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zalisa [80]
3 years ago
12

Which of the following statements is CORRECT?a. If the cost of capital declines, this lowers a project's NPV.b. The NPV method i

s regarded by most academics as being the best indicator of a project's profitability; hence, most academics recommend that firms use only this one method.c. A project's NPV depends on the total amount of cash flows the project produces, but because the cash flows are discounted at the cost of capital, it does not matter if the cash flows occur early or late in the project's life.d. The NPV and IRR methods may give different recommendations regarding which of two mutually exclusive projects should be accepted, but they always give the same recommendation regarding the acceptability of a normal, independent project.e. The NPV method was once the favorite of academics and business executives, but today most authorities regard the MIRR as being the best indicator of a project's profitability.
Business
1 answer:
AleksAgata [21]3 years ago
3 0

Answer:

Both C and D statements are correct

Explanation:

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Joe operates a business that locates and purchases specialized assets for clients, among other activities. Joe uses the accrual
babunello [35]

Answer: Please refer to Explanation

Explanation:

a. No Effect on Taxable Income.

First off Joe's income is only dependent on if the test is successful. Even if it were, the test would only be conducted in year 1 March not in year 0 which is the focus of this question. Taxes are only paid when cash is received.

b. No Effect on Taxable Income.

Had there been a business discussion, Joe would have been able to claim a 50% deduction in Tax. However since there was none, there is no effect on Tax.

c. No effect on Taxable Income

The insurance is not tax deductible.

d. $12,750 in taxable income.

Even Joe believes that $2,750 of income might not be collected, he cannot deduct this from taxes until it actually happens therefore his increase in income is $12,750.

e. $2,250 reduction in taxable income

The $6,750 was paid for 3 months. Joe uses Accrual accounting however meaning that expenses have to be recorded for the period they are incurred. $2,250 was incurred for December and so that is the amount that will be deducted as an expense for the year.

f. $1,600 reduction in Taxable income.

If the representative brings back receipts that are in order, Joe can be able to reimburse her for $1,600 in expenses. This includes $550 for airfare, $600 for lodging and for food and entertainment, the maximum he can claim as deductible in tax is 50% of each which means $250 for meals and $200 for entertainment. Adding all that up will give $1,600.

g. $139.15 reduction in Taxable income

Joe drove 96 miles to and fro the factory to his house. This is not tax deductible and considered personal. He however drove 245 miles visiting company sites. This is tax deductible.

The standard rate for 2020 according to the IRS is 57.5 cents per mile so 245 * 57.5 cents per mile will give $139.15.

h. $345 reduction in taxable income

Joe spent $175 to attend to symposium. He also paid $95 in taxi fare to get to the symposium. He ate meals worth $150 during the symposium not which 50% is deductible. 50% being $75. Adding all these together is,

= 175 + 95 + 75

= $345.

This is the taxable reduction.

3 0
3 years ago
Anomaly-based intrusion detection systems compare current activity with stored profiles of normal (expected) activity.
Contact [7]

Anomaly-based IDS pg. 250 is an intrusion detection system that compares current activity with stored profiles of normal (expected) activity. While an intrusion detection system that uses pattern matching and stateful matching to compare current traffic with activity patterns (signature) of known network intruders is Pattern-(signature) based IDS pg. 250.





8 0
2 years ago
La Famiglia Pizzeria provided the following information for the month of October:
Dennis_Churaev [7]

Answer:

a

The cash receipts in October are as follows:

Cash Sales:

85% of $157,000

= 0.85 * $157,000

= $133,450

Payments on September credit sales:

$181,500 * 28% * (80 - 75)%

= $181,500 *0.28 * 15%

= $181,500 * 0.28 * 0.15

= $7,623

Payments on October credit sales** 16,485

$157,000 * 70% * (85 - 70)%

$157,000 * 0.7 * 15%

= $157,000 * 0.7 * 0.15

= $16,485

Total cash expected = $133,450 + $7,623 + $16,485 = $157,558

b.

Payments for food purchases is as follows:

September

($130,000 × 0.75) = $97,500

October

($116,000 × 0.25) = 29,000

Total cash needed for June = $97,500 + $29,000 = $126,500

c.

The inventory is as follows:

Beginning balance $2,147

Cash receipts $157,558

Cash available $159,705

The following items will be subtracted:

Food purchases $126,500

Shareholder's Dividend $6,000

Workers’ wages in September $730 ---- 10% of $7,300

Workers’ wages re: October $6,570 --- 90% of $7,300

Utilities $5,590

Insurance $1,200

Rent $4,100

Total disbursements $150,690

Ending balance

= $159,705 - $150,690

= $9,015

8 0
3 years ago
Blumen Textiles Corporation began April with a budget for 22,000 hours of production in the Weaving Department. The department h
tankabanditka [31]

Answer:

A. 1300 Favorable

B. $7,200 UnFavorable

Explanation:

A. Calculation to determine the variable factory overhead controllable variance

First step is to calculate the Budgeted rate of variable overhead

Budgeted rate of variable overhead = $50,600/22,000

Budgeted rate of variable overhead= $2.3per hour

Second step is to calculate the Standard variable overhead for actual production

Standard variable overhead for actual production = 23,000 x $2.3

Standard variable overhead for actual production = $52,900

Now let calculate the Variable factory overhead controllable variance using this formula

Variable factory overhead controllable variance = Standard variable overhead - Actual variable overhead

Let plug in the formula

Variable factory overhead controllable variance= $52,900 - ($86,400 - 34,800)

Variable factory overhead controllable variance= 1300 Favorable

Therefore Variable factory overhead controllable variance is 1300 Favorable

B. Calculation to determine the fixed factory overhead volume variance.

First step is to calculate the Predetermined fixed overhead rate using this formula

Predetermined fixed overhead rate = 34,800/29,000

Predetermined fixed overhead rate = $1.20 per hour

Second step is to calculate the Fixed overhead applied

Using this formula

Fixed overhead applied = Standard hours x Standard rate

Let plug in the formula

Fixed overhead applied= 23,000 x $1.20

Fixed overhead applied= $27,600

Now let calculate the Fixed overhead volume variance using this formula

Fixed overhead volume variance = Fixed overhead applied - Budgeted fixed overhead

Let plug in the formula

Fixed overhead volume variance= $27,600 - 34,800

Fixed overhead volume variance= $7,200 UnFavorable

Therefore The Fixed overhead volume variance is $7,200 UnFavorable

5 0
2 years ago
Xavier and Yolanda have original investments of $50,000 and $100,000, respectively, in a partnership. The articles of partnershi
tensa zangetsu [6.8K]

Answer:

=$59,000.00

Explanation:

Original investments:

Xavier: $50,000.00

Yolanda $ 100,000.00

Allowances:

Xavier: $ 34,000.00

Yolanda : $ 26,000.00

Income at $120,000.00

Xavier allocation will be:

Calculating interest on the original investment

Xavier =20/100x $50,000.00 =$10,000.00

Yolanda=20/100 x$100,000.00 = $20,000.00

Total interest on original investments = $30,000.00

Total allowances = $34,000+$26000=$60,000.00

Shareable income= $120,000.00- ($30,000+$60,000)

      = $30,000

                  each gets $15,000.00

Xavier will get $ 15,000 + $ 10,000 +$ 34,000

=$59,000.00

5 0
3 years ago
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