Answer:
A. $41,120.
Explanation:
Year Description Cash flow Present [email protected]%
0 Equipment cost ($30,000) ($30,000)
1-4 Additional CF $24,000 $69,929.10
4 Residual value $2,000 $1,184.16
Present value total $41,113.26
Based on the above calculation, the answer shall be A. $41,120.
Answer:
If Verizon charges an optimal two-part price thenconsumer surplus will be zero.
Explanation:
Given a competitive market the consumer surplus will be the area of the demand curve above the market price
This is, between the intersection point with Y axis and a parallel at market price. Ofter represent as a triangle
If a monopolistic company maximize profit It will decrease this consumer surplus as much as it can to gain it from itself.
First it will set price equal to his marginal revenue.
Then, if possible it will charge two tariff a fixed component and a variable component per usage This will extrac all consumer surplus in favor of the firm leaving a consumer surplus of zero.
If Verizon charges an optimal two-part price thenconsumer surplus will be zero.
Answer: Costs of items used up this period but paid for next period
Explanation:
Period Expenses for the period are transactions that should be expensed because they were used in the current period.
Therefore if a period cost is not used in the period, it is not considered a period cost even if the company pays for it in the current period which also means that if a period cost for the period is not paid in the current period but in the next one, it is still a period cost for the current period.
From the above therefore, the period cost is the cost of items used up in this period but paid for in the next one.
The land purchased might look like the obvious choice but it is not because Assets are capitalised and not expensed.
Answer:
$1,002,000
Explanation:
The costs incurred on the share for share exchange include the fair value per share ,issue costs,direct cost as well as contingent consideration(consideration based on the acquired business performance.
However,the costs eligible to be recorded as investment upon acquisition are the fair value per share and the contingent obligation as shown below:
Fair value (entire shares) $50*20,000=$1,000,000
fair value of potential obligation =$2000
total value of investment $1,002,000
The issue costs and direct should be expensed immediately.
Answer:
C. low-income countries characterized by limited industrialization and stagnant economies
Explanation:
Emerging markets are economies of developing countries. They are traditional economies based on the export of raw material and subsistence agriculture. Emerging markets are trying to move away from these types of economies by investing in manufacturing and adopting mixed economy models. Emerging markets are transitioning from low income and less developed to industrialized economies with higher standards of living.
Lower than average per capita income characterizes emerging markets. They also experience moderate economic growth compared to the developed economy. However, emerging markets are presenting investors with an opportunity for high returns due to their rapid growth.
