First, calculate the discount.
15% of 1250 is 187.5
Then, subtract 187.5 from 1250.
You get 1062.5
Next, to calculate the sales tax. I'm not 100% sure if you're supposed to do this before the discount or after, I'm just assuming after.
Anyway,
6.5% of 1062.5 is approxamately 69.06.
Add that to 1062.5 to get the final answer of $1131.56
Answer: If the material is reworked and sold, Hodge Inc. has a financial disadvantage of (- 4500).
Let's see why:
1) If we sell the material at its disposal value: We have a cost of $ 74600 and the income from sale would be $ 57400 =
57400 - 74600 = (-17200). We have a loss of $17200.
2) If we rework the material we will have an original cost of $ 74600, an additional cost for reworking of $ 1500 and the income from its sale would be $ 54400 =
54400 - (74600 + 1500) = (-21700) We have a loss of $ 21700.
Then comparing the 2 situations =
(-21700) - (-17200) = -4500. There is a financial disadvantage of $4,500 if the material is reworked instead of selling it as scrap.
Answer:
A. The first cash flow of an annuity due is made on the first day of the agreement.
G. The last cash flow of an ordinary annuity is made on the last day covered by the agreement.
Explanation:
The computation is shown below:
As we know that
Future value after 4 years is
= Annual deposit × Cumulative FV factor at 9% for 4 periods of an ordinary annuity
= $6,000 × 4.57313
= $27,439
Therefore the above statements are true and the same is to be considered
Hence, all other statements are incorrect
<span>They are considered decreasing term policies. In these policies, the benefits usually decrease over the life of the policy: that is, the closer one gets to the end of the policy term, the less the benefit will typically be. At the end of the term, there is no option to renew for the same premiums, and the policy simply expires.</span>
