Answer:
A.Loss of value is correct answer sir
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the answer is
after all current entries are posted
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OFFICIALLYSAVAGE2003
Answer:
The capitalized cost will be "784,592".
Explanation:
The given values are:
Initial cost = $500,000
Annual operating cost = $20,000
Interest, i = 12% i.e., 0.12
Effective Two year interest rate, i₂ =
=
As we know,
Now on putting the estimated values in the above expression, we get
⇒
⇒
⇒
So that the above is the right answer.
Answer:
2.4 years
Explanation:
Years Cash Cumulative Cashflow
1 8000 8000
<u>2 6000 14000</u>
3 5000 19000
4 4000 25000
5 <u>5000</u> 30000
<u>30000</u>
Payback period = 2 years + (16,000 - 14,000) / 5,000
Payback period = 2 years + 0.4 years
Payback period = 2.4 years
Answer:
$307
Explanation:
The computation of the interest expense is shown below:
= Principal × rate of interest × number of days ÷ (total number of days in a year)
= $80,000 × 6% × (23 days ÷ 360 days)
= $307
The 23 days is taking from July 8 to July 31
We simply applied the simple interest formula by multiplying the principal amount with the rate of interest and the time period