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melisa1 [442]
2 years ago
11

Your firm spends $ 5 comma 200 every month on printing and mailing​ costs, sending statements to customers. If the interest rate

is  0.46 % per​ month, what is the present value of eliminating this cost by sending the statements​ electronically?
Business
1 answer:
Korvikt [17]2 years ago
7 0

Answer:

The present value for eliminating this cost will be of $1,130,434.78

Explanation:

we solve for the present value of a perpetual annuity as this cost goes forever unless we change into electronically afterwich; they disappear entirely.

\frac{C}{r} =PV

\frac{5,200}{0.46} = 1,130,434.78

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Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor-hour
Xelga [282]

Answer:

Results are below.

Explanation:

Giving the following information:

Direct materials: 5 pounds at $8.00 per pound $40.00

The planning budget for March was based on producing and selling 25,000 units.

<u>a)</u>

<u>The material cost included in the planning budget is the standard cost multiplied for the budgeted production.</u>

<u></u>

Direct material requiered= 25,000*5= 100,000 pounds

Standard cost per pound= $5

Direct material budget= 100,000*5= $500,000

b)

<u>The raw material's flexible budget adapts to the actual production level.</u>

Direct material flexible budget= standard cost*actual material used in production

Direct material flexible budget= 5*160,000

Direct material flexible budget= $800,000

<u>c)</u>

<u>To calculate the direct material price variance, we need to use the following formula:</u>

Direct material price variance= (standard price - actual price)*actual quantity

Direct material price variance= (5 - 7.5)*160,000

Direct material price variance= $400,000 unfavorable

6 0
3 years ago
The following is a list of accounts commonly seen in financial statements. Identify whether each account appears on the balance
Anastasy [175]

Answer:

Balance sheet:

Accounts Payable -Liability

Property, Plant. and Equipment -Asset

Long-Term Debt-Liability

Retained Earnings-equity account

Prepaid Expense -Asset

Common Stock -equity account

Accounts Receivable-Asset

Income statement:

Cost of Goods Sold-expense

Research and Development-expense

Explanation:

Property, plant and equipment , accounts receivable and prepaid expenses would appear on the asset side of the balance sheet.

Long-term debt and accounts payable are both liabilities since they are obligations owed to third parties while retained earnings and common stock are both equity account

Lastly,cost of goods sold and research and development cost are expenses in the income statement

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3 years ago
List and explain the four factors of production, stating their reward. ​
mojhsa [17]
The four main factors of production are land, or the physical space and natural resources, labor, or the workers, capital, or the money and equipment, and entrepreneurship, or the ideas and drive, which are used together to make a successful attempt at selling a product or service according to traditional economic ...
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The aggregate demand curve
laiz [17]

Answer:

<u>B. shows planned purchase rates of goods and services at various price levels.</u>

Explanation:

  • The aggregate demand is the total demand for final goods and services in the economy over a given period of time. And is often distinguished as the effective demand curve. That is the demand for the GDP of the nation.
  • As it specifies all the goods and the services that are to be purchased at all the possible levels. Hence this demand curve shows us the real output given on the horizontal axis. Thus the curve shows the quantity of the output that is demanded and the aggregate of the all price level.
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Answer:

d

Explanation:

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