Answer:
5.98 years
Explanation:
The computation of the payback period is shown below:
In year 0 = -$1,530,000
In year 1 = $305,000
In year 2 = $270,000
In year 3 = $240,000
In year 4 = $240,000
In year 5 = $240,000
In year 6 = $240,000
In year 7 = $240,000
In year 8 = $240,000
In year 9 = $240,000
In year 10 = $240,000
If we added the first 5 year cash inflows than it would be $1,295,000
Now we have to subtract the $1,295,000 from the $1,530,000 , so the amount would be $235,000 as if we sum the six year cash inflow so the total amount is exceeded to the initial investment. So, we subtract it
And, the next year cash inflow is $240,000
So, the payback period equal to
= 5 years + $235,000 ÷ $240,000
= 5.98 years
Answer:
$17.68 per machine hour.
Explanation:
Plant Overhead rate per machine hour = $8,500,000 + $164,500 / 490,000 machine hours
Plant Overhead rate per machine hour = $8,664,500 / 490,000 machine hours
Plant Overhead rate per machine hour = $17.68265306122449
Plant Overhead rate per machine hour = $17.68 per machine hour.
Answer:
The region of space surrounding a body in which another body experiences a force of gravitational attraction.
Please mark as brainlist.
Answer:
Current rate method
Explanation:
Translation is defined as the conversion of financial statement of a foreign subsidiary from the foreign currency to local currency.
This is done to reduce the effect of foreign exchange risk.
If a foreign subsidiary is exposed to foreign exchange risk the best translation method is the current rate method.
Current rate method uses the current exchange rate in translation.
Translation is used when the local currency is the functional currency of the company.
Answer:
Lease A Capital lease
Lease B Capital lease
Explanation:
A capital lease is a contract that that entitles a renter temporary usage of an asset. So for accounting purposes it is considered that for that period the renter is the owner of the asset.
To be considered a capital lease it must satisfy any of these criteria:
- The life of the lease must be equal to or greater than 75%
- There should be a bargaining option for price less than market value
- The lessee will gain ownership at the end of lease period
- The present value of lease should be greater than 90% of market value of asset
Both of these properties satisfy at least one of these criteria so they are both capital leases.