Answer:
Payback =1.53 years
Explanation:
The annual cash-flow figure that is to be used in this calculation should not include depreciation as depreciation is a non-cash item. Net operating income from the project is $115,000 and to get to annual cash-flows, depreciation should be added back.
Annual cash-flows for each of the 6 years would therefore be:
The scrap value would be expected at the end of the project i.e end of year 6.
Year Cash-flow Balance
0 (225,000) (225,000)
1 147,000 (78,000)
2 147,000 69,000
By end of year 2, the company has already recovered the $225,000 initial investment as seen through the positive cumulative balance
Payback = Years With Negative Cumulative Cash-flow Balance + 
Population pyramid is not a factor affecting population. <span />
Answer:
The correct answer is substitution bias.
Explanation:
Samantha goes to the grocery store to purchase ginger ale.
She notices that the price of ginger ale has been increased 15 percent, so she decides to buy some peppermint tea instead.
But in the calculation of CPI, this increase in the price will be included and the substitution of cheaper goods for the expensive one. The value of CPI will increase and inflation will be overestimated.
Though consumer spending is not increasing as she is purchasing the cheaper goods instead of a more expensive one, the CPI will indicate higher spending.
This problem is referred to as substitution bias, as substitution of goods is not included in the calculation of CPI.
Answer:
Accrual shows face amount as revenue
revenue = $25,000
(12,000) (7/36)= $2,333 (regognized in 2017)
Total income reported in 2017 = $27,333
The next year she would show the remainder of 12,000 from 26 month contract
For tax purposes, max of 2 year deferral for payment recieved in advance.
Answer:
formal and respectful
Explanation:
you'd want to sound respectful and formal
