I 'm not sure but the answer might be A.
Answer:
$45,000
Explanation:
In this case the market value is $200,000 but the policy limit is only $120,000, with a coinsurance of 80%.
Since the amount of loss = $60,000, the insurance company will pay:
(stop limit / value) x loss = ($120,000 / $160,000*) x $60,000 = 0.75 x $60,000 = $45,000
*the $160,000 value is determined by multiplying the fair market value of the property times the coinsurance = $200,000 x 80% = $160,000
The comparison of the actual results of capital investments to the projected results is referred to as post-audit.
The payback method determines how long it will take for the company to recoup its investment. Annual cash flows are compared to the initial investment, but the time value of money is not considered and cash flows beyond the payback period are ignored.
Companies apply the time value of money in a variety of ways to make yes or no decisions about investment projects and between competing projects. Two of the most common methods are net present value and internal rate of return (IRR).
The minimum return on the capital investment required by management is called the return on investment. The collection method considers cash flows that occur both during and after the collection period.
Learn more about capital investments at
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Answer:
a. amount of the other good that must be given up.
Explanation:
The mix of two goods or services can be accomplished in the frontier of production possibilities when all available resources and technologies are fully efficient and used. This indicates a mix of the two resources to a maximum.
As we know that, the opportunity cost refers to the cost in which the best alternative is chosen among the available ones which can generate a better return so the one goods are considered while another cost is given up.
Answer:
Land A/c Dr $3,360,000
To Common stock A/c $2,400,000
To Additional paid in capital - in excess of par - common stock A/c $960,000
(Being the exchange transaction is recorded)
Explanation:
The journal entry is shown below:
Land A/c Dr $3,360,000
To Common stock A/c $2,400,000
To Additional paid in capital - in excess of par - common stock A/c $960,000
(Being the exchange transaction is recorded)
The computation is shown below:
For land
= 30,000 shares × $112
= $3,360,000
For Common stock
= 30,000 shares × $80
= $2,4000,000
And, the remaining balance is credited to the additional paid in capital account
