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Natasha_Volkova [10]
4 years ago
10

Quantum Logistics. Inc., a wholesale distributor, is considering the construction of a new warehouse to serve the southeastern g

eographic region near the Alabama-Georgia border. There are three cities being considered. After site visits and a budget analysis, the expected income and costs associated with locating in each of the cities have been determined. The life of the warehouse is expected to be 12 years and MARR is 15 percent/year. What is the future worth of each site based on future worth ranking? Which city should be recommended?
Business
1 answer:
Tatiana [17]4 years ago
4 0

Answer:

<u>Anniston City should be recommended as it has higher future value.</u>

<u>Explanation</u>:

Using the formula:

Future value of annuity = C * { [(1+r)^n - 1] / r } C where C= initial cost, r= interest rate (MARR=15%), n= 12)

- Langrange City

= $1,260,000 * { [(1+0.15)^12 - 1] / 0.15 } = $6,741,308.466

- Auburn City

$1,000,000 * { [(1+0.15)^12 - 1] / 0.15 } = $5,350,243.439

- Anniston City

$1,620,000 * { [(1+0.15)^12 - 1] / 0.15 } = $8,667,398.504

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Answer and Explanation:

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Here the federal income tax expense is debited as it increased the expense and credited the federal income tax payable as it increased the liabilities

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The required details for tragedy of the commons in given paragraph

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During development involves integrating components to create a version of the system and then testing the integrated system. the
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3 years ago
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Answer:

The external financing needed for next year is $1,766,004.

Explanation:

The external financing needed for next year can be calculated using the following formula:

External financing needed = ((Total assets / Sales) * Change in sales) - ((Short-term liabilities / Sales) * Change in sales) - ((Projected sales * Profit margin) * (1 - Dividend payout ratio)) ................... (1)

Where;

Total assets =  $24,705,000

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Change in sales = Sales * Sales growth rate = $30,500,000 * 20% = $6,100,000

Short-term liabilities = Accounts payable = $6,405,000

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Profit margin = Net income / Sales = $2,630,550 / $30,500,000 = 0.0862475409836066

Dividend payout ratio = Dividends / Net income = $1,052,220 / $2,630,550 = 0.40

Substituting all the values into equation (1), we have:

External financing needed = (($24,705,000 / $30,500,000) * $6,100,000) - (($6,405,000 / $30,500,000) * $6,100,000) - (($36,600,000 * 0.0862475409836066) * (1 - 0.4))

External financing needed = $1,766,004

Therefore, the external financing needed for next year is $1,766,004.

8 0
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Answer:

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Explanation:

Note: The complete question is attached as picture below

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