When I got into a crash ig
Answer:
An opportunity cost
Explanation:
The opportunity cost is the cost where the loss occurs from the benefit could have been enjoyed in the case when the best alternative choice was selected Since in the question it is mentioned that the company operating at a capacity and than lose revenue from the regular customers so it is an opportunity cost
Answer:
$60.75
Explanation:
your question seems incomplete. here is the full question used in answering this question
Free Spirit Industries Inc. is considering a project that will have fixed costs of $10,000,000. The product will be sold for $41.50 per unit, and will incur a variable cost of $10.75 per unit. p na r so Free Spirit's marketing and sales director doesn't think that the firm's market is big enough for the firm to break even. In fact, she believes that the firm will be able to sell only about 200,000 units. However, she also thinks that the demand for Free Spirit's product is relatively inelastic (so the firm can increase the sales price without significantly decreasing the volume of product sold). Assuming that the firm can sell 200,000 units, what price must it set to break even? O $57.71 per unit O $72.90 per unit O $60.75 per unit O $66.83 per unit
Breakeven price = (fixed cost / quantity sold) + variable price per unit
($10,000,000 / 200,000) + $10.75 = $60.75
Answer:
Explanation:
The journal entries are shown below;
Bad debt expense A/c Dr $2,421
To Allowance for doubtful debts A/c $2,421
(Being bad debt expense is recorded)
The computation of the bad debt expense is given below
= Net sales × estimated percentage given
= $807,000 × 0.3%
= $2,421
To determine the estimated bad debt expenses we debited the bad debt expense account and credited the allowance for doubtful debts
Answer:
a. ($3,590)
b. ($1,119,158)
c. ($47,908)
d. ($61,446)
e. $17,714
Explanation:
We use the Time Value of Money to compute the Present Value. Present Value is the Worth in Today`s Money of the Cash Flow Streams expected or to be received in the future.
<u>Calculation of the Present Value for each case is shown below :</u>
a.
FV = $15,000
N = 15
P/YR = 1
PMT = $0
I = 10 %
PV = ?
Using a Financial Calculator to Inpute the Values as above, the Present Value will be ($3,590)
b.
FV = $4,250,000
N = 14
P/YR = 1
PMT = $0
I = 10 %
PV = ?
Using a Financial Calculator to Inpute the Values as above, the Present Value will be ($1,119,158)
c.
FV = $ 0
N = 6
P/YR = 1
PMT = $11,000
I = 10 %
PV = ?
Using a Financial Calculator to Inpute the Values as above, the Present Value will be ($47,908)
d.
FV = $ 0
N = 10
P/YR = 1
PMT = - $10,000
I = 10 %
PV = ?
Using a Financial Calculator to Inpute the Values as above, the Present Value will be ($61,446)
e.
$ 0 CFj
$ 0 CFj
$ 0 CFj
$ 0 CFj
$ 0 CFj
$ 0 CFj
$9,000 CFj
$9,000 CFj
$9,000 CFj
$9,000 CFj
Shift NPV $17,714
This part of the question has uneven Cash Flows, so i used the CFj Function on the Financial to calculate the Net Present Value (NPV)
