Answer:
The net present value (NPV) of this investment is C) $10,048
Explanation:
Net present value (NPV) is the value of the future cash flows over the entire life of an investment discounted to the present.
The firm invests $95,000 today that will yield $109,250 in one year. The interest rates of the investment are 4%. The net present value (NPV) of this investment:
NPV = $109,250/(1+4%) - $95,000 = $10,048
Answer:
Ending invetory= 200 units
Explanation:
Giving the following information:
A company currently has no items in inventory. The demand for the next four months is 200, 400, 250, and 350 units. Assuming a level production rate of 350 units per month.
<u>Production - Sales= Ending inventory</u>
350-200= 150
(150 + 350) - 400= 100
(100 + 350) - 250= 200
(200 + 350) - 350= 200 units
Ending invetory= 200 units
Answer:
D(p) = 2,000 ÷ Price + 434
Explanation:
The computation of the demand function is shown below:-
Number of units of the product = 3000 ÷ Price + C
834 = 2,000 ÷ $5 + C
834 = 400 + C
C = 834 - 400
C = 434
So, D(p) = 2,000 ÷ Price + 434
Therefore for computing the demand function we simply applied the above formula also we considered all the given information mentioned in the question
Answer:
$198,000 and $0
Explanation:
The calculation is shown below:
The Cost of the land is
= Purchase price + Real estate commissions + Legal fees + Expenses of clearing the land + Expenses to remove old building
= $178,000 + $15,300 + $1,100 + $2,300 + $1,300
= $198,000
As the property is buy for the building site so here no cost will be recognized and allocated to the new building cost
hence, it would be zero
