Answer:
The best method to evaluate projects where the level of investment differs substantially is Profitability Index. As in this case, the initial investment for the option 1 is $50,000 and the level of investment in the other option is $450,000 which substantially differs from option 1. Here using Profitability Index method (an extension of NPV) is more appropriate here.
Profitability Index=NPV of the project / Initial Investment
Decision rule: The projects with higher Profitabilty Index are chosen
Answer:
Prepare an income statement for the company for August
Revenue (3000×$400) 1,200,000
<u>Less Cost of Sales</u>
Labour Cost for Consulting Staff (3000×$200) 600,000
Overheads 72,000
<u><em>Less</em></u> Over Applied Overheads 12,000 660,000
Gross Profit 540,000
Less Operating Expenses
Markerting and Administrative Costs 240,000
Net Income 300,000
Explanation:
Net Income = Sales - Cost of Sale - Operating Expenses
Cost of Sales in the case of RCMP involves the cost of providing a service for each of their clients.
The answer is A i believe , because its supposed to show you what your being credited for
Explanation:
Concept of National Income
The National income is the total amount of income accruing to a country from economic activities in a year time. It includes payments made to all resources either in the form of wages, interest, rent, and profit.
Answer:
The correct answer is option (B).
Explanation:
According to the scenario, the given data are as follows:
Bond carrying value = $1,470,226
Rate of interest = 8%
Rate of interest (Semiannual ) = 4%
So, we can calculate the the bond interest expense on the first interest payment by using following formula:
The bond interest expense = Bond carrying value × rate of interest (semiannual)
By putting the value we get
= $1,470,226 × 4%
= $58,809
