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Sergio039 [100]
2 years ago
8

g Marlboro Construction enters into a contract with a customer to build a warehouse for $725,000 on April 15, 2021 with a comple

tion date of September 15, 2021. The contract contains a performance clause such that Marlboro will receive a $12,000 bonus for each week the contract is completed early. Likewise, the agreed contract price will be reduced by $12,000 for each week the contract is completed after the due date. These clauses are commonly included in Marlboro contracts and, based on prior experience, estimates the following completion outcomes: Completed by Probability September 1 10% September 8 30% September 15 25% September 22 20% September 29 15% The transaction price for this transaction, using the most likely amount method is A. $471,250 B. $725,000 C. $737,000 D. $713,000
Business
1 answer:
Nookie1986 [14]2 years ago
8 0

Answer:

B. $725,000

Explanation:

The expected value for the contract will be :

10% ($725,000 + 12,000 + 12,000 ) + 30% ($725,000 + 12,000 ) + 25% ($725,000 ) + 20% ($725,000 - 12,000 ) + 15% ($725,000 - 12,000 - 12,000 )

= $ 74,900 + $221,100 +$181,250 + $142,600 + $105,150 = $725,000

Marlboro constructions expected value of the contract is 725,000 based on the given probability estimates of contract completion.

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Answer:

The equivalent units of production for materials during the period is 32,250 units.

Explanation:

Using first-in, first-out

Units  Started and completed  are the units received from the previous department - ending

34,500- 4,500=30,000

Units in production for materials  

Beginning WIP                      0   ( the whole materials were added at the previous period)

Started and completed        30,000

Ending WIP                            2,250 (4,500 x 0,50) (50% complete as to materials)

Total materials  32,250

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LO 3.3When sales price decreases and all other variables are held constant, the break-even point will ________.
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Answer:

increase

Explanation:

Break-even point is used to determine the minimum number of units a business needs to sell in order to fully cover the fixed costs. The break-even  formula is below;

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If sales price (SP) decreases while keeping other factors; variable cost(VC) and fixed cost(FC) constant, the denominator amount will be smaller, making the break- even point to increase.

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Beginning on January 1, 2020, 5 equal deposits are to be made in a fund. Required: Using the appropriate tables, determine the e
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Answer:

Explanation:

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FV  $200,000.00  

time 5 years

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200000 \div \frac{(1+0.1)^{5} -1}{0.1} = C\\  

C  $ 32,759.496  

The installment will generate 10% interest overtime and provide with a 200,000 dollar count after six years

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Sort the examples below into the appropriate bin. Think about which factors could lead to more toxic substances being released i
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Answer:

1. Causes: commercial production of many chemicals massive use of chemicals in food, agriculture, medicine, and industry

2. Consequences: increase in reproductive disorders contamination of soil, air, and water bioaccumulation and biomagnification of toxins in the food chain.

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Explanation:

This factors could lead to more toxic substances being released into the environment (causes), the consequences that result from toxic substances in the environment, and possible solutions to save environmental degradation.

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Everything else held constant, an increase in uncertainty on business will_____ the required rate of return on its stock and ___
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Answer:

the answer is C

Explanation:

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