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Daniel [21]
3 years ago
7

Transcendent Technologies is deciding between developing a complicated thought-activated software, or a simple voice-activated s

oftware. Since the thought-activated software is complicated, it only has a 30% chance of actually going through to a successful launch, but would generate revenues of $50million if launched. The voice-activated software is simple and hence has a 80% chance of being launched but only generates a revenue of $10million. The complicated technology costs 10million, whereas the simple technology costs 2million.
What is the expected net profit from developing the complicated software? *

a) $15million

b) $8million

c) $5million

d) $50million
Business
1 answer:
boyakko [2]3 years ago
4 0

Answer:

c) $5 million

Explanation:

The computation of expected net profit is shown below:-

For computing the net profit first we need to compute the profit which is shown below:-

Profit = $50 million - $10 million

= $40 million

Expect net profit = Probability of success × Profit + Probability of unsuccessful × Loss

= $40 × 0.3 + (-$10 × 0.7)

= $5 million

Therefore for computing the expected net profit we simply applied the above formula.

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3 years ago
Cox Co. accounts for its inventory using the LIFO cost method. An inventory loss from a permanent market decline of $360,000 occ
kirill115 [55]

Answer:

$360,000

Explanation:

Last in first out (LIFO) is a method used in inventory where the cost of most recently purchased goods is the one to be expensed first. Also current losses are the first to be reported.

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3 years ago
Karen Meyer owns and operates Crystal Cleaning Company. Recently, Meyer withdrew $10,000 from Crystal Cleaning, and she contribu
m_a_m_a [10]

Answer:

a) Karen Meyer's personal records

c) American Red Cross

Explanation:

Crystal cleaning has no concers of the money once it is withdrew.

Now the contribution will be in Karen records. She may use it for tax benefit or just to have an archive of whis espending. Either way if she keeps accounting for his own money, then it will be recorded.

Also the American Red Cross will record the cash received along with other donations.

4 0
3 years ago
A(n) ________-based ethics code defines corporate values; creates a supportive environment, and, stresses shared accountability
dolphi86 [110]

Answer:

Integrity

Explanation:

In the event of the integrity based morals code, there is a joining of the laws administering the Corporate with that of the administrative duty and responsibility that underlines on following up on moral way along these lines encouraging a strong domain and putting worry upon shared responsibility.

In integrity based morals codes, together all workers expected to consequently share the responsibility to act morally.

6 0
3 years ago
On January 15, the end of the first biweekly pay period of the year, North Company’s payroll register showed that its employees
vodomira [7]

Answer:

The Journal entry is as follows:

Sales salary expense A/c          Dr.  $35,000

To FICA social security tax                               $2,170

To FICA medicare tax                                        $507.50

To federal income tax                                        $6,500

To medical insurance deduction                        $772.50

To union dues                                                      $120

To sales salaries payable                                    $24,930

(To record the employee payroll for the period)

Notes:

FICA social security tax  = $35,000 × 6.2%

                                        = $2,170

FICA medicare tax  = $35,000 × 1.45%

                                 = $507.50

4 0
3 years ago
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