Answer:
The correct answer is the last option: Real output per unit of input.
Explanation:
To begin with, in the microeconomics and business management field the concept known as "productivity" refers to the measurement related to the efficiency of production of goods or services and it is most commonly expressed as a ratio of an aggregate output to a single input so therefore that this index is very important to the companies and the governments in order to understand how the production can improve and more important how can evolve regarding the machinery and the inputs that either the business or the government.
Answer:
The capitalized cost fo the machine is 570,010.68
Explanation:
We will calculate the present value of the machine under these payment and calcualte the implicit interest.
<u>We will use the formula for present value of a lump sum:</u>
Maturity 180,000
time 1
rate 0.06
PV $169,811.3208
Maturity 180,000
time 2
rate 0.06
PV $160,199.3592
240,000 + 169,811.32 + 160,199.36 = 570,010.68
And there are 600,000 - 570,011 = 29,989 interest
Answer:
0.1
Explanation:
The Average Rate of Return (ARR) is the average net income an asset/investment is expected to generate over the course of its lifetime.
The Formula for ARR is Average Annual Net Income ÷ Initial Investment. If the question says to convert to percentage then the computed figure is multiplied by 100.
Step 1: Compute Average Annual Net Income
Add the streams from the 1st to the 8th year and divide by 8
$200000+$200000+$300000+$700000+$800000+$1100000+$2000000+$1100000=$6,400,000
$6,400,000÷8=$800,000
Step 2: Compute the ARR
Average Annual Net Income÷ Initial Investment
$800,000÷$8,000,000= 0.1
Note: The Figure should be multiplied by 100 to get the percentage figure if requested.
Answer: Option D
Explanation: In simple words, these are accounts from which the cash flows are not stable and there is no guarantee that the entity will be able to get that benefit in the next accounting period.
The word "temporary account" applies to materials found on your statements of income, such as income and expenditure. Unlike regular accounts, temporary accounts must be ended to start the new accounting cycle with zero balances at the end of your company's accounting period.
Hence from the above we can conclude that the correct option is D.
