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lisov135 [29]
3 years ago
12

What is the present discounted value of $10,000 that is to be received in 2 years if the market rate of interest is 4 percent?

Business
1 answer:
ddd [48]3 years ago
7 0

Answer:

PV = $9,245.56

Explanation:

Giving the following information:

Future value (FV)= $10,000

Number of periods (n)= 2 years

Discount rate (i)= 4% = 0.04

<u>To calculate the present value (PV), we need to use the following formula:</u>

<u></u>

PV = FV / (1 + i)^n

PV = 10,000 / (1.04^2)

PV = $9,245.56

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Assume (1) a predetermined overhead rate of $8.00 per machine-hour, (2) actual machine-hours worked during the period of 54,000
rodikova [14]

Answer:

Allocated MOH= $432,000

Explanation:

Giving the following information:

Predetermined overhead rate of $8.00 per machine-hour

Actual machine-hours worked= 54,000 hours

<u>To calculate the allocated overhead, we need to use the following formula:</u>

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Allocated MOH= 8*54,000

Allocated MOH= $432,000

7 0
3 years ago
EZ Electronics Inc., Neo Digital Inc., and Techno Products Corp. are all companies that manufacture and sell consumer electronic
VikaD [51]

Answer is Industry

Explanation:

An industry is a group of companies whose primary business activities like production, marketing, procurement and product design are related. In order words, an industry is a group of companies that sells related goods and services to satisfy similar customer needs in a particular economy.

Since EZ Electronics Inc., Neo Digital Inc., and Techno Products Corp., are all grouped as manufacturers and sellers of consumer electronics, it describes their similarities, of which their relative attractiveness or consumer preference can be compared with each other. Therefore, they are a part of an industry.

8 0
3 years ago
Holtzman Clothiers's stock currently sells for $40.00 a share. It just paid a dividend of $1.75 a share (i.e., D0 = $1.75). The
VladimirAG [237]

Answer: See explanation

Explanation:

a. What stock price is expected 1 year from now?

This will be calculated as:

= P0 × (1 + g)

where,

P0 = $40

g = growth rate = 7%

= P0 × (1 + g)

= 40 × (1 + 7%)

= 40 × (1 + 0.07)

= 40 × 1.07

= $42.80

b. What is the required rate of return?

This will be:

= (D1 / P0) + g

where D1 = D0 × (1+g) = 1.75 × (1+0.07) = 1.75 × 1.07 = 1.8725

= (D1 / P0) + g

= (1.8725 / 40) + 0.07

= 0.1168

= 11.68%

5 0
2 years ago
Your management has decided that all orders will be treated as "projects" and that project managers will be used to update order
a_sh-v [17]

Answer:

B. This is program management since there are multiple projects involved.

Explanation:

A program manager manages multiple projects, and sometimes multiple programs while a project manager manages the teams responsible for fulfilling the project and achieving its deliverables

3 0
3 years ago
A manager invests $400,000 in a technology that should reduce the overall costs of production. The company managed to reduce the
Ainat [17]

Answer:

a. Considered sunk costs, not relevant in further decision making

Explanation:

the missing options are:

  • a. Considered sunk costs, not relevant in further decision making
  • b. Considered sunk costs, but still relevant in further decision making
  • c. Considered a loss
  • d. Considered a profit

After the investment in new technology has been made, it will be considered a sunk cost, because they are no longer relevant or important when considering or evaluating future investments and projects. Sunk costs are expenses that have already been made and incurred, and cannot be recouped.

5 0
3 years ago
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