Answer: a. The drone option should be chosen because it is the least expensive in terms of both fixed cost and variable cost.
b. A and 20000, B and 20000
Explanation:
a. From the information provided, the correct option is option B "The drone option should be chosen because it is the least expensive in terms of both fixed cost and variable cost".
This statement is wrong has the drone has the largest fixed cost and variable cost. It's fixed cost of $100,000 is more than that of $70,000 and $60,000 for others.
b. A and 20000, B and 20000
A is preferred at volumes below 20000 while B is preferred at volume above 20000.
Answer and Explanation:
The computation is given below:
For Bank A,
Effective annual rate is
= (1 + 0.10 ÷ 12)^12 - 1
= 10.47%
For Bank B,
Effective annual rate is
= (1 + 0.11 ÷ 4)^4 - 1
= 11.46%
And,
For Bank C,
Effective annual rate = 12%
Therefore, Bank A is best to borrow at lowest effective annual rate
Answer:
<em>Economic growth refers to a steady increase in the production of goods and services in an economic system.</em><em> </em><em><u>True</u></em>
Answer:
$12,650,000.
Explanation:
Reserves is the total amount of a bank's deposit that is not given out as loans
Reserves = Deposits - outstanding loans
Required reserves is the percentage of deposits required of banks to keep as reserves by the central bank
Required reserves = reserve requirement x deposits
0.09 x 415 million = 37.35 million
Excess reserves is the difference between reserves and required reserves
50 million - 37.35 million = 12.65 million
Answer:
a. $495,000
Explanation:
Data provided
Federal taxable income = $500,000
State A income tax expense = $45,000
Depreciation Modification = $300,000, $250,000
The computation of taxable income is shown below:-
Federal taxable income + State A income tax expense - Depreciation Modification
= $500,000 + $45,000 - ($300,000 - $250,000)
= $545,000 - $50,000
= $495,000
