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Citrus2011 [14]
2 years ago
13

The council members of a small town have decided that the earth levee that protects the town from flooding should be rebuilt and

strengthened. The town engineer estimates that the cost of the work at the end of the first year will be $68,000. He estimates that in subsequent years the annual repair costs will decline by $7000, making the second-year cost $61,000; the third-year $54,000, and so forth. The council members want to know what the equivalent present cost is for the first 5 years of repair work if interest is 6%.
Business
1 answer:
laiz [17]2 years ago
3 0

Answer:

$230,899

Explanation:

Calculation for what the equivalent present cost is for the first 5 years

Present cost of the repair work = 68,000 * (P/A, 6%,5) - 7,000 * (P/G, 6%,5)

Present cost of the repair work= 68,000 * 4.212364 - 7,000 * 7.934549

Present cost of the repair work= $230,898.90 Approximately $230,899

Therefore the Present cost of the repair work will be $230,899

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An important tool in predicting the volume of activity, the costs to be incurred, the sales to be made, and the profit to be ear
SVEN [57.7K]

Answer:

Cost-volume-profit analysis.

Explanation:

An important tool in predicting the volume of activity, the costs to be incurred, the sales to be made, and the profit to be earned is cost-volume-profit analysis. It is an important tool in accounting that is used to determine how changes in differing levels of activities such as costs and volume affect a company's operating financial statements, both income and net income. It is also an accounting concept known as the break even analysis.

In order to use this cost-volume-profit analysis, accountants usually make some assumptions and these are;

1. Sales price per unit product is kept constant.

2. Variable costs per unit product are kept constant.

3. Total fixed costs of production are kept constant.

4. All the units produced are sold.

5. The costs accrued are as a result of change in business activities.

6. A company selling more than a product should simply sell in the same mix.

3 0
3 years ago
The United Kingdom currently has a trade deficit with New Zealand. If the U.K. pound sterling appreciates relative to the New Ze
monitta

The correct answer to the given question is that the trade deficit would increase since with the appreciating pound means <em>more goods will be imported</em> from New Zealand.

Based on the given question, we are asked to show the effects of the trade deficit between New Zealand and UK based on the appreciation of the pound sterling relative to the New Zealand dollar.

With this in mind, we are aware that when there is a strong domestic currency, then it would encourage more imports and hamper exports, therefore, the trade deficit will increase, since an appreciating pound means more goods will be imported from New Zealand.

Therefore, the correct answer is option D

Read more about trade deficit here:

brainly.com/question/24473707

4 0
2 years ago
What are possible red flags or signs of a scam when buying a car?.
lisabon 2012 [21]
The price is below market value: If the price of a used vehicle seems too good to be true Fake escrow services: Though escrow services are a legitimate way to protect your money, fraudsters may attempt to trick you into using a fake escrow service.
8 0
2 years ago
If the consumption function is defined as C = 5,500 + 0.9Y, what is the
Nimfa-mama [501]

Answer:

Option B ($5,500) is the appropriate choice.

Explanation:

The given expression is:

⇒  C = 5,500 + 0.9Y

At the zero (0) level of income, the consumption would be the Autonomous consumption.

then,

Y = 0

On substituting the value of "Y" in the given expression, we get

⇒  C=5,500+0.9(0)

⇒      =5,500+0

⇒      =5,500 (%)

8 0
3 years ago
Neot was just​ promoted, and what​ she's most excited about is that she now gets a corner office and a designated spot in the em
Delicious77 [7]

Answer:

Esteem needs.

Explanation:

An individual's esteem need according to Maslow is the need for respect, self esteem, status, and self confidence. Everyone wants to be valued and accepted by people, and this is esteem need. Esteem is an internal need but it is influenced by external environment when people validate and approve of a person.

North has just been promoted and along with this status change comes a corner office and a designated parking spot. This shows she is accepted and valued by the organisation.

3 0
3 years ago
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