Capacity is constrained when demand exceeds supply and the flow rate is equal to process capacity. The capacity constraint<span> is a factor that prevents a business from achieving more output. </span><span>
If capacity is constrained, we should raise the staffing level to lower capacity.</span>
Nurse is an example of that
Answer:
Conyers = $38,580
Poodle = $222,420
Explanation:
Annual salary allowance to Poodle of $146,160.
Interest of 6% on each partner's capital balance on January 1.
Any remaining net income divided to Conyers and Poodle, 1:2.
net income $261,000
distribution of interests:
- Conyers = $54,000 x 6% = $3,240
- Poodle = $93,000 x 6% = $5,580
drawings (annual salary allowance):
remaining income = $261,000 - $146,160 - $3,240 - $5,580 = $106,020
- Conyers (1/3) = $35,340
- Poodle (2/3) = $70,680
total distributed:
- Conyers = $3,240 + $35,340 = $38,580
- Poodle = $5.580 + $146,160 + $70,680 = $222,420
Answer:
war communism
Explanation:
The necessities of the civil war pushed the government to a more radical economic system known as war communism. This were the economic policies that were introduced in Russia in 1918 towards the end of the first World War by Vladimir Lenin which was the leader of Russia at that time. This Economic Policy was terminated in 1921 and was deemed as a failure.
Answer:
d. Choose Option B because it has a higher NPV
Explanation:
The computation is shown below:
For Option A:
Investment = $10 million
Present Value of cash flows = Cash flow ÷ Discounting rate
= $2 ÷ 10%
= $20 million
Now
NPV = $20 - $10
= $10 million
We know that
IRR is the rate at which the NPV will be zero
So, 2 ÷ r - 10 = 0
r = 20%
For Option B:
Investment = $50 million
Present Value of cash flows = $6.5 ÷ 10% = $65 million
NPV = $65 - $50 = $15 million
we know that
IRR is the rate at which the NPV will be zero
So, 6.5÷ r -50 = 0
r = 13%
Based on NPV, Option B should be selected as it contains higher NPV as compared to option A.
However, Based on IRR, Option A should be chosen as it contains higher IRR and a higher IRR represent a higher profit percentage
