Answer:
$180,000
Explanation:
A sunk cost refers to the cost that is incurred by the businesses but this cost cannot be recovered by the businesses.
Here, given that
Cost of equipment = $600,000
Accumulated depreciation = $420,000
Cost of new machine = $790,000
In this situation, the sunk cost is determined by subtracting the cost that are related to previous year from the cost of the equipment.
Sunk cost = Cost of equipment - Accumulated depreciation
= $600,000 - $420,000
= $180,000
Answer:
The answer is B.
Explanation:
In capital budgeting, Companies evaluate the proposed projects at hand. Due to the paucity of fund, all projects wont be selected even if they all have positive net present value is the main determinant in choosing project to invest in.
Mutually Exclusive projects are projects that are competing with one another in which only one will be selected and once this particular project is selected the rest wont be considered again.
Whereas, independent projects are those projects that do not compete with any other project. Its cash flow does not have a negative impact on the others
Answer:
A. All of these 3 other possible answers that are listed here are true reasons.
Explanation:
If we are to use wage the rate of change in wages or inflation, as a proxy for inflation in the economy, when there is unemployment, the number of persons searching for work is significantly greater than the number of jobs available for the people who are unemployed. What we mean is, the supply of labor is greater than the demand for it.
With the availability of many workers, there's little need for employers to "bid" for the services of employees by paying them good wages.
Answer:
The answer is 48.37
Explanation:
Future value (FV) = $220,000
Present value(PV) = $33,000
Interest rate(i) = 4 percent.
Number of years(N)= ?
Using the Texas BA II Plus financial calculator:
FV = 220,000; PV = - 33,000; I/Y= 4;
CPT N= 48.37
Therefore, the number of years is 48.37 years. It will take him 48.37 years to invest $33,000 today at a 4 percent rate in order to buy the car at a cost of $220,000
Answer:
True
Explanation:
The right to private property is a natural right, but that right is of the negative type, that means that the right ends when it affects the rights of other people.
If you own private property, but the use of your private property is damaging the property of others, then, you have to change the way you are using it until the damages no more the other person's property.
If for example you own a house, and play loud music every night, your are infringing your neighbors right to sleep inside their private property (their houses), therefore, you must stop playing the loud music so that you do not damange your neighbors property anymore.