Answer:
$ 0.61 per unit
Explanation:
The unit-of-activity method is one of the asset depreciation methods. Under this method, the depreciable cost of the asset is spread over the units produced. The formula is a more accurate measure of wear and tear.
In this case:
Depreciable cost=(purchase price -salvage value)
=$52000.00 -$3200.00
=$48,800.00
Depreciation per unit= Depricable cost / expected production
=$48,800/80000
=$ 0.61per unit
Answer:
They should not make the change because the price of the stocks will decrease.
Explanation:
the current price of the stocks using the perpetuity formula = dividend / required rate of return
current price with current capital structure = $5.64 / 0.123 = $45.85
if the company changes its capital structure by increasing debt, the price of the stocks will be
$5.92 / 0.136 = $43.53
since the price of the stocks would actually decrease if the capital structure changes, the change should not be made. The stockholders' wealth is measured by the price of the stocks, and if the price of the stocks decreases, then the stockholders' wealth also decreases.
Answer:d the increase or decrease in cash flow for the period of time
Explanation:
It’s the amount gained and lost in the amount of time they were in business
Answer:
The correct option is option C
$18,600 $3,100 $3,100 $3,100 $3,100 $3,100 $3,100
Explanation:
Year0- $18600
Year1 - $3100
Year2 - $3100
Year3. $3100
Year5. $3100
Year6. $3100
That is the timeline of the loan from the lender's perspective.
