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ella [17]
2 years ago
6

cost $24,000 with a six-year life and no salvage value. The company expects to sell the machine's output of 3,000 units evenly t

hroughout each year. A projected income statement for each year of the asset's life appears below. What is the payback period for this machine?
Business
1 answer:
Vikentia [17]2 years ago
7 0

Answer:

4 years

Explanation:

The computation of the payback period is shown below:

Payback period is

= Cost of a Machine ÷ Annual cash flow

where,

Cost of a machine = $24,000

And, the annual cash flow is

= Net Income + Depreciation  expense

= $2,000 + $4,000

= $6,000

Now placing these values to the above formula

So, the payback period is

= $24,000 ÷ $6,000

= 4 years

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Here are some behaviors that will give you low credit score :

- If you always maxed out your credit card limits, it make you seems irresponsible 
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but as long as you have a good history of paying your credit bills on time, your credit score will be fine

4 0
2 years ago
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Accounting software can help with which TWO of these tasks?
alexira [117]

Accounting software can help with which two of these tasks? B. keeping rack of bills to be sent to customers and D. keeping tract of after-sales services owned to customers. Accounting software is used by many companies so that they can keep track of their bills that need to be paid and how their sales and services are doing. Companies track all money coming in and going out of their office to make sure they are budgeting and distributing funds appropriately.

3 0
3 years ago
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An attempt to assess the underlying moral justifications for corporate actions and the consequent results of those actions are c
Sindrei [870]

Answer:

Ethical impact statement.

Explanation:

An attempt to assess the underlying moral justifications for corporate actions and the consequent results of those actions are contained in ethical impact statement. It is typically used by an organization and its shareholders to assess the underlying moral justifications for corporate actions and the consequent results of those actions in order to be in tandem with its mission, goal and objectives.

7 0
3 years ago
Reddick Enterprises' stock currently sells for $35.50 per share. The dividend is projected to increase at a constant rate of 5.5
Shalnov [3]

Answer:

E. $41.69

Explanation:

We know,

Value of stock (P_{0}) = \frac{D_{1}}{k_{s} - g} [In case of constant growth model]

D_{1} = Next year or expected dividend

k_{s} = required rate of return

g = growth rate = 5.50%

However, as there is no information regarding expected dividend, we will use the alternative formula to calculate the stock's expected price 3 years from today.

P_{3} = P_{0} × (1 + g)^{3}

Here, current stock price, P_{0} = $35.50

Therefore, P_{3} = $35.50 × (1 + 0.0550)^{3}

P_{3} = $35.50 × 1.1742

Stock's expected price 3 years from now = $41.69 (rounded to two decimal places)

Therefore, option E is the answer.

4 0
3 years ago
Chilton, Inc. sold 11,900 units last year for $20 each. Variable costs per unit were $3.00 for direct materials, $2.60 for direc
kvasek [131]

Answer:

a. Total contribution margin is $140,420.00

b. Unit contribution margin is $11.80

c. Contribution margin ratio is 0.59.

Explanation:

a. What is the total contribution margin? (Round your intermediate calculations to 2 decimal places.)

Sales revenue = 11,900 × $20 = $238,000

Total variable cost = (11,900 × $3) + (11,900 × $2.6) + (11,900 × $2.6) = $97,580

Total contribution margin = $238,000 - $97,580 = $140,420.00

b. What is the unit contribution margin?

Unit contribution margin = Total contribution margin ÷ Units sold = $140,420.00 ÷ 11,900 = $11.80

c. What is the contribution margin ratio? (Round your intermediate calculations and final answer to 2 decimal places.)

Contribution margin ratio = Unit contribution margin ÷ Unit selling price = $11.80/20.00 = 0.59.

7 0
3 years ago
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