Answer:
Utilities
Explanation:
Variable costs are expenses that vary proportionately with the changes in production level. Should production level rise, variable costs increases. Variable costs form the majority of the direct cost of production.
Unlike fixed costs, the monthly bill for variable costs will keep fluctuating. In this scenario, utilities represent the variable cost. Expenses on electricity, water and other consumables will vary from time to time. With a high level of production, consumption of power and water will be high.
Rent and insurance cost will remain the same regardless of production level. A professional fee is an overhead expense. It is not an input in the production process.
Answer:
$814.10
Explanation:
Calculation to determine what the price of the bond now
Using this formula
Bond price = PV of coupon payments + PV of face value
Bond price= C×((1 / r) – {1 / [r(1 + r)t]}) + FV / (1 + r)t
Let plug in the formula
Bond price= [(.080 ×$1,000) / 2] ×[[1 / (.12 / 2)] – (1 / {(.12 / 2)[1 + (.12 / 2)](7 ×2)})] + $1,000 / [1 + (.12 / 2)](7 ×2)
Bond price= $814.10
Therefore the price of the bond now is $814.10
Answer:
the future value in two years is $110.25
Explanation:
The computation of the future value in two years is shown below:
As we know that
Future value = Present value × (1 + rate of interest)^number of years
= $100 × (1 + .05)^2
= $100 × (1.1025)
= $110.25
Hence, the future value in two years is $110.25
The same should be considered and relevant
Answer:
the decrease in the value of the retained earning is $172,500
Explanation:
The computation of the decrease in the value of the retained earning is given below:
The dividend of the stock is
= (25,000 shares - 2,000 shares) × 10% × $75
= $172,500
Since there is the stock dividend of $172,500 so it ultimately reduced the retained earning account by $172,500
The dividend
of a stock would always depend on the face value of the share. Therefore the
dividend is calculated by:
Dividend =
(Face Value) * (Interest rate)
Dividend = $50
per share * 0.08
<span>Dividend = $4 per
share (ANSWER)</span>
