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Lunna [17]
3 years ago
14

The management of Ballard MicroBrew is considering the purchase of an automated bottling machine for $120,000. The machine would

replace an old piece of equipment that costs $30,000 per year to operate. The new machine would cost $12,000 per year to operate. The old machine currently in use could be sold now for a salvage value of $40,000. The new machine would have a useful life of 10 years with no salvage value. Compute the simple rate of return on the new automated bottling machine. Please show your work.
Business
1 answer:
almond37 [142]3 years ago
7 0

Answer:

7.5%

Explanation:

Cost savings :

= Equipment cost - New machine cost

= 30,000 - 12,000

= 18,000

Depreciation per year :

= Cost of automated bottling machine ÷ Useful years

= 120,000 ÷ 10

= 12,000

Simple rate of return:

= (Cost savings - Depreciation of new equipment) ÷ (cost - salvage of old)  

= (18,000 - 12,000) ÷ (120,000 - 40,000)

= 6,000 ÷ 80,000

= 0.075

= 7.5%

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You invest $200 in stocks and sell them one year later for $230. Use the instructions in Lesson 3 to calculate the ROI dollar am
Kitty [74]

Answer: ROI = 30

Percentage: 15%

Explanation:

ROI means Return of Investment. Is the amount i get from my investment.

The percentage is the amount I get divided by the initial investment.

Multiplied by 100 indicates the percentage.

30 / 200 = 0.15

0.15 x 100 = 15%

4 0
3 years ago
Our basketball team has finished $80\%$ of its season, during which we won $40\%$ of the games we played. What percent of the re
masya89 [10]

Answer:

90%

Explanation:

Let x be the total number of matches,

Given,

80% of games were finished,

So, the number of finished games = 80% of x = 0.8x

∴ Remained games= x - 0.8x = 0.2x

Now, 40% of 80% of games were won,

So, the winning games in 0.8x matches = 40% of 0.8x

= 0.4 × 0.8x

= 0.32x

In order to finish games with the same number of wins as losses,

Winning percentage in all games must be 50%,

Thus, the total winning games = 50% of x = 0.5x

Let y be the winning percentage in 0.2x games,

So, the total winning games in 0.2x games = \frac{y\times 0.2x}{100}

∵ Number of winning matches in 80% games + number of winning matches in 20% = total winning matches

⇒ 0.32x + \frac{0.2xy}{100}= 0.5x

\frac{0.2xy}{100}=0.18x

0.2y=18

\implies y=90

Hence, the percent of winning the in the remaining games must be 90%.

6 0
3 years ago
When merging REA diagrams from two different cycles, it is not necessary to change the minimum cardinality for _____ that appear
elixir [45]

Answer:

c. Events

Explanation:

REA is the acronym for Resource, event, agent. It is a model employed by the Accounting Information System (AIS). REA comprises three (3) categories of elements.

  • Resource ( inventory, cash)
  • Event (sale, purchase)
  • Agent (customer, employees)

REA a technique used for documentation, and it represents a portion of an entity-relationship diagram.

During the different evaluation of business cycles, the minimum cardinalities of the event are usually the same. It is not altered, i.e., they remain 0 despite each business cycle component when REA diagrams are fused.

3 0
3 years ago
Read 2 more answers
An important goal of a responsibility accounting framework is to help ensure which of the following?
MariettaO [177]
<h2>segment and company financial goals are congruent.</h2>

Explanation:

I think the options are missed and hence given below for your reference:

a) decision-making is made by the top executives.

b) investments made by each segment are minimized.

c) identification of operating segments that should be closed.

d) segment and company financial goals are congruent.

Let us understand the meaning:

Congruent: It means two or more things coincides when superimposed.

Financial goals: The target which needs to be achieved in the current financial year.

Segments: Segment speaks about the location, product or service provided by the company.

Financial goals are necessary so that it would be easy to organize and work towards the specific goal.

For the business goal to be achieved, every organization should frame financial targets or goals.

So the important goal is to achieve segment and company financial goals and they become congruent when achieved.

3 0
3 years ago
Using the following accounts and a predetermined overhead rate of 50% of direct labor cost, determine the amount of applied over
sveta [45]

Answer:

The amount of applied overhead is $41,500

Explanation:

Given,

Beginning WIP -$ 23,000  

Direct materials - $69,000

Ending WIP - $ 47,220

Beginning FG - $6,400

Ending FG - $169,280

By using the above information, it is easy to calculate the direct labor. Through which , the computation of applied overhead become easy.

The formula for computing direct labor is as follows:

1.50 × Direct labor + Beginning WIP + Direct materials = Ending WIP + Ending FG

1.50 × Direct labor + $ 23,000  +$69,000  = $ 47,220 + $169,280

1.50 × Direct labor + $ 92,000 = $ 216,500

1.50 × Direct labor = $ 216,500 - $ 92,000

1.50 × Direct labor  = $124,500

Direct labor = $124,500 ÷ 1.50

Direct labor = $83,000

Thus, the direct labor is $83,000

The predetermined overhead rate of 50% of direct labor cost.

So,  

Predetermined overhead rate = $83,000 × 50%

                                                  = $41,500

Thus, the amount of applied overhead is $41,500.

Note : Since ,the predetermined overhead rate of 50% of direct labor cost so we assume ( 1+0.50) 1.50 of direct labor because it is easy to calculate the predetermined overhead rate.

                   

4 0
3 years ago
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