Answer:
a. not able to be determined from the provided information.
Explanation:
For determining the over applied or under applied, first, we have to compute the predetermined rate based on the direct material cost which is
= $700,000 ÷ $1,000,000
= $0.70
Now the applied overhead is
= $0.70 × $1,200,000
= $840,000
And, the actual overhead amount is not given by which we can find out the underapplied or overapplied overhead amount
So, in this case, the correct option is a.
Answer:
$42 Million
Explanation:
The computation of the total cash dividend is shown below:-
Year Net Income Profitable capital Expenditure Dividends
1 $14 Million $8 Million $6 Million
2 $18 Million $11 Million $7 Million
3 $9 Million $6 Million $3 Million
4 $20 Million $8 Million $12 Million
5 $23 Million $9 Million $14 Million
Total cash dividends $42 Million
Answer:
Annual depreciation= $197,000
Explanation:
Giving the following information:
Purchasing price= $1,040,000
Residual value= $55,000
Useful life in years= 5
<u>Under the straight-line method, the annual depreciation is the same during the useful life of the machine. To calculate the annual depreciation, we need to use the following formula:</u>
Annual depreciation= (original cost - salvage value)/estimated life (years)
Annual depreciation= (1,040,000 - 55,000)/5= $197,000
Answer:
present value = $848.29
so correct option is c) $848
Explanation:
given data
bond sold = $100 million
time = 6 year
future value = $1,000 par value
original maturity = 20 years
years to maturity left = 14 years
annual coupon rate = 11.5%
require return = 14%
to find out
what price would you pay today for a James bond
solution
we get here first interest amount that is
interest = future value × annual coupon rate × 0.5
interest = 1000 × 11.5% × 0.5
interest = $57.50
and rate = 
rate = 7%
now we find present value by
PV(Rate,nper, pmt, FV)
PV ( 7%, 28, 57.50,1000)
present value = $848.29
so correct option is c) $848
