Answer:
The payback period is more than 5 years
Explanation:
Net present value is the Net value of all cash inflows and outflows in present value term. All the cash flows are discounted using a required rate of return.
Year Cash flow PV factor Present Value
0 ($490,000) 1 ($490,000)
1 $40,000 0.909 $36,360
2 $10,000 0.826 $8,260
3 $120,000 0.751 $90,120
4 $90,000 0.683 $61,470
5 $180,000 0.621 <u> $111,780 </u>
Net Present Value ($182,010)
NPV of this Investment is negative so, it is not acceptable.
Payback period
Total Net cash inflow of the investment is $440,000 and Initial investment is $490,000. This investment will take more than 5 years to payback the initial investment.
Answer:
A 6,500
Explanation:
The number of units to be sold is calculated as;
= (Pretax income + Fixed costs) ÷ Contribution margin
Given that;
Pretax income = $35,000
Fixed costs = $420,000
Contribution margin
= Selling price per unit - Variable cost per unit
= $200 - $130
= $70
= ($35,000 + $420,000) ÷ $70
= 6,500 units
<span>In a situation in which Uma </span><span>and Edward are partners on a project, but they have never worked together and Uma </span>texts Edward, "Are you available to meet at four this afternoon?" Edward replies, "yep. cu then." Uma should gently remind Edward to be more formal and better to use e-mails than texting.
These are worth careful scrutiny by the managers of all companies because when a company's costs for one or more of the cost benchmarks are deemed "out-of-line," managers need to initiate corrective actions in the next decision round. only have value to the managers of companies whose costs are below the industry averages.
<h3>What do you mean by industry?</h3>
An industry is a group of companies that are related based on their primary business activities.
In modern economies, there are dozens of industry classifications. Industry classifications are typically grouped into larger categories called sectors.
<h3>What are the 4 types of industry?</h3>
There are four types of industry, namely primary, secondary, tertiary and quaternary.
Primary industries involve the activities related to extraction and processing of natural resources, such as agriculture, mining, fishing, etc.
Learn more about industries here:
<h3>
brainly.com/question/15843661</h3><h3 /><h3>#SPJ4</h3>
Answer:
The Total Cost of Inventory is $4,024,000
Explanation:
The computation of the total cost is shown below:
= Purchase cost + ordering cost + carrying cost
where,
Purchase cost = Annual consumption × Cost per unit\
= 80,000 × $50
= $4,000,000
Ordering cost = (Annual demand ÷ EOQ) × Cost to place one order
= (80,000 ÷ 8,000) × $1,200
= $12,000
Carrying cost = (EOQ ÷ 2) × carrying cost percentage × Cost per unit
= (8,000 ÷ 2) × 6% × $50
= $12,000
Now put these values to the above formula
So, the value would equal to
= $4,000,000 + $12,000 + $12,000
= $4,024,000
