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noname [10]
3 years ago
7

7. The local electronics store is offering a promotion "1-year: same as cash," meaning that you can buy a TV now, and wait a yea

r to pay (with no interest). So, if you take home a $1000 TV today, you will owe them $1000 in one year. If your bank is offering 4% interest, what is the true cost of the TV to you today?
Business
1 answer:
ElenaW [278]3 years ago
7 0

Answer:

$961.54

Explanation:

we need to find out the present value of $1,000 in one year:

present value = future value / (1 + interest rate)ⁿ

  • future value = $1,000
  • interest rate = 4%
  • n = 1

present value = $1,000 / (1 + 4%) = $1,000 / 1.04 = $961.54

this is an example of the financial principle of time value of money, i.e. one dollar today is worth more than one dollar tomorrow

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Cobe Company has already manufactured 19,000 units of Product A at a cost of $25 per unit. The 19,000 units can be sold at this
Dmitriy789 [7]

Answer:

Incremental net income from further processing is  $566,600

Explanation:

First of all, it would be necessary to compute profit from selling the product at cut off point and profit when it is further processed in order to determine whether or not it is worth processing further:

Sales revenue                                        $400,000

cost of production(19,000*$25)            $475,000

Loss from selling                                  ($75,000)

Further processing:

sales revenue

Product B(5200*$108)                       $561,600

Product C(11,000*$55)                       $605,000

Total revenue                                     $1,166,600

total cost

cost of production                              ($475,000)

cost of further processing                 ($200,000)

total costs                                           ($675,000)

Profit                                                    $491600

By further processing the incremental net profit is $566,600 ($491,600-(-$75000)

4 0
3 years ago
Bad research is the cause of many marketing failure​
-BARSIC- [3]

Completely True!

better say that the Person is late to do Researches!!

8 0
3 years ago
As they apply to business conduct and business decisions, ethical principles:__________ 1. deal chiefly with the behaviors that
Vesna [10]

Answer:

3. are not materially different from ethical principles in general.

Explanation:

As they apply to business conduct and business decisions, ethical principles are not materially different from ethical principles in general.

In other words, in business conduct and decision making ethical principles are the same.

5 0
3 years ago
Tax evasion versus tax avoidance
lora16 [44]

Answer:

1. The act of reducing taxes by deliberately understating income or overstating deductions is called ______

Tax evasion

2. Leaving the tip earnings out of her income on her tax returns is

Tax evasion

Explanation:

Tax evasion is deliberate reduction of gross income either by excluding, understating, omitting income, or overstating deductions.  It is not legal.  Tax avoidance is managing taxable income by effective tax planning (e.g. through investments, insurance, etc.) so that less tax is paid.  It is legal and allowed.

8 0
3 years ago
The skillful supply chain manager declared she would not only disaggregate cycle inventory, but she would also aggregate safety
Elena-2011 [213]

Answer:

a. high value and high demand.

Explanation:

Since the skillful supply chain manager declared she would not only disaggregate cycle inventory, but she would also aggregate safety inventory and use an inexpensive mode of transportation for replenishing cycle inventory and fast mode when using safety inventory for her product that had high value and high demand.

Generally, when dealing with the transportation of goods that has high value and high demand, it is necessary and important that manufacturers or suppliers use the fast mode in order to meet up with their consumer's increasing demand. Simply stated, an increase in the demand for goods and services should be met with an increased supply, so as to reach equilibrium.

For the safety inventory, which are extra level of goods carried for the purpose of mitigating consumer demand that exceeds the amount forecasted by the manufacturer or supplier in a given period of time.

She decided, she would use a fast mode of transportation for safety inventory of goods with high value and high demand.

The replenishing cycle inventory involves the process of restocking or resupplying a retailer and distributor, when they place a replenishment order.

3 0
3 years ago
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