I would say C. Hope this helps!
Answer:
1. $46,550
2. $405,000
3. $450,600
Explanation:
1. Computation of differential cost regarding the decision to buy the model 200
Differential cost = Cost of a new model 300 - Cost of a new model 200
Differential cost = $396,350 - $349,800
Differential cost = $46,550
So, the differential cost regarding decision to buy model 200 is $46,550.
2. Sunk costs are the costs which are already incurred by the entity in the past and which are not relevant to decision made today. In this case, sunk cost is the cost of the machine purchased seven years ago for $405,000.
3. Opportunity cost is the profit forgone by chosen alternative course of action. In this case, the Opportunity cost regarding the decision to invest in the model 200 machine is $450,600.
We may calculate the rate in $ per liter by changing the units: R = $0.0027 per liter.
<h3>How should the rate be converted?</h3>
We have a rate of $ per cubic foot that we wish to convert to dollars per liter. So all we need to do is adjust the units.
The original tariff is provided in dollars per square foot as R = $1.30 for 16.7ft3.
We know that 1ft3 = 28.32 L is the relationship between cubic feet and liters.
The volume can then be rewritten as follows if we alter the units:
∴16.7ft^3 = 16.7*(28.32) L
∴472.9 L.
The rate is then $1.30 per 472.9 L, and the quotient is R = ($1.30/472.9 L) = $0.0027 liter.
To learn more about the rate to dollars per liter of gas, use the link below.
brainly.com/question/13057238?referrer=searchResults
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Answer:
Explanation:
The Internal Rate of Return (IRR) finds the profitability of the money that remains invested during the life of a project. It is also known as the discount rate that makes the Net Present Value (NPV) equal to cero. So, if we calculate the NPV with the IRR we will find that it is equal to cero and then the project does not create or destroy value.
As its name indicates, the required rate of return is the minimum return an investor expects when he or she invest on a project.
Then, if the money of both projects remains invested during the life of the project, both projects are good options for the investor. But because they are mutually exclusive, we must choose one. If the money of project B remains invested in the life of the project, then this will have a greater internal rate of return and you should choose this one. But it is better to consider other financial indicators, because the IRR assumes that all of the money would be invested and re-invested in the project, and in real life maybe investor do not re-invest what they earn on the same project and at the same rate.
The figure attached shows the IRR formula. But I calculated using Excel: first, I put the cash flows of each year (the first one is negative because it is an investment). Then I used the formula: "=IRR(D5:C8)" for project A and "=IRR(E5:E8)" for project B.
A NUB (what else would it be)
Pls call me brainliest