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Arisa [49]
3 years ago
11

Parker & Stone, Inc., is looking at setting up a new manufacturing plant in South Park to produce garden tools. The company

bought some land six years ago for $4.6 million in anticipation of using it as a warehouse and distribution site, but the company has since decided to rent these facilities from a competitor instead. If the land were sold today, the company would net $4.9 million. The company wants to build its new manufacturing plant on this land; the plant will cost $12.1 million to build, and the site requires $730,000 worth of grading before it is suitable for construction. What is the proper cash flow amount to use as the initial investment in fixed assets when evaluating this project?
Business
1 answer:
elena55 [62]3 years ago
8 0

Answer:

$17,730,000

Explanation:

The computation of the proper cash flow amount is shown below:

= Land sale value + new manufacturing plant on this land + grading cost before it is suitable for construction

= $4,900,000 + $12,100,000 + $730,000

= $17,730,000

We simply added the land sale value, new manufacturing plant on this land, and the grading cost before it is suitable for construction so that the correct amount can come

All other information which is given is not relevant. Hence, ignored it

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Privett Company
aleksandrvk [35]

Answer:

$130,032

Explanation:

Calculation to determine the amount of quick assets

Using this formula

Quick assets=Accounts receivable +Cash+Marketable securities

Let plug in the formula

Quick assets=$74,771+$24,116+31,145

Quick assets= $130,032

Therefore the amount of quick assets is $130,032

7 0
4 years ago
The News Corporation, Smile Train, Delta Airlines and Gucci are all examples of
Rus_ich [418]

The news corporation, Smile train, Delta airlines and Gucci are all examples of organizations

Explanation:

The entity that consists of many groups of people who work together for an organization for a particular purpose for an institution or for an association is called as an organization

The tasks here are performed in an organized way and taking the efficient way to approach an presenting them in a logical order is called as organizing there are three main types of business organizations they are the sole proprietorship, partnership and the cooperation

7 0
4 years ago
Claire is severely injured in a car accident. The local hospital cannot treat Claire’s injuries. In order to survive, Claire mus
mote1985 [20]

Does it matter that the helicopter company <em>performed its obligation</em> under the contract?

  • Yes, it does matter because they had a legally binding agreement.

<h3>What is a Contractual Agreement?</h3>

This refers to the legally binding document which two parties attest their signature to about an agreement for a particular thing with the terms clearly stated.

With this in mind, we can see that Claire who was involved in a car accident needs to go to a hospital in another state for better treatment for her injuries and she signs a contractual agreement that she would pay for the helicopter expenses.

In light of this, the argument which Claire can make to rescind the agreement is that her life was in danger and she needed the services of the helicopter company which had her Universal Right to Life.

Read more about contractual agreements here:
brainly.com/question/984979

3 0
3 years ago
In the long run, assuming that the owner of a firm in a competitive industry has positive opportunity costs, she a. should exit
icang [17]

Answer:

 c. will earn zero economic profits but positive accounting profits.

Explanation:

In a competitive industry, there are many buyers and sellers of homogenous goods and services. There are also low barriers to entry and exit of firms. In the short run, if a firm is earning economic profit, new firms enter into the industry and drive economic profit to zero. Thus, in the long run, a firm only earns accounting profit.

Accounting profit is total revenue less total cost or explicit cost.

Economic profit is accounting profit less implicit cost or opportunity cost.

I hope my answer helps you

3 0
4 years ago
Read 2 more answers
What is the amount of money you still owe to their credit card company called?
lukranit [14]
The correct answer is: A. credit card interest
4 0
4 years ago
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