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lianna [129]
3 years ago
14

The Sanchez Company purchased a delivery truck on February 1, 2018. The purchase agreement required Sanchez to pay the total amo

unt due of $15,000 on February 1, 2019. Assuming an 8% rate of interest, the calculation of the price of the truck would involve multiplying $15,000 by the:
Business
2 answers:
pashok25 [27]3 years ago
7 0

Answer:

0.925926

Explanation:

present value = future value / (1 + r)ⁿ

  • future value = 1
  • r = 8%
  • n = 1

present value = 1 / (1 + 8%) = 1 / 1.08 = 0.925926

0.925926 = the present value of $1 using an 8% discount rate for the period of 1 year. To determine the actual price of the truck you can just multiply $15,000 by 0.925926 = $13,888.89 ≈ $13,889

The basic premise of finance is that the value of money decreases in time and $1 today is worth more than $1 tomorrow.

diamong [38]3 years ago
4 0

Answer:

Present value of $1

Explanation:

In this question, we are asked to give the value by which the amount due on a truck is to be multiplied given the interest rate.

From the question, we can identify that $15,000 is the future value of the truck.Now, we are tasked with calculating the present value of the truck.

In order to obtain the present value, the $15,000, which is the present value will have to be multiplied by the present value of $1 for an interest rate i of 8% and a time of year n = 1( considering the time between February 1 2018 and February 1, 2019)

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Hunkins Corporation has provided the following data concerning last month's operations. Purchases of raw materials $ 33,000 Indi
nalin [4]

Answer:

Cost of goods manufactured $ 159,000

Explanation:

Direct materials:

Beginning raw materials inventory $ 14,000

Add: Purchases of raw materials 33,000

Total raw materials available 47,000

Less: Ending raw materials inventory 20,000

Raw materials used in production 27,000

Less: Indirect materials included in manufacturing overhead 4,000 23,000

Direct labor 58,000

Manufacturing overhead cost applied to work in process 91,000

Total manufacturing costs 172,000

Add: Beginning work in process inventory 57,000

Total 229,000

Less: Ending work in process inventory 70,000

Cost of goods manufactured $ 159,000

Therefore the direct materials cost for the month on the Schedule of Cost of Goods Manufactured is $159,000

8 0
3 years ago
In network economics, the value of a commercial software vendor's software products:
Natali [406]

Answer:

increases as more people use them.

Explanation:

Network economics refers to a business that uses network effect. It is also called Netromix. The value of a good is increased as the number of buyers increases.

The business will benefit from feedback received by customers that use their products.

For example online services like LinkedIn and Twitter benefit from this type of framework. The more users that use these software th more the business gains.

7 0
3 years ago
Drag the tiles to the correct boxes to complete the pairs. For each scenario match it to the correct factor describing the purpo
lord [1]

The purpose for holding money in economic in classified into:

  • transactional motive
  • precautionary motive
  • speculative motive

<h3>The Drop-downs includes:</h3>
  • When price levels rise, people hold onto cash. - Speculative motive

  • When interest rates are low, people forgo interest income - Speculative motive

  • When aggregate income is high, people hold cash to buy goods that are plentiful and cheap - Transactional motive.

  • When interest rates are low, people speculate that they will soon increase - Speculative motive

  • Andy decided to hold his money in cash, as he did not earn sufficient money as income from interest. - Speculative motive

  • Ben is a consumer and decides not to purchase luxury items because they are too expensive - Speculative motive

  • Chad thinks it to be a good opportunity to buy the products from the market as the supply has increased. - Transactional motive

  • Daphne is holding onto her money as she feels that the interest rate will go up soon - Speculative motive

Read more about holding motives

<em>brainly.com/question/16287958</em>

#SPJ1

7 0
2 years ago
Formaggio Vecchio announced its regular quarterly cash dividend of $0.20 per share. Currently there are one million shares outst
aleksandr82 [10.1K]

Answer:

A.On Ex-dividend date: November 20, 2006

B.1%

C.$0.19

D. $1.82

Explanation:

1.On Ex-dividend date: November 20, 2006

will the stock price change to reflect the value of the dividend

b. Calculation for Formaggio’s dividend yield

Using this formula

Dividend yield = dividend/share price

Let plug in the formula

= .20/20 = 1%

c. Calculation of how much the stock price is likely to fall

0.20*(1 – 15%) = P*(1 – 10%)

Solve for P = $0.19

d. Calculation of How much is the stock price likely to fall Suppose that the company decides to issue a 10% stock dividend instead of a cash dividend.

$1,000,000 + (1,000,000 * 10%)

$1,000,00+$100,000

= 1,100,000 total shares

Hence,

$20,000,000 / 1,100,000 = $18.18 per share

$20 – 18.18 = $1.82 fall

5 0
3 years ago
Janson Corporation Co.'s trial balance included the following account balances at December 31, 2021: Accounts receivable $14,000
11111nata11111 [884]

Answer:

$88,450 should be included in the current assets section of Janson’s December 31, 2021, balance sheet

Explanation:

Current Assets: The current assets are those assets which are converted into cash within one year.

Examples - Accounts receivable, inventory, prepaid insurance, cash, etc.

The computation of the total current assets is shown below:

= Accounts receivable + Inventory + Prepaid insurance + Short term investment

= $14,000 + $40,000 + $3,650 + $30,800

= $88,450

The amount of prepaid insurance which is given in the question is for two years. We have to compute for one year so we divide the total amount by number of years

= $7,300 ÷ 2 years

= $3,650

6 0
3 years ago
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