Answer:
Shoe leather costs
Explanation:
(A) Shoe leather costs
(B) Inflation can be defined as the persistent rise in the prices of goods and services. Shoe leather costs can be defined as the costs of time and effort that are encountered by individuals while trying to prevent the effect of inflation. It describes the costs incurred by individuals that visits the bank often inorder to withdraw money needed to purchase goods and services during the time of inflation.
Shoe leather cost arises during the period of high inflation, individuals do not hold large amount of cash because there will be a reduction in the value of the money.
Answer: 2.72%
Explanation:
An annuity is a series of payments that is made at equal intervals. Examples are monthly home mortgage payments, regular deposits to a savings account, pension payments.
Number of payment period (NPER) = 12 years
Payment per period (PMT) = $15000
Amount needed, PV = $156000
The formula for an annuity is calculated as:
P = PMT x ((1 – (1 / (1 + r) ^ -n)) / r)
= Rate(12,15000,-156000,1)
Rate = 2.72%
Answer:
$37,000
Explanation:
The following costs were incurred in a recent period
Direct Materials $33,000
Depreciation on Factory Equipment $12,000
Factory Janitor's Salary $23,000
Direct Labor $28,000
Utilities for Factory $9,000
Selling Expenses $16,000
Production Supervisor's Salary $34,000
Administrative Expenses $21,000
Therefore, the total amount of period cost can be calculated as follows
Total amount of period costs = Selling expenses + administrative expenses
= $16,000 + $21,000
= $37,000
Hence the total amount of period costs for the above period is $37,000
Answer
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Explanation
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