Answer:
$184,068.70
Explanation:
Given that
Annual payments = $31,000
Discount rate = 12%
Time period = 11 years
The computation of the present value is shown below:
= Annual payments × PVIFA factor for 11 years at 12%
= $31,000 × 5.9377
= $184,068.70
Simply we multiplied the annual payments with the PVIFA factor so that the present value could arrive
Refer to the PVIFA table
If Baldwin currently pays his employees with $50/hour and he promised to give an additional performance bonus of 0.25% if the productivity goals are reached. Assuming that he has 500 employees, he needs to pay his employees:
$50 * (1+0.0025) = $50.125/hour will be the new rate of each employee,
if he has 500 employees:
500 * $50.125 = $25,062.50
He has to pay a total of $25,062.50 per hour in total.
Solution :
1. Allocation on the basis of 
LX EX
Direct Material 125000 90000
Direct 
cost 90000 60000
Manufacturing overhead 
(202500/5000 x 2000) (202500/5000 x 3000)
Total cost 296000 271500
Units produced 50 30
Cost per unit 5920 9050
2. Allocation on the basis of 
:
LX EX
Direct Material 125000 90000
Direct labor cost 90000 60000
Manufacturing overhead 121500 81000
(202500/150000 x 90000) (202500/150000 x 60000)
Total cost 336500 231000
Units produced 50 30
Cost per unit 6730 7700
3. Allocation on the basis of 
LX EX
Direct Material 125000 90000
Direct labor cost 90000 60000
Manufacturing overhead 112500 90000
(202500/2700 x 1500) (202500/2700 x 1200)
Total cost 327500 240000
Units produced 50 30
Cost per unit 6550 8000
Answer:
$1,916.2
Explanation:
A fix Payment for a specified period of time is called annuity. The discounting of these payment on a specified rate is known as present value of annuity. In this question the payment of $95 per month for 24 months at APR of 16% is an annuity.
Formula for Present value of annuity is as follow
PV of annuity = P x [ ( 1- ( 1+ r )^-n ) / r ]
Where P = Annual payment = $95
First, Calculate the effective rate
EAR = ( 1 + 16%/12 )^12 - 1 = 17.2%
r = rate of return = 17.2% annual = 17.2% / 12 = 1.44% per month
n = number of years = 24 months
Placing value in the Formula
PV of annuity = $95 x [ ( 1- ( 1+ 1.44% )^-24 ) / 1.44% ]
PV of Annuity = $1,916.2
Answer:
$3620
Explanation:
Assuming that the equipment depreciates with straight-line depreciation,
Initial Annual Depreciation = ($85,000 - $12,000)/5 = $14,600/year
NBV of equipment at December 30, 2022 = $85,000 - ($14,600*3) = $41,200
Revised Annual Depreciation = ($41,200 - $5,000)/10 = $3620/year
