Answer:
1. a) $3735
2. d) $2.25
Explanation:
1. Computation of total cost that will be included in the numerator of that calculation
Total Conversion cost = 350+3385
Total Conversion cost= 3735
Therefore the total cost that will be included in the numerator of that calculation is 3735
2. Computation for Cost per equivalent unit of conversion cost
Cost per equivalent unit of conversion cost = 3735/1660
Cost per equivalent unit of conversion cost = 2.25
Therefore Cost per equivalent unit of conversion cost is $2.25
Answer:
should choose option a
Explanation:
option a)
annuity due, 31 payments of $180,000 per year, 6.25% discount rate
Present value = $180,000 x 14.40432 (PV annuity due factor, 6.25%, 31 periods) = $2,592,726
option b)
$500,000 today + ordinary annuity, 30 periods, 6.25%, $144,000
present value = $500,000 + ($144,000 x 13.40432 [PV annuity factor, 6.25%, 30 periods)] = $2,430,222
Answer:
a. U.S Treasury bills.
b. Commercial paper.
c. Money market mutual funds.
Explanation:
A Treasury Bill can be regarded as short-term debt obligation of U.S. government, This is is usually fully supported by Treasury Department, it's maturity is within one year or one year. T- billls is usually offer for sold at
$1,000, and can reach as high as $5 million.
Commercial paper can be regarded as
money-market security which is usually issued by large corporations so that funds can be obtained to cater for
short-term debt obligations that arises.
money market fund can be regarded as open-ended mutual fund which is been invested on short-term debt securities. This debt securities could be
US Treasury bills as well as commercial paper.
Answer:
Value is the benefit that a consumer could receive if they consume a certain type of goods or service. This value tend to be different between customers' situation.
Price is the amount of resources that the consumer need to sacrifice in order to obtain a certain type of goods or services.
The value of the products and services will determine the amount of money that the consumes willing to pay to acquire them. Most consumers are not willing to make a purchase if the price exceeds the perceived value.
A consumer surplus will occur if the amount of price that the consumers spend to purchase that goods is lower compared to the amount of price that they're willing to pay based on the value.