Answer:
d. Revenues increase, so total equity is increased.
Explanation:
Consulting Revenue of $700 will increase the total revenue of the business and total equity of the business as the revenue will increase the net profit which will ultimately be added to the equity balance. Increase in revenue will result in increase in equity and Increase in expenses will decrease the equity.
Answer:
Yield to maturity is 7.93%
Yield to call is 7.83%
Explanation:
I calculated both the yield to maturity and yield to call using the rate formula in excel which is =rate(nper,pmt,pv,-fv)
nper is the year to maturity and year to call of 18 years and 8 years respectively.
pmt is the periodic coupon payment is 9%*1000=$90 in each case.
pv is the present value in each case of $1100.35
The future value which is the redemption value is $1000 for yield to maturity and $1060 for yield to call
Find attached detailed calculation
TRUE
If the society wishes to reduce overall pollution by certain amount, it is efficient to have firms with highest profit bearing the largest burden of reducing pollution and firms with lowest profit bearing the least burden. This is because it will not lead to overall burden on the small firms. If large firms and small firms were to reduce the pollution burden on same rate then it will be very costly for the smaller firms to bear that and it will be a burden of cost on smaller firms.
Answer:
1. $590
2. $9.83
Explanation:
1.
Total Number of Direct Labor Hours:
= Total Labor Cost ÷ Labor Rate Per Hour
= 150 ÷ 15
= 10 Hours
Total Overheads:
= Total Number of Direct Labor Hours*Predetermined Overhead Rate
= 10 × 21
= 210
Total Manufacturing Cost = 230 + 150 + 210
= $590
2.
Average Cost:
= Total Manufacturing Cost ÷ Number of Units
= 590 ÷ 60
= $9.83
