Answer:
Incremental income from reworking the phone is $49,300
Explanation:
Scrap Rework
Sales $46,400 $214,600
<em>(32 * 1,450) (148 * 1,450)</em>
<em />
- Rework costs 0 $118,900
<u> </u><em><u>(82 * 1,450)</u></em>
Profit <u>$46,400 $95,700</u>
Incremental income from reworking the phone
= $95,700 - $46,400
= $49,300
Answer:
The value of the option to wait is $0.70,option A.
Explanation:
In calculating the value of the option to wait,I discounted all cash flows under both alternatives, using the discount rate of 12% as given in the question.
Option to start now gives net present value(positive return ) of $360.64 while the other one gives $361.34,invariably option to wait one year gives $0.70($361.34-$360.64) more than the option to start now.
The formula used in the calculating present value is PV=FV(1+r)^n
Where PV=present value
FV=future value
r=rate of interest
n=number of year
Find attached spreadsheet for detailed calculations.
Answer:
The correct answer is A
Explanation:
Cash payments journal is the one which records the all the cash payments which is made by the business which involve the cash purchases of equipment, merchandise, supplies and payment to creditor.
So, the note payable payment in which the cash is received is recorded in the cash payment journal and also the accrued interest.
Answer:The net worth of Joe and Mike will reduce.
Explanation:
It will reduce because the only asset they both have is the houses in the neighbourhood and since prices have reduced,their net worth will also reduce.
Answer:
Correct Answer:
b. Select the choice with the highest value.
Explanation:
In the rational choice decision process model, it is a series of process whereby steps are taking towards making a beneficial decision for a given business setup. <em>In a situation where </em><u><em>possible choices has been discovered,</em></u><em> the next step would be </em><u><em>to select the choice with the highest value which is going to be implemented.</em></u>
