Answer:
open an new office because the expected marginal benefit ($12.5 million over 5 years) is greater than the estimated marginal cost ($7 million)
Explanation:
The computation is shown below;
Given that
Total marginal benefit = 12.5 million
And, the Total marginal cost = 7 million
Based on the above information
We can see that the new office should be opened as the marginal benefit would be more than the marginal cost
Therefore the first option is correct
And, the rest of the options would be incorrect
Answer:
The man will made 15 drawins for 31,468 at their retirement age.
Explanation:
We solve for the future value of the annuity-due (deposits at the beginning)
C 1,000.00
time 25
rate 0.04
FV $375.1168
Now, we calcualte the amount of the withdrawals considering the new rate:


C $ 31.468
<span>What is the primary difference between a static budget and a flexible budget? The static budget contains only fixed costs, while the flexible budget contains only variable costs. Flexible budgeting allows for variables to change the budget and allotted costs for the budget. When you have a flexible budget you are understanding of things that could "come up" and have extra </span>money open to use there. In a static budget, you are strict on where your money is spent and you have a budget just for those costs.
Answer:
Journal entry for raw material used will be :
Dr. Work in process Inventory $141,000
Cr. Raw materials Inventory $141,000
Explanation:
The beginning Raw Materials Inventory balance = $22,000
The materials used to complete jobs during the month = $141,000 of direct materials and $13,000 of indirect materials
Journal entry for raw material used will be :
Dr. Work in process Inventory $141,000
Cr. Raw materials Inventory $141,000
The form of inventory is modified but the company's assets remain in the form of Work in Process. Assets are debited at all times.
Answer:
Land amount= 367,990
Interest amount= 149,010
Explanation:
this question can be solve applying the concept of future value, as it is a zero interest or zero coupon it only, it means the bond does not pay money in the time, so

where FV is future value, PV is the present value, i is the periodic interest rate and n is the number of periods. So applying to this particular problem we have:

solving we have PV=367,990
so the land value is 367,990 and the interest expenses are 517,000 - 367,990=149,010