Explanation & answer:
Cash basis, so all monies retain same values over the years.
Let x = payback period in years
Salvage value of machine
= 48000 - 4000x
Sales
= 16000x
Total revenue after x years
R = 16000x
Expenditures over x years
C = Cost of machine + materials + depreciation
= 48000 + 8000x + 4000x
= 48000 + 12000x
For payback
R = C
16000x = 48000 +12000x
Solve for x
x = 48000/4000 = 12 years
By that time, the machine has no more salvage value.
Answer:
Compound interest have more of an impact for <em>long-term</em> investments
Explanation:
Interest earn on the principal for one period (P) is the same for compound and non-compound interest
The <u>non-compound interest</u> of period n is is the sum of P for all n periods: P*n
<u>Compound interest</u> is the result of reinvesting interest.
The compound interest of period n (
) = interest earned on the principal (P) + interest on <em>previously accumulated interest of n-1 periods</em> (
), where...
...<em>previously accumulated interest of n-1 periods</em> ()= interest earned on the principal (P) + interest on <em>previously accumulated interest of n-2 periods</em> (
)
... and so on backward to the interest of period 1 = interest earned on the principal (P) = non-compound interest of period 1
It can be seen that the less (more) time pass, the less (more) the gap between compound interest and non - compound interest
Answer:
Expected benefits
Explanation:
The scope of work is a part of the statement of work. Statement Of Work is full of details regarding the project's goals, guidelines, deliverables, schedule, costs. The scope section has its focus on how to achieve these goals. There are obvious benefits to giving an outline on a project scope.
The description and scope section of a statement of work would contain statements regarding expected benefits.
Answer:
Management Team and Organizational Structure
