An example of a capital budgeting decision is deciding whether or not to purchase a new machine for the production line.
Capital budgeting decisions are frequently related to choosing to adopt a brand new mission or now not that expands a firm's current operations. commencing a new save area, for instance, might be one such choice.
Capital budgeting's major purpose is to perceive tasks that produce cash flows that exceed the value of the assignment for a company.
Capital budgeting is the method a commercial enterprise undertakes to evaluate capacity for essential projects or investments. creation of a brand new plant or a massive investment in an outdoor assignment are examples of tasks that would require capital budgeting before they may be authorized or rejected.
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Answer:
Purchase= 14,500 pounds
Explanation:
Giving the following information:
the total pounds needed for production in the current period is 14,000. Beginning inventory= 2,000 pounds
Desired ending inventory= 2,500 pounds
To calculate the direct material purchase, we need to use the following formula:
Purchase= direct material for the period + desired ending inventory - beginning inventory
Purchase= 14,000 + 2,500 - 2,000
Purchase= 14,500 pounds
Answer: Walters should accept the immediate bonus of $71,500. See explanation below.
Explanation: In order to determine the better form of settlement, we will have to calculate the present value of $91,000 payable in 10 years, at a 4% interest rate and compare the answer with $71,500.
The formula for calculating present value (PV) is given as:
PV = C/(1 + r)^n
Where;
C = amount of money payable ($91,000)
r = percentage interest rate (4%)
n = number of years (10 years)
PV = 91,000/(1 + 0.04)^10
PV = 91,000/(1.04)^10
PV = 91,000/1.48
PV = 61,486.486
Therefore, the present value of $91,000 payable in 10 years at a 4% interest rate is approximately $61,486.50. This value is lesser than $71,500.
Hence, the form of settlement that Walters should accept is an immediate bonus of $71,500.
<u>Social dimension</u> f the triple bottom line seeks to benefit its employees, the local community, and other entities that are impacted by the firm's existence.
<h3>What is social dimension?</h3>
The term "dimension" can be used to describe a feature, appearance, stage, or situation of something. Social, on the other hand, is what connects society: the group of people who live in the same area and adhere to the same laws.
We can comprehend what the social dimension is thanks to these definitions. This is the term of the group of elements involved in the interactions between people and societal life.
The social component might be seen as having to do with how someone is socialized. Humans are social creatures that rely on others to meet their material and symbolic needs. A person must master all of the social tools that are innate to him in order to fully realize himself.
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Answer:
a) Augmented product: Previous Sabre models have won high praise from the automotive industry, and all 500 units of past vehicles have sold within weeks of announcement
b) Promised product: Sabre provides each potential customer with a list of customizable features that can be added during the manufacturing process.
c) Tangible product: Sabre designs and manufactures each automobile in-house; it makes every part of the car, from the tires to the brakes to the transmission to the metallic paint. Sabre employees make each car by hand.
d) Core product: Sabre is a performance automobile manufacturer headquartered in Ulster, Ireland. It has been in business for eighteen years and has brought twenty performance-oriented automobiles to market during this time.
Explanation:
a) The augmented product is defined as one that is capable of exceeding consumer expectations. In this case, the cars were sold very fast since customers were met with their expectations regarding the product offered.
b) In this case, Saber is able to customize each car with a series of additional features that offer the user so that he is able to have his own car as he would like
c) Tangible products are defined as goods or services that are manufactured, dispatched and delivered, that is, in this case, cars
d) Saber's main product is the manufacture of high performance cars. That is its main product and its strength in the business
