Answer:
Variable cost per unit= $1.16 per mile
Explanation:
Giving the following information:
January 16,200 $22,650
February 17000 $23,250
March 18400 $25,450
Apri 16500 $22,875
May 17400 $23,550
June 15300 $21,850
<u>To calculate the variable cost per mile under the high-low method, we need to use the following formula:</u>
Variable cost per unit= (Highest activity cost - Lowest activity cost)/ (Highest activity units - Lowest activity units)
Variable cost per unit= (25,450 - 21,850) / (18,400 - 15,300)
Variable cost per unit= $1.16 per mile
Answer:
18.24%
Explanation:
Annual rate of return is used in determining the return on an investment over a 12 month or one year period.
Annual rate of return = [(future value / cost ) ^( 1/n) ] - 1
future value = 2150
present cost = 1100
n = number of years = 4
(2150 / 1100)^(1/4) - 1 = 0.1824 = 18.24%
Answer:
d. $146.27
Explanation:
For computing the interest earned, first we have to calculate the future value which is shown below:
Future value = Present value × (1 + rate)^number of years
where,
Present value = $2,750
Rate = 5.25% ÷ 2 = 2.625%
Number of years = 1 year × 2 = 2 years
So, the future value
= $2,750 × (1 + 2.625%)^2
= $2,750 × 1.0531890625
= $2,896.27
Now the interest earned would be
= $2,896.27 - $2,750
= $146.27
Answer:
b. $1,260,000
Explanation:
The computation of the total manufacturing cost is shown below:
= Cost of goods manufactured + ending work in process - beginning work in progress
= $1,280,000 + $60,000 - $80,000
= $1,260,000
We simply add the ending work in progress and deduct the beginning work in progress to the cost of goods manufactured so that the accurate amount can come
Answer:
Ke 0.173103448
WACC 14.63250%
Explanation:
From the gordon model we determinate Ke
D1 2.7 (we are given with D0 so we multiply by (1+g) to get D1
P 29
g 0.08
Ke 0.173103448
Now we use this value to determinate the WACC
Ke 0.1731
Equity weight 0.75
Kd 0.11
Debt Weight 0.25
t 0.4
WACC 14.63250%
