 96 comma 000
yanalaym [24]

Answer:

The answer is given as below;

Explanation:

Opening inventory                  $8,000

Purchases                              $96,000

Less: return outwards             ($6,200)

Add; Freight in                            $1,100

Less: Closing Inventory            ($17,300)

Cost of Goods Sold                   $81,600

5 0
3 years ago
Read 2 more answers
Bramble corp. wants to sell a sufficient quantity of products to earn a profit of $200000. if the unit sales price is $18, unit
mote1985 [20]

To solve for units sold at an income of $200,000:

First, I would subtract the variable cost of $8 from the unit sales price of $18 dollars which gives you $10.


Unit profit = $10

Fixed costs = $200,000

How many units need to be sold to earn an income of $200,000?


40,000 units x $10 = $400,000 - $200,000 = $200,000


40,000 units need to be sold to earn an income of $200,000.

3 0
3 years ago
Ms. Towne is buying a home for $250,000 and is putting down 20% cash on the purchase. She is financing the rest with a 30-yr, fi
kipiarov [429]

Answer:

$180

Explanation:

the monthly payment = principal / annuity factor

  • principal = $250,000 x 80% = $200,000
  • PV annuity factor, 360 periods, 0.38542%= 194.4995527

monthly payment = $200,000 / 194.4995527 = $1,028.28

in total, you will pay $1,028.28  x 360 = $370,180.80, so total interests = $370,180.80 - $200,000 = $170,180.80

the biweekly payment = principal / annuity factor

  • principal = $250,000 x 80% = $200,000
  • PV annuity factor, 780 periods, 0.178%= 421.62071

monthly payment = $200,000 / 421.62071 = $474.36

in total, you will pay $474.36  x 780 = $370,000.80, so total interests = $370,000.80 - $200,000 = $170,000.80

During the 30 year period, you will be able to save $170,180.80 - $170,000.80 = $180 in interests

3 0
3 years ago
a company produces a single product. variable production costs are $14.00 per unit and variable selling and administrative expen
My name is Ann [436]

The value of the ending inventory under variable costing is calculated to be $19,600.

To determine the value of the ending inventory under variable costing we first find out the units in the ending inventory as follows;

Units in ending inventory = Units in beginning inventory + Produced units − Sold units

Units in ending inventory = 0 + 6000 - 4600

Units in ending inventory = 1400

Now the value of the ending inventory under variable costing can be determined by multiplying units in the ending inventory by the variable  production cost as follows;

Value of Ending inventory = Unit in ending inventory × Variable production cost

Value of Ending inventory = 1400 × 14

Value of Ending inventory = $19,600

Hence, the value of the ending inventory would be $19,600 under variable costing.

To learn more about ending inventory; click here:

brainly.com/question/19132743

#SPJ4

5 0
1 year ago
Changes in the prices of key commodities have a significant impact on a company's bottom line. For virtually all companies, the
Anna11 [10]

Answer:

Explanation:

A) Energy can be both a fixed cost and a variable cost for a company. This is due to the sense that energy in the form of fixed electricity bill even when no production takes place (telephone bill), a fixed cost and electricity bill when production takes place would be a variable cost

B) An increment in fixed cost will shift the ATC curve to the right while the MC curve would remain the same because MC is the change in variable cost as output increases and is not related to fixed cost.

C) Corn cost is a variable cost for ethanol producer as each unit of corn is used to produce ethanol and thus use of corn is reliant upon how much ethanol is produced. This makes corn a variable input dependent on the production of output, therefore, the cost of corn is variable.

D) An increment in the variable cost will shift the ATC curve to the right and individual MC curve to the right.

5 0
3 years ago
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