Answer:
Net Present Value = $660.98
Explanation:
<em>The Net present value (NPV) is the difference between the Present value (PV) of cash inflows and the PV of cash outflows. A positive NPV implies a good and profitable investment project and a negative figure implies the opposite. </em>
NPV of an investment:
NPV = PV of Cash inflows - PV of cash outflow
<em>PV of cash inflow = A× (1- (1+r)^(-n))/r
</em>
A- annul cash inflow, r- 8%, n- 3
PV of cash inflow= 41,000× (1- 1.08^(-3))/0.08
= 105,660.98
Initial cost = 105,000
NPV = 105,660.98 - 105,000
= $ 660.98
Answer:
$39600
Explanation:
One year is made up of 12 months.
in oder for us to know how many months make up 3 years,we multiply 12 months by 3years and the answer is 36 months.
36months = 3years
we workout
$1,100×36 months =$39,600
This shows that, by three years David would have paid his ex-wife $39,600
The cost of the direct material that's used will be $2000.
<h3>How to calculate the cost?</h3>
The direct material used will be calculated thus:
= Total manufacturing cost - Factory overhead - Direct labor cost
= 14000 - 8000 - 4000
= 2000
In conclusion, the correct option is 2000.
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Firms that buy goods and services and sell them at a profit.
Re-sellers purchase things with the intent of selling them to other people and businesses and do not produce new goods or services.
Answer:
Price elasticity of supply is 1.5
Explanation:
Given:
Price (P₀) = $3.50
Quantity (Q₀) = 450
New price (P₁) = $4.00
New quantity (Q₁) = 550
Price elasticity of supply = ?
Computation of price elasticity of supply using midpoint method:
