Answer:
Rate = $33
Maximum Income = $5445
Explanation:
Let x be the amount of increase in rental to achieve maximum profit.
So, Rate = (30+x)
When rate increase by x, the quantity decreases by (180 -5x).
Income = (30+x) * (180 - 5x)
Income = 5400 - 150x + 180x - 5x²
Income = -5x² + 30x + 5400
The income will be maximized when derivative of Income is zero.
Taking derivative,
- dI/dx = 2 * -5x + 1 * 30x° + 0
- -10x + 30 = 0
- -10x = -30
- x = -30 / -10
- x = 3
The rate at which cars should be rented to earn maximum income is 30 + 3 = $33 per day per car.
Maximum Income will be,
Rate = 33
Quantity = 180 - 5(3) = 165 cars
Max Income = 33 * 165 = $5445
False I think ..................................................................
Answer:
Principal payment = $27,505.00
Explanation:
<em>Loan Amortization: A loan repayment method structured such that a series of equal periodic installments will be paid for certain number of periods to offset both the loan principal amount and the accrued interest.</em>
The principal repayment in year 1 = Annual payment - Interest payment in year 1
<em>Interest payment in year = Interest rate × Principal Amount</em>
=8% × 164,000
= $13,120.00
Principal payment = $40,635 - 13,120 = $27,505.00
Principal payment = $27,505.00
The answer to your question is D
Answer:
(a) 5.41 times
(b) 3.48 times
Explanation:
(a) Accounts receivable turnover for 2017:


= 5.41 times
Working:


= 462,500
(b) Inventory turnover for 2017:


= 3.48 times
Working:


= 575,000