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Anna35 [415]
3 years ago
9

Valley Forge and Metal purchased a truck five years ago for local deliveries. Which one of the following costs related to this t

ruck is the best example of a sunk cost? Assume the truck has a usable life of five years. a. New tires that will be purchased this winter.b. Costs of repairs needed so the truck can pass inspection next month.c. Money spent last month repairing a damaged front fender.d. Engine tune-up that is scheduled for this afternoon.e. Cost for a truck driver for the remainder of the truck's useful life.
Business
1 answer:
Gnesinka [82]3 years ago
4 0

Answer: Option (c) is correct.

Explanation:

Correct option(c): Money spent last month repairing a damaged front fender.

This is the best example of sunk cost.

Sunk costs refers to the cost that is incurred in the past and this cost cannot be recovered. This demonstrate that sunk costs should not be included in the decision making of any future projects, and this is due to the cost that cannot vary whether the project has been undertaken or not.

All the other options in the question representing the future costs.

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Hope this was helpful

7 0
3 years ago
The appropriate section in the statement of cash flows for reporting the receipt of cash dividends from investments in securitie
laila [671]

Answer:

Operating activities

Explanation:

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Therefore the first option is correct

4 0
2 years ago
The receipt of dividends and interest from abroad as a result of ownership of foreign assets by a country's residents is recorde
Shalnov [3]

Answer:

income-generating assets under the current account of the balance of payment.

Explanation:

In international trade to balance of payments between countries looks at inflow and outflow of funds as a result of trade.

When there is balance of trade deficit the country imports from others. When there is balance of payment surplus the country exports to others.

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The current account is used to record funds recieved from goods, services, income, and current transfers.

The receipt of dividends and interest from abroad as a result of ownership of foreign assets by a country's residents is recorded as

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6 0
3 years ago
Which of the following correctly describes globalization
kondor19780726 [428]

what is your question ??

I think u have missed some parts here in the question ..

5 0
2 years ago
Southern Tours is considering acquiring Holiday Vacations. Management believes Holiday Vacations can generate cash flows of $218
lara31 [8.8K]

Answer:

The maximum Southern Tours could pay to acquire the Holiday Vacations is the present is the value of the inflows to be generated from the target company.

The present of the target business is $519,799.59  

Explanation:

That amount is the maximum that should be paid for the target business,depending on negotiation skills of Southern Tours' management.

A  lower price could be bargained,which better makes the investment more profitable.

Find attached spreadsheet for detailed computations.

Download xlsx
6 0
3 years ago
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