Answer:
It will take him 7 years.
Explanation:
Hi! We need to calculate the amount of time that it requires an investment of $34000 to reach $62154 at an interest rate of 9% annually.
By using the formula of Present Value we can isolate n:
The formula is:
PV=Ct/[(1+r)^n]
Ct= cash flow at t time
r= rate
n= period of time
To calculate how many years, we need to isolate n from the PV formula:
n=[ln(Ct/PV)]/ln(1+r)
n=ln(62154 /34000 )/ln(1+0,09)
n=7
Answer:
Residual Income = Net Income minus (target income)
Target income = rate of returns x operational Assets
A.
Cameras and camcorders investment centre
Residual income = 6,900,000 - (12% x 29,000,000)
= $3,420,000
B.
Phones and communications investment centre
Residual income = 1,548,000 - (12% x 12,900,000)
= $0
C.
Computers and accessories investment centre
Residual income = 800,000 - (12% x 16,600,000)
= -$1,192,000
Answer:
Mixed economics place some limits for safety and society.
Some traits most mixed economies have in common:
-they generally protect private property
-they generally allow for demand and supply determine price
-the economy is usually driven by private self-interest and incentives.
Answer:
a. The amount refund owed to the customer is : $29,792
b. To record the refund and the return of merchandise:
Dr Sales returned and Allowances $30,400
Cr Sales Discounts $608
Cr Cash $29,792
(to record the refund of $30,400 sales with sales discount of $608 made)
Dr Merchandise Inventory $13,060
Cr Cost of Merchandise sold $13,060
(to record the impact of the $30,400 sales refund on cost of merchandise sold and merchandise inventory)
Explanation:
- Further explanation for sell discounts calculation:
As the terms is 2/10, total discount had been given as calculated below:
$30,400 x 2% = $608.
Answer:
$0
Explanation:
Capital assets are useful items that a business intends to keep beyond the current financial year. They are assets held for personal or investment purposes. Capital assets exclude items meant for sale in the current financial period.
Capital assets are used in the business operations to generate more revenues for the company. They are assets with a use-life that is greater than one year. Castle City General purchased a computer to be used by the city's treasurer. Castle City General will not use this item; hence it will not help in generating any revenues. The Furniture is for the mayor's office, and not the Castle City operations. These two purchases will not be included in Castle City books as capital expenditures.
