The Discount rate reflects the opportunity costs of spending funds now versus achieving a return through another investment, as well as the risks associated with not receiving returns until a later time.
Explanation:
The discount rate relates to the interest rates on loans that the Federal Reserve Bank borrows from central banks and financial institutions through the commercial bank loan mechanism.
The rate of barriers, financial assets and discount rates are all equal. The next best potential investment option with a comparable risk profile wins the rate of returns. The word ' opportunity expense' is a clear and generic concept that can be used any day of the day.
Answer:
It is preferable to further process Product A.
Explanation:
Product should be processed further before sale if the net incremental benefits from further processing is positive.
The net incremental benefits from further processing is increase in revenue when further processed less further costs of processing.
Increase in revenue=$58,000-$40,000
=$18,000
Further processing costs=$15,000
Net incremental benefits=$18,000-$15,000
Net incremental benefits=$3,000
Since processing further brings a net benefit of $3,000, Product A should be further processed before being sold.
Answer: $10,906
Explanation:
Given that,
Purchased machinery at the beginning of Year 1 = $86,100
machinery has an estimated life of five years,
Estimated residual value = $4,305
Accumulated depreciation = $49,077 at the end of Year 2
Year 3 Depreciation expense:
= 
= 
= $10,906
1. To define unacceptable behavior.
2. To provide certainty & stability.
3. To protect the public.
4. To provide mechanism for businesses to resolve disputes.
5. Law gives everyone a framework for how to ace and operate.
6. To make better decisions.
7. To sue & be sued.
8. To balance harm done by the offender against the individual and society at large.
9. To collect and generate revenue from the masses.
Just need one more sorry
Answer:
see below
Explanation:
Opportunity cost is the value of the forfeited benefits as a result of making a decision in a certain way. Decision making involves choosing one item over others. The cost or value of the option not chosen is the opportunity cost. The value of the forfeited option is the opportunity cost.
In choosing to go to the gym, the forgone activity is studying for the economic exam. The benefits associated with studying for the economic test is the opportunity cost. The value attached to the economic test, such as good grades, passing the test, or any reward arising from studying for the test, is the forfeited benefit and hence the opportunity cost.