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2 years ago

Capital structure decisions include determining:

Business

1 answer:

xenn [34]2 years ago

5 0

Answer:

4. how much debt should be assumed to fund a project.

Explanation:

The capital structure is a mix of the debt and equity

In equation form, it is

Capital structure = Debt + equity

These two items should be taken for financing the assets of the company

And, the other options that are mentioned are related to the techniques of the capital budgeting

Therefore, the correct option is 4.

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During 2017 the inflation rate increased slightly but remained in the "comfort zone" and the unemployment rate was low. Why mig

goblinko [34]

Answer:B It thought that unemployment was a greater problem than the rising inflation rate

Explanation:

Inflation is the continuous rise in price of goods and services which is as a result of large volume of money in circulation used for the few available goods and services.

Unemployment is a situation where all that are willing and capable of being employed are unable to get employment.

In the above scenario lowering Interest rates will increase the volume of money in circulation which will invariably increase inflation and we equally increase level of investment as the cost of fund will be cheaper thereby lowering unemployment.

This action means unemployment is of greater problem than rising inflation.

It does not mean inflation is of more concern than unemployment otherwise it will have increase the interest rate, it will make loanable fund demanded to exceed supply and the quantity of money in supply will increase.

7 0

3 years ago

The Cutting Department of Sheridan Company has the following production and cost data for July.

alina1380 [7]

Answer:

1. Materials Conversion Costs

Total equivalent units of production 17,200 15,800

2. Cost per Equivalent Unit $ 4.05 $ 2.6

Explanation:

Cutting Department

Weighted-Average Method

1. Equivalent Units

Particulars Units % of Completion Equivalent Units

Materials Conversion Materials Conversion

Transferred Out 13,700 100 100 13,700 13,700

Ending Inventory 3500 100 60 3500 2100

Total Equivalent Units 17,200 15,800

The Ending Inventory units are 3500 which are not yet complete.

Materials Conversion Costs

Total equivalent units of production 17,200 15,800

2. Cost Per Equivalent Units

Materials Conversion

Cost Added 69,660 18,480 + 22,600

Total Costs 69,660 41,080

Equivalent Units 17,200 15,800

Cost per Equivalent Unit 69,660 / 17,200 41,080/ 15,800

$ 4.05 $ 2.6

Cost of Ending Work In Process $ 19635

Materials = 3500 * $ 4.05= $ 14175

Conversion = 2100 * $ 2.6= $ 5460

We multiply the equivalent number of units with the cost per unit to find the cost.

Cost Of Units Transferred Out = $ 91,105

Materials = 13,700 * $ 4.05= $ 55,485

Conversion = 13,700 * $ 2.6 = $ 35620

B. A Cost Reconciliation Report

Materials Conversion

Ending WIP $ 14175 $ 5460

Transferred Out $ 55,485 $ 35620

Total $ 69660 41080

These calculated costs reconcile with the costs given in the above data.

Materials Conversion

Cost Added 69,660 18,480 + 22,600

Total Costs 69,660 41,080

These costs reconcile with the given costs.

5 0

2 years ago

The Engine Division provides diesel engines for the Motor Home Division of a company. The standard unit costs for Engine Divisio

Lisa [10]

Answer:

The best transfer price to avoid transfer price problems is $2,310

Explanation:

Transfer Price = Variable cost + Fixed Fee

Variable Cost = Direct Material + Direct labor + Variable Overhead

= 600 + 1,200 + 300

= 2,100

Transfer Price = Variable cost + Fixed Fee

= 2,100 + 210

= $2,310

Therefore, The best transfer price to avoid transfer price problems is $2,310

3 0

2 years ago

Swifty Company has identified that the cost of a new computer will be $30000, but with the use of the new computer, net income w

klio [65]

Answer:

10.0 years

Explanation:

The computation of the payback period is shown below

We know that

Payback period = initial cost ÷ increase in net income

= $30,000 ÷ $3,000

= 10 years

As the depreciation expense is a non-cash expense so we dont considered it

Therefore the first option is correct

8 0

2 years ago

Your checkbook register shows these activities for the month.Old balance: $134.56Check 512 to Good Stuff for $32.19Deposit: $345

Dvinal [7]

Based on the various activities for the month that were reflected in your checkbook, your new balance would be $135.84.

<h3>What is the checkbook balance?</h3>

This can be found as:
= Opening balance + Deposits - Checks and withdrawals

Solving gives:

= 134.56 + 345.12 - 32.19 - 250 - 16.65 - 45

= $135.84

In conclusion, your new balance is $135.84.

Find out more on checkbook balances at brainly.com/question/3719189

#SPJ1

3 0

2 years ago