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kipiarov [429]
3 years ago
11

Nick is working for an advertising firm making $60,000 per year but considers starting his own advertising company. Nick has det

ermined that to launch the business, he needs to invest $100,000 of his own funds. The annual cost of running the business will include $50,000 for the rent of the office space, $180,000 for employee wages, and $8,000 for materials and utilities. Nick plans to manage the business, which means that he will have to quit his current job. Suppose that the interest rate (or rate of return) on investments in the economy is 6%.
Nick's total implicit cost per year is _____.
Nick's total cost per year is _____.
Business
1 answer:
adoni [48]3 years ago
4 0

Answer:

$66,000

$304,000

Explanation:

The computation is shown below:

Total implicit cost is

= Job left cost + forgone the return on investment

= $60,000 + $100,000 × 6%

= $60,000 + $6,000

= $66,000

And, the total cost is

= explicit cost + implicit cost

= $50,000 + $180,000 + $8,000 + $66,000

= $304,000

We simply applied the above formulas so that the correct values could come

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A fire has destroyed a large percentage of the financial records of the Inferno Company. You have the task of piecing together i
oee [108]

Answer:

11.11%

Explanation:

The computation of the return on assets is given below:

But before that following calculations need to be done

Total assets = Total debt ÷ Total debt ratio

= $657,000 ÷ 0.31

= $2,119,354.839

Total equity = Total Assets - Total Debt

= $2,119,354.839 - $657,000

= $1,462,354.839

Net profit = Total equity × Return on equity

= $1,462,354.839 × 0.161

= $235,439.129

And, finally

ROA = Net profit ÷ Total Assets

= $235,439.129 ÷ $2,119,354.839

= 11.11%

7 0
3 years ago
During the industrial revolution, high population growth in great britain, combined with intensive use of raw materials from the
maks197457 [2]
The answer in the space provided is carrying capacity as this is what is being threatened in the scenario above because the carrying capacity is a way of establish what the environment can hold or provide with a limited amount of people and when if there is a presence of population growth that is high, it could be threatened.
6 0
3 years ago
Volvo is a well-known quality manufacturer of cars, trucks, and suvs. volvo dealers also provide financing to their customers. t
babymother [125]
I think the correct term to fill in the blank would be mix. A product mix is the all of the products or services lines being offered by a company. The cars, trucks, financing services and the like are all product lines that make up the product mix of Volvo.
8 0
3 years ago
What kind of risks can exist in a business?
andriy [413]
So many! Failing is the main one and losing everything
7 0
3 years ago
Read 2 more answers
Available"" (as in ""measurable and available"") means 1. Available to finance expenditures of the current period 2. Subject to
MAVERICK [17]

Answer:

1. Available to finance expenditure of the current period

Explanation:

Government Accounting is concerned with propriety i.e judicious use of resources and allocation of government funds so as to ensure efficient performance of government entities.

Efficiency refers to input/output ratio whereas effectiveness refers to achievement of government programs.

Government requires funds for allocation to various projects which require sanctioning by an authority.

In the same context, the concept of "available" refers to the availability of funds to meet the current period expenditure and liabilities.

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3 years ago
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